Brental, a detergent manufacturing company, has a market share of 35 percent in lithasia. two of its competitors together control 50 percent of the market. whenever brental raises or lowers the prices of its products, the other two companies quickly imitate its action. what is the market structure of the detergent industry in lithasia?

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Business

Stuart

5 April, 11:51

Brental, a detergent manufacturing company, has a market share of 35 percent in lithasia. two of its competitors together control 50 percent of the market. whenever brental raises or lowers the prices of its products, the other two companies quickly imitate its action. what is the market structure of the detergent industry in lithasia?

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Lina · Answer 1

The type of market structure of the detergent industry is called oligopoly. What this means is a market structure in which a small number of firms has the large majority of market share. We can say that is very similar to what we call monopoly but in this case oligopoly two or more firms dominate the market which is what is happening to this detergent