Under oligopoly, if one firm in an industry significantly increases advertising expenditures in order to capture a greater market share, it is most likely that other firms in that industry will

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In an oligopolistic market, firms are highly interdependent. If one firm increases advertising to gain market share, others are likely to follow suit to protect their market positions, even if it means reduced profits in the short term. This is because not responding could result in a significant loss of market share to the more aggressively advertising competitor.

Under Oligopoly, If One Firm in an Industry Significantly Increases