One thing oligopolists must do in order to determine their optimal strategy is
A) anticipate the reaction of their rivals to their strategy.
B) ignore the reaction of their rivals to their strategy.
C) ignore the reaction of their customers to their strategy.
D) anticipate the reaction of government to their strategy.

Question

Quizplus · Accepted Answer

In an oligopoly, firms must anticipate the reactions of their rivals to their strategies because the actions of one firm can significantly impact the market and provoke responses from other firms. This interdependence requires strategic planning that considers potential counter-moves by competitors.

One Thing Oligopolists Must Do in Order to Determine Their