A common characteristic in oligopolistic markets is
A)consideration of rivals' reactions.
B)standardized products.
C)high profits.
D)unused capacity.

Question

Quizplus · Accepted Answer

Oligopolies tend to be characterized by a small number of firms dominating the market and therefore rivals' reactions and strategies are highly relevant in determining each firm's own strategy. This interdependence often leads to strategic behavior such as price collusion, product differentiation, or even aggressive competition. Standardized products, high profits, and unused capacity are not necessarily common characteristics of oligopolistic markets.

A Common Characteristic in Oligopolistic Markets Is