Supernormal profit | Topics | Economics | tutor2u

Explore

GCSE

A-Level

BTEC, T-Level, IB, WJEC

More for students

Shop

Cinema revision workshops

Online courses

Revision livestreams

Examiner AI

Personal tuition
Subjects

Biology

Business

Criminology

Early Childhood Development

Economics

Geography

Health & Social Care

History

Law

Politics

Psychology

Sociology

Quick links

Shop

CPD courses & events

Find an interim teacher

Jobs board

Examiner AI

Student events & courses

Cinema revision workshops

Online student courses

Revision livestreams
Examiner AI
Shop

Sign in

Topics

Supernormal profit

Profit in excess of normal profit - also known as monopoly profit. Abnormal profits may be maintained in a monopolistic market in the long run because of barriers to entry

In the News Teaching Activity – Why might Allianz insurance takeover the AA? (Sept 2026)

10th August 2026
In the News Teaching Activity – Why have BP’s profits been rising? (May 2026)

14th May 2026
In the News Teaching Activity – Is Live Nation-Ticketmaster abusing its monopoly power? (Apr 2026)

27th April 2026
Micro Case Study: Apple

Topical case studies
In the News Teaching Activity – Is the UK falling for fried chicken? (Feb 2026)

16th February 2026
In the News Teaching Activity – How did the festive period affect Next’s profits? (Jan 2026)

15th January 2026
In the News Teaching Activity – How has Next benefited from the M&S cyber-attack? (Nov 2025)

6th November 2025
In the News Teaching Activity - Why have Dyson’s profits been falling? (Oct 2025)

6th October 2025
In the News Teaching Activity – what are the benefits of Kingsmill buying up Hovis? (Sept 2025)

18th September 2025
In the News Teaching Activity – Why have Dr Martens’ profits slumped? (June 2025)

19th June 2025
In the News Teaching Activity – US tariffs are affecting Chinese e-commerce (May 2025)

15th May 2025
In the News Teaching Activity – why is the average price of a pint of beer set to rise above £5? (Mar 2025)

31st March 2025
In the News Teaching Activity – is Asda setting off a supermarket price war? (Mar 2025)

24th March 2025
In the News Teaching Activity – Coca Cola may increase its use of plastics as tariffs are set to increase the price of aluminium (Feb 2025)

20th February 2025
In the News Teaching Activity – why is beauty company Estée Lauder cutting jobs? (Feb 2025)

13th February 2025
How and why do profits vary in different industries?

Study Notes
Normal and Supernormal Profits Explained - A-Level Economics Mastery

12th December 2024
In the News Teaching Activity – what impact has the increase in employer NICs and NMW had on Pizza Hut’s profits? (Nov 2024)

21st November 2024
In the News Teaching Activity – Card Factory profits slump (Sept 2024)

30th September 2024
Profits Over People: The Economic Impact of Monopolies and Exploitation

11th August 2024
Tesla's Jolt: Navigating Supernormal Profits and Dynamic Efficiency

24th July 2024
Berrynomics: The Juicy Crisis in British Agriculture

23rd July 2024
In the News Teaching Activity – why have Shein’s profits risen so much? (July 2024)

4th July 2024
In the News Teaching Activity – is the price of getting your nails done going to rise? (Apr 2024)

15th April 2024
In the News Teaching Activity – why are Easter egg prices higher? (Mar 2024)

25th March 2024
In the News Teaching Activity – Rolls Royce’s profits increase after cost-cutting and rise in geopolitical tensions (Feb 2024)

29th February 2024
In the News Teaching Activity – the implementation of post-Brexit non-tariff barriers to trade to increase business costs (Jan 2024)

5th February 2024
4.1.4.7 Profit (AQA Economics)

Study Notes
In the News Teaching Activity – inflation-busting increase in national minimum wage for 2024 (Nov 2023)

27th November 2023
In the News Teaching Activity – Sainsbury confident of a profitable Christmas (Nov 2023)

9th November 2023
3.3.4 Normal Profits, Supernormal Profits and Losses (Edexcel)

Study Notes
3.4.5 Monopoly Entry Barriers (Edexcel A-Level Economics Teaching PowerPoint)

Teaching PowerPoints
What are the main roles of profit in a market economy?

