PART 4 : Oligopoly
Characteristics:
1. A _________ sellers/firms, with many buyers.
2. The firms are __________________. Each firm will consider another firm’s
behavior before deciding on its actions.
3. a) Pure or perfect oligopoly
The firms produce ________________ products, e.g. raw materials like oil.
b) Differentiated or imperfect oligopoly
The firms produce ________________ products, e.g. manufactured goods like petrol,
electrical goods, cigarettes.
4. There are _____________________, though the barriers may not be as strong as
in a monopoly.
5. The oligopolist’s demand curve is _____________________.
6. Advertising is to ______________ its sales & demand.
7. Oligopoly firms tend to make profits (collusive oligopolies).
Collusive Oligopoly
