Asked by
Taylor Beecher
on Nov 16, 2024
Verified
The breakfast cereal industry, with its concentration ratio of 80%, would best be described as
A) a perfectly competitive market.
B) a monopolistically competitive market.
C) an oligopoly.
D) a monopoly.
Concentration Ratio
A measure indicating the market share of the largest firms in an industry to assess the degree of competition.
Breakfast Cereal Industry
The sector of the economy that specializes in the production, marketing, and sale of breakfast cereal products.
Oligopoly
A market structure characterized by a small number of firms dominating the market, leading to limited competition and possibly higher prices.
- Discriminate between various market systems by considering the count of businesses, product distinction, and entry blockades.
Verified Answer
KE
Learning Objectives
- Discriminate between various market systems by considering the count of businesses, product distinction, and entry blockades.