In a cartel type of market structure might we see firms attempting to collude with one another to set prices.
Due to a large number of companies, the market share held by each player is small and cannot affect the product price. Therefore, an agreement between companies is not possible. Moreover, exclusive competition thrives on innovation and diversity. A duopoly occurs when two companies dominate the market for a particular product or service.
Collusion occurs when market structure oligopolistic firms make joint decisions and act as if they were a single firm. Collusion requires explicit or implicit agreements between cooperating firms to limit production and achieve monopoly prices.
Learn more about market structure at
https://brainly.com/question/1192016
#SPJ4
