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Svetradugi [14.3K]
4 years ago
9

Why is competition limited in an oligopoly

History
2 answers:
saveliy_v [14]4 years ago
7 0
 An oligopoly is a market whereby very few producers control the market. In an oligopolistic market the cost of entry is very high which prevents new producers from entering the market.
Galina-37 [17]4 years ago
3 0
<h3>Correct answer choice is:</h3><h2>A. High entry costs prevent new producers from entering the market.</h2><h3>Explanation:</h3>

An oligopoly is a kind of business wherein a surprisingly few numbers of producers produce nearly the whole supply of goods used by the people. Establishing up a brand and inciting enormous set-up expenses such as installing up production plants and mutable expenses like wages of workers related to different brands is very very hard as it requires billions of dollars.

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