Kellogg, General Mills, Post, and Quaker Oats dominate the cereal market. This industry, which has consistently displayed profits in the long run, is difficult to enter due to brand recognition. The cereal industry is an example of what type of market structure?

Question

Quizplus · Accepted Answer

The cereal industry is an example of an oligopoly, characterized by a few companies (Kellogg, General Mills, Post, and Quaker Oats) dominating the market, making it difficult for new entrants due to factors like brand recognition.

Kellogg, General Mills, Post, and Quaker Oats Dominate the Cereal