Oligopoly.
Definition
A market structure in which a small number of large firms dominate an industry. Because there are so few competitors, each firm's decisions on pricing and output significantly affect the others, often leading to similar pricing and limited competition.
Examples
Real-world.
- 1 The U.S. wireless carrier market dominated by Verizon, AT&T, and T-Mobile
- 2 The commercial aircraft industry with Boeing and Airbus as the two major manufacturers
- 3 Major American automobile manufacturers (GM, Ford, Stellantis) historically dominating the U.S. car market