Which of the following industry structures is dominated by a small number of large companies?
A) Fragmented industry
B) Consolidated industry
C) Mature industry
D) Monopoly
E) Growing industry

Question

Quizplus · Accepted Answer

A consolidated industry is characterized by a small number of large companies that dominate the market. These companies may have significant pricing power, making it difficult for new entrants to compete. Examples include the airline and automobile industries. The other options, such as a fragmented industry or a growing industry, suggest a more diverse competitive landscape with many small players. A monopoly, on the other hand, is a specific type of consolidated industry where a single company has exclusive control over the market. A mature industry is one that has reached saturation and is no longer growing rapidly.

Which of the Following Industry Structures Is Dominated by a Small