Some companies have competitors but do not face much competition; in this case they are not price takers. Economists call this situation:
A) imperfect competition
B) an oligopoly
C) a duopoly
D) monopolistic competition

Question

Quizplus · Accepted Answer

Imperfect competition refers to a situation where there are few or limited competitors in the market, but they are not price takers. This means that these companies have some control over the prices of their products or services, unlike in perfect competition where all firms are price takers. In an oligopoly or a duopoly, there are only a few producers in the market, but they can still face intense competition, unlike in the case of imperfect competition. Monopolistic competition is a market structure where many producers sell differentiated products, which means that they are not facing the same type of competition as companies in imperfect competition.

Some Companies Have Competitors but Do Not Face Much Competition;