Question

THIS IS THE THIRD TIME POSTING IT!!! CAN SOMEONE ANSWER THIS AND TYPE THE RESPONSE. THANK YOU! What are one example of a monopolistically competitive firm, oligopoly, and monopoly in your local area? In your example, please relate to the market characteristics of each of the market structures? Work cite and type is a most!!!!!

Answer 1

Monopolistic Market:

Large number of buyers and sellers but not as large as in perfect competition. The seller sells differentiated products and not perfect substitutes. The market has low barriers to entry. Each firm sets prices without taking into account how it may affect other suppliers' decisions

Example: Colgate brand toothpaste. There are other brand toothpastes available in the market. The products are differentiated. Also, Colgate has small amount of power to set price for their own products.

Oligopoly Market:

Very small number of sellers in the market selling almost close substitute goods. The firms have large market share and the firms are dependent on other firms to set the prices of their own products.

Example: Aircraft manufacturer Boeing and Airbus, The soft drink firms like Coca cola and Pepsi.

Monopoly Market:

Only one seller selling unique product. The entry is restricted due to patent law or government regulation. The firm sets their own prices for the products.

Example: The local power (electricity) company or water supply company.