0 votes
in Revision by

What are the sources of oligopoly power?

1 Answer

0 votes
by (47.6k points)

Sources of oligopoly power are;

  • When huge capital investment is required / barriers to entry
  • A few firms hold patent that relate to the technique of production of the product.
  • A few controlling a source of raw materials used in the production of the product
  • Some firms may merge with others as takeover
  • A few firms may enjoy large scale economies and offer lower prices for their products thus driving out competitors.

Related questions

Register, ask, and answer questions to earn more points and privileges. Some features are disabled for users with few points.
Welcome to Kenyayote Q&A, the largest community site in Kenya where you can ask any question and receive answers from Kenyayote staff and other members of the community.

Before you ask, search the website to make sure your question has not been answered.

If you are ready to ask, provide a title about your question and a detailed description of your problem.

Register to join Kenyayote Ask Community.
...