The American automobile industry was historically dominated by "The Big Three," referring to General Motors, Ford, and Chrysler. However, as many more foreign competitors began influencing this market, the American companies had to modify and differentiate their products. The automobile industry moved from a(n) ____ structure to a(n) ____ structure.

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The automobile industry was dominated by a few large firms (GM, Ford, Chrysler) which is characteristic of oligopoly. However, with the entry of more foreign competitors, the American companies had to modify and differentiate their products to compete, which is characteristic of monopolistic competition. Therefore, the industry moved from an oligopolistic structure to a monopolistic competition structure.

The American Automobile Industry Was Historically Dominated by "The Big