Oligopolistic market

The Oligopoly Market characterized by few sellers, selling the homogeneous or differentiated products.

Oligopolistic market

Share on Facebook An oligopoly is formed when a few companies dominate a market.

Oligopolistic market

Whether by noncompetitive practices, government mandate or technological savvy, these companies take advantage of their position to increase their profitability. Companies in technology, pharmaceuticals and health insurance have become successful in establishing oligopolies in the U. Computer Operating Systems New high tech markets can become oligopolies when the companies provide unique products that are supported by an ecosystem of supporting technology.

Conditions for an Oligopolistic Market

These three systems capture close to percent of the computer operating system market due to their established positions, according to the StatOwl website. All other software providers make programs that are compatible with these systems, further reinforcing the dominance of the major players.

Those companies have deep relationships with the handset providers and are able to have their system pre-installed on each phone. As with computer operating systems, these relationships become self-reinforcing as they grow. Pharmaceutical Industry The pharmaceutical industry is becoming an oligopoly due to the staggering costs of developing and marketing new drugs and because of patents that protect new products from competitors.

With those kind of upfront costs, only a handful of companies including Pfizer, Merck and Novartis, can afford to create and sell new products. The government grants those companies extended patents on their drugs, and these patents protect drug developers from competitors for many years.

Health Insurance Health insurance is a highly regulated industry with a number of government mandates at the state and federal level. The Patient Protection and Affordable Care Act requires insurers to accept more high risk patients as customers and to provide comprehensive coverage to all their customers.

Such constraints favor a handful of established companies, such as Humana, Cigna, Aetna and WellPoint. Some observers suspect that companies capable of surviving new legal mandates will evolve into an oligopoly.An oligopoly is formed when a few companies dominate a market.

What is Oligopoly Market? definition, meaning and features - Business Jargons

Whether by noncompetitive practices, government mandate or technological savvy, these companies take advantage of their position to increase their profitability. Companies in technology, pharmaceuticals and health insurance have become successful in.

— The Economist, "The market for driverless cars will head towards monopoly," 7 June But now, according to Georgette Boele, diamond industry analyst at ABN AMRO, the market is an oligopoly, with three mining giants dominating smaller players.

Oligopolistic market

oligopoly - (economics) a market in which control over the supply of a commodity is in the hands of a small number of producers and each one can influence prices and affect competitors. market, marketplace, market place - the world of commercial activity .

Definition: The Oligopoly Market characterized by few sellers, selling the homogeneous or differentiated products. In other words, the Oligopoly market structure lies between the pure monopoly and mon. Oligopoly Market Definition: The Oligopoly Market characterized by few sellers, selling the homogeneous or differentiated products.

Smart Phone Operating Systems

In other words, the Oligopoly market structure lies between the pure monopoly and monopolistic competition, where few sellers dominate the .

An oligopoly is a market structure in which a few firms dominate. When a market is shared between a few firms, it is said to be highly concentrated. When a market is shared between a few firms, it is said to be highly concentrated.

Oligopoly | Economics Help