An oligopoly market is a market situation where the number of consumers is greater than the number of producers or providers of goods and services. Unbalanced conditions often result in unbalanced price competition. Some examples of oligopolies are cigarette companies, motor vehicle companies, cement companies, airline services, smartphone companies, telecommunications operators, instant noodle companies, etc.
An oligopoly market often leads to imperfect competition, so it will be difficult for new producers to compete because it requires large capital, but on the other hand, for producers who have occupied or controlled the oligopoly market, it is very difficult because it requires a mature marketing plan and continuous product innovation.
Some of the disadvantages of an oligopoly market that I know are that consumers have to pay higher prices because producers can determine prices with minimal levels of competition. Several producers can work together to maintain prices, etc.
An oligopoly market often leads to imperfect competition, so it will be difficult for new producers to compete because it requires large capital, but on the other hand, for producers who have occupied or controlled the oligopoly market, it is very difficult because it requires a mature marketing plan and continuous product innovation.
Some of the disadvantages of an oligopoly market that I know are that consumers have to pay higher prices because producers can determine prices with minimal levels of competition. Several producers can work together to maintain prices, etc.