Study Notes
3.3.4 Business Profits (Edexcel A-Level Economics Teaching PowerPoint)

Teaching PowerPoints
Supernormal profits - World’s 722 biggest companies ‘making $1tn in windfall profits’

6th July 2023
Micro and Macro Aspects of Factors Affecting Business Profits | Synoptic Paper 3

Topic Videos
Why is Coca Cola so profitable?

Study Notes
Why is Apple so profitable?

Study Notes
Why is RyanAir so profitable?

Study Notes
Why is Tesco so profitable?

Study Notes
Alternatives to Profit Maximisation Explained

Topic Videos
Supernormal Profits - Biggest Oil and Gas Profit in History

12th March 2023
Monopoly - Eli Lilly cuts prices of insulin by up to 70%

1st March 2023
Economies of Scale and Business Profits

Topic Videos
Why are the oil giants making such big (supernormal) profits?

13th February 2023
Rocket and Feather Pricing - Britain’s biggest gas supplier accused of ‘profiteering’

12th February 2023
Supernormal Profits: Are UK Mobile and Broadband Firms ‘Lining Their Pockets’?

7th February 2023
Shell reports highest profits in 115 years

3rd February 2023
Why is Ryanair so profitable?

1st February 2023
How is Tesco so profitable?

29th January 2023
Theory of the Firm - Egg farmers get squeezed by higher costs

8th November 2022
Energy Economics - BP makes record profits

1st November 2022
Shell makes record profits - calls mount for a windfall tax

27th October 2022
Business Costs and Profits - Greggs Increases Prices of Sausage Rolls

6th October 2022
Profit Margins - Are supermarkets taking advantage of drivers?

5th October 2022
Centrica announces 500% increase in profit & £59m dividend

28th July 2022
Key Diagrams - Monopoly Supernormal Profit

Topic Videos
Key Diagrams - Price Elasticity of Demand and Business Profit Margins

Topic Videos
Key Diagrams - Long Run Shut Down Price

Topic Videos
Key Diagrams - Advertising Spending and Business Profits

Topic Videos
Revenues, Costs and Profits (Revision Quizlet Activity)

Quizzes & Activities
Barriers to Entry (Quizlet Revision Activity)

Quizzes & Activities
Economics of Monopoly (Revision Quizlet Activity)

Quizzes & Activities
Profits and Entry Barriers in Markets Explained

Topic Videos
Profits and Economic Efficiency Explained

Topic Videos
Explaining Price Elasticity of Demand and Business Profits

Topic Videos
Water industry - Profits surge even as leaks and spills wash away public trust

28th November 2021
Monopoly Power in Markets

Study Notes
Monopoly - Price Discrimination

Study Notes
Theory of the Firm - Unilever expects flat profit after being hit by rising costs

23rd July 2021
Profit Maximisation

Study Notes
Water nationalisation - should England's water monopolies be nationalised?

16th July 2021
Monopoly Power - Selection of Revision MCQs

Practice Exam Questions
Essential Revision - Market Structures

Topic Videos
Revenues and Profits - Selection of Revision MCQs

Practice Exam Questions
Falling Demand and Changing Profits

Topic Videos
Subnormal profits: LG exits the smartphone industry

5th April 2021
Is fraud the business model of the prescription drug industry?

