Perfect and imperfect oligopolies are often distinguished by the nature of the goods firms produce or trade in.
A … See more

Some characteristics of oligopolies include:
• Profit maximisation
• Price setting: Firms in an oligopoly market structure tend to set prices rather than adopt them.
• High barriers to entry and exit: Important barriers include gov… See more

Economies of scale occur where a firm's average costs per unit of output decreases while the scale of the firm, or the output being produced by the firm, increases. Firms in an oligopoly who benefit from economies … See more

There is no single model that describes the operation of an oligopolistic market. The variety and complexity of the models exist because numerous firms can compete on the basis of price, quantity, technological innovations… See more

Oligopolies are assumed to be aware of competition laws as well as the repercussions that they could face if caught engaging in anti-competition behaviour. In lieu of explicit communication, firms may be observed a… See more

Particular companies may employ restrictive trade practices order to inflate prices and restrict production in much the same way that a monopoly does. Whenever there is a formal agreement for such collusion b… See more