Unit 9 Discussion V Unit 9 Discussion Oligopolies Questions for Initial Response An oligopoly is a market structure characterized by a small number of large firms that dominate an industry. In an oligopoly, the market is typically shared among a few significant players, resulting in limited competition and a high degree of interdependence among the firms. Oligopolies can have both advantages and disadvantages. While they may benefit from economies of scale and the ability to invest in research and development, they can also lead to reduced competition, higher prices, and limited choices for consumers. Due to their potential negative impact on market efficiency and consumer welfare, oligopolies are often subject to government regulations and antitrust laws to promote fair competition. 1. Identify an oligopolistic industry and list the reasons you believe it is part of this market structure. 2. Identify and research a specific company within this industry. 3. What is this company's market share within its industry? (A google search should provide this information.) 4. Who are its known competitors? 5. What are some of the barriers to entry for potential competitors? 6. What do you believe could be done to lower the barriers to entry into this industry