Is the toothpaste industry in India an example of Oligopoly or Monopolistic
There is no barrier on entry of new firms so it should be Monopolistic
However 2-3 firms have a huge market share and hence the ability to control prices so it should be oligopoly
Also can there be a price war in monopolistic????
Answers
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8
Indian toothpaste industry is oligopolistic in nature because no single producer has dominating control over the market.
New firms can easily enter the market without any restrictions. So it does not qualify to be called as monopolistic market.
Price war can only happen when there is competition amongst producers.
Since there is only single producer in monopoly, there is no chance of price war.
New firms can easily enter the market without any restrictions. So it does not qualify to be called as monopolistic market.
Price war can only happen when there is competition amongst producers.
Since there is only single producer in monopoly, there is no chance of price war.
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2
Answer:
monopolisti competitive market
Explanation:
It's a monopolistically competitive market as there are many firms selling differentiated but close substitutes products and each firm has its own individual brand. Each of them uses advertisements to attract customers and compel them to buy the product
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