In oligopolies, a price leader usually emerges and sets a price for all to follow.

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In oligopolies, a dominant firm or a price leader may emerge and set a price that other firms or competitors will follow. This is a common strategy in industries with limited competition and few market players. The price leader may use various tactics such as cost leadership, product differentiation, or aggressive marketing to maintain their position and influence the market price.

In Oligopolies, a Price Leader Usually Emerges and Sets a Price