20th December 2016
Marginal profit

Study Notes
How Markets Work - The Price Mechanism

Teaching PowerPoints
Costs Revenues and Profits - Key Terms

Study Notes
Monopoly Power in Markets

Topic Videos
Revision Presentation - Price and Output under Monopoly

Teaching PowerPoints
Revision Presentation - Monopolistic Competition

Teaching PowerPoints
Monopolistic Competition

Teaching PowerPoints
Business Profits and Losses

Teaching PowerPoints
Barriers to Entry

Teaching PowerPoints
Price Discrimination, Welfare and Efficiency Exam Answer

Practice Exam Questions
Monopoly Power in Markets - Applied Examples

Topic Videos
Monopoly and Economic Efficiency

Topic Videos
Monopoly Profit Analysis

Topic Videos
Functions of Profit

Topic Videos
Factors Affecting Business Profitability

Topic Videos
Arguments against Price Discrimination

Topic Videos
Arguments in Favour of Price Discrimination

Topic Videos
Analysis Diagram: A Fall in Fixed Costs

Topic Videos
Evaluating Monopoly (AS Micro)

Topic Videos
Business Profits

Topic Videos
Monopoly Profits and Entry Barriers (Chain of Analysis)

Exam Support
Shut Down Price (Short Run)

Study Notes
Price Capping in Regulated Markets - 2021 Revision Update

Topic Videos
Monopolistic Markets - Revision Playlist

Topic Videos
Barriers to Entry and Market Power

Topic Videos
Monopoly (Online Lesson)

Online Lessons
Essay Plan: Limits on Monopoly Power

Topic Videos
Pure Monopoly and Monopoly Power

Topic Videos
Profits and Changes in Fixed Costs

Topic Videos
Profits and Changes in Demand

Topic Videos
Calculating Total Profit from Diagrams

Topic Videos
Short run costs and revenues – finding profit maximisation

Topic Videos
A* Evaluation on Barriers to Entry and Exit

Topic Videos
A* Evaluation on Business Profits

Topic Videos
Advantages and Disadvantages of Monopoly Power

Topic Videos
Why are glasses so expensive?

16th May 2019
Key Micro Diagrams (Market Structures)

Topic Videos
Monopoly: A to Z of Key Concepts and Examples

Topic Videos
Normal and Abnormal Profit

Topic Videos
Natural Monopoly (Chain of Analysis)

Topic Videos
Asda-Sainsbury Merger under threat from the CMA

Study Notes
Contestable Markets (Chain of Analysis)

Topic Videos
Monopoly - Applied Data on UK Market Shares

Topic Videos
Economies of Scale and Profits

Topic Videos
Royal Mail - Factors Affecting Costs, Revenues and Profits

Study Notes
Long Read: Do companies have too much monopoly power?

27th July 2018
Profit

Study Notes
Profit Concepts Defined

Study Notes
Functions of Profit

Study Notes
Factors that Affect Business Profitability

Study Notes
Monopoly - Price and Output for a Monopolist

Study Notes
Monopoly Power and Economic Efficiency and Welfare

Study Notes
Perfect Competition - Short Run Price and Output Equilibrium

Study Notes
Synoptic Short: Micro and Macro factors affecting airline profits

Topic Videos
Barriers to Entry and Economic Profit (Revision Essay Plan)

Practice Exam Questions
CMA to investigate funeral price fixing

1st June 2018
Abnormal and Sub-Normal Profits - Key Diagrams

Topic Videos
Monopoly Power (MCQ Revision Questions)

Practice Exam Questions
Monopoly Power and Economic Welfare

Topic Videos
Monopolistic Markets (MCQ Revision Questions)

Practice Exam Questions
2018 - A Tipping Point in the relationship between Capital and Labour

3rd January 2018
Could an energy price cap stifle competition?

11th December 2017
Monopoly Pricing (Multiple Choice Question)

Practice Exam Questions
Is the UK too tolerant of monopolies?

15th October 2017
Competition and Consumer Welfare (Essay Technique Video)

Exam Support
Profit Satisficing and Profitability Factors

30th January 2014
Profits Explained by the Financial Times

23rd February 2016
Sainsburys agrees a deal with Home Retail (Argos)

3rd February 2016
The Price of Blue and Pink - Gender Pricing Under Scrutiny

21st January 2016
The Invisible Hand of the Ticket Tout

1st March 2015
Monopoly and Welfare: Over-pricing for school uniforms

16th October 2015
Dynamic Pricing from Digital Profiles

8th November 2015