Firms are not price-takers; they are active rivals struggling for market share.
Real competition creates intense conflict between companies, industries, and nations, as producers fight for a share of the total global profit. Capitalism: Competition, Conflict, Crises
Shaikh argues that the neoclassical model of "perfect competition" is unrealistic and ideologically driven. Instead, he proposes a theory of : Firms are not price-takers; they are active rivals
The drive to maximize profits ("surplus value") inherently leads to a struggle over wage levels and labor effort. Firms are not price-takers
Conflict is seen as a foundational element, not an anomaly, of the capitalist system.
Competition acts as a form of "economic warfare" where producers constantly attempt to lower costs through wage reduction, technological innovation, and increased efficiency.