Question

Lenovo, HP, Dell, Acer Group, and Apple dominate 70% of the world market for personal computers). Smaller competitors survive by focusing on providing unique products / services that meet the needs of select sub-segments in these industries. This type of competitive interaction illustrates:

Answer 1

Answer:

Oligopoly

Explanation:

Oligopoly is simply defined as the situation in which more than two firms own/control the largest market share, while other smaller firms contend for the remaining share of the market.

For better understanding;

• Monopoly: one firm owning/controlling the largest market share.
• Duopoly: two firms own/control the largest market share.
• Oligopoly: more than two firms own/control the largest market share.

In this type of competition (Oligopoly), the smaller firms survive by offering unique features in their products and services while some offer cheaper prices for their products and services.