A cartel tends to be most successful in maximizing the profits of its members when there are a large number of producers in the cartel and these producers' cost and demand conditions greatly differ from each other.

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A cartel tends to be most successful in maximizing profits when there are few producers in the market and their cost and demand conditions are similar. This allows the cartel to coordinate production levels and prices more easily. When there are a large number of producers with differing cost and demand conditions, it becomes more difficult for the cartel to control the market, and some members may be tempted to cheat by increasing production or lowering prices. This can lead to the collapse of the cartel and lower profits for all members.

A Cartel Tends to Be Most Successful in Maximizing the Profits