In what type of market do the actions of individual firms materially affect the overall market?

Question

Quizplus · Accepted Answer

In an oligopoly market structure, there are a few large firms that dominate the market. Therefore, the actions of these firms can materially affect the overall market. For example, if one large firm decides to increase its price, the other firms in the market may follow suit, ultimately affecting the entire market. Additionally, the decisions of one firm, such as investing in new technology, can influence the strategies and decisions of other firms in the market, thus impacting the overall market.

In What Type of Market Do the Actions of Individual