Which of the following scenarios best describes an oligopolistic industry?
A) A single cable company serves customers in a small town.
B) Thousands of soybean farmers sell their output in a global commodities market.
C) Coca-Cola and Pepsi sell most of the soft drinks consumed around the world.
D) A college has one bookstore selling textbooks to students.

Question

Quizplus · Accepted Answer

An oligopolistic industry is characterized by a small number of firms that dominate the market. Coca-Cola and Pepsi are two major companies that control a large share of the global soft drink market, making it an example of an oligopoly.

Which of the Following Scenarios Best Describes an Oligopolistic Industry