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love history [14]
3 years ago
5

g 5. Characteristics of oligopoly An oligopolistic market structure is distinguished by several characteristics, one of which is

either homogeneous or differentiated products. What are some other characteristics of this market structure
Business
1 answer:
ArbitrLikvidat [17]3 years ago
6 0

Explanation:

An oligopoly can be defined as an imperfect competition market structure, it works when in an economic sector there are few companies offering a good or service, that is, the market is homogeneous and with differentiated services, as companies seek a degree differentiation to win customers.

Some characteristics of the oligopoly are: few price variations, which can affect the consumer, since there are few companies operating in the oligopolistic market, the possibilities of choice are reduced. There is also the difficulty of entry for new competitors, since there are few dominant companies in the market and we can also mention the dependence between companies in the market in which there is an oligopoly, since the actions of one will consequently affect the entire market and the companies present .

The oligopoly arises when there is an imbalance between supply and demand, which means that the active companies have greater control over the market and the prices charged.

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Answer:

Present value = $75,379.47

Future value is $91,567.97

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a) Present value of cash flow is calculated as:

Present\ value = \frac{(15,555}{1.067} + \frac{(31,110}{(1.067)^2}) + \frac{(46,665}{(1.067)^3})

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Answer: 88.89 or 89

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