The Australian market place is dominated by oligopolies or competition among the few. Petrol and hardware retailing, mining, car rental, paint manufacturing, cardboard boxes, banks, fast foods - the list is long and diverse.
An oligopoly is a market structure in which a few firms dominate. When a market is shared between a few firms, it is said to be highly concentrated. Although only a few firms dominate, it is possible that many small firms may also operate in the market.
An oligopoly is a market structure in which a few firms dominate. When a market is shared between a few firms, it is said to be highly concentrated. Although only a few firms dominate, it is possible that many small firms may also operate in the market.
The fast food industry is perfect example of a market in which certain brands have a large proportion of market share. The main restaurants associated with fast food are McDonalds, Pizza Hut, Subway and KFC. These are the competitors with the most market share but there are also smaller companies within the market such as Ali Baba, Oporto or Wendy's, all of which are fast food chains which do not have as much recognition or market share as the main brands.
