If the top four firms of an industry account for more than 60 percent to 80 percent of the market,which of the following occurs?
A) Monopolistic competition
B) Oligopoly
C) Pure monopoly
D) Pure competition
E) Perfect competition

Question

Quizplus · Accepted Answer

An industry where the top four firms account for more than 60 percent to 80 percent of the market is considered an oligopoly, where a small number of large firms dominate the market. In an oligopoly, the actions of one firm greatly impact the other firms in the market, leading to interdependent decision-making and strategic behavior.

If the Top Four Firms of an Industry Account for More