Which of the following industries would most likely have the characteristics of an oligopoly?
A) clothing
B) automobiles
C) cameras
D) makeup

Question

Quizplus · Accepted Answer

The automobile industry is most likely to have the characteristics of an oligopoly. In an oligopoly, a small number of large firms dominate the market and have significant control over pricing and supply. The automobile industry is largely dominated by a few large companies such as Toyota, General Motors, and Ford. These firms have significant control over the pricing and supply of vehicles, and have the ability to affect the entire market. Additionally, the barriers to entry for new firms in the automobile industry are high, which further contributes to the oligopolistic nature of the market.

Which of the Following Industries Would Most Likely Have the Characteristics