The market for soft drinks,which is dominated by Coca Cola and Pepsi,is BEST considered to be an example of:
A)perfect competition.
B)monopolistic competition.
C)oligopoly.
D)monopoly.

Question

Quizplus · Accepted Answer

The fact that Coca Cola and Pepsi dominate the market for soft drinks indicates that this market is an oligopoly, meaning it is dominated by a few large firms. The firms in an oligopoly have significant market power, which allows them to influence prices and output.

The Market for Soft Drinks,which Is Dominated by Coca Cola