Tanya-Tanmay & Sticky Sellers

What did twins Tanya and Tanmay decide was essential on the third day?

• Entertainment

• Nutrition

• Shopping

• Exercise

What was the price per kilogram for mangoes that shocked the twins?

• ₹20

• ₹30

• ₹50

• ₹40

What did the vendors use to warn customers against bargaining?

• Verbal warnings

• Flyers

• Dangling slates

• Posters

What did the twins compare the market situation to?

• Vacation: Disney Adventure

• Video game: Aliens vs Predators

• Book series: Game of Thrones

• TV series: Big Boss

What was the main challenge for buyers in the market according to the twins?

• Finding fresh produce

• Influencing prices downwards

• Transporting the goods

• Entering the market

Explain Oligopoly's market structure

• A market structure with a single seller and many buyers.

• A market structure with many sellers and no barriers to entry.

• A market structure dominated by a few large firms, with barriers to entry.

• A market structure with perfect competition and no price control.

Describe the price rigidity of the fruit sellers.

• Supply curve is downward sloping

• Competitors will not react to price changes.

• Since competitors will match price cuts, there is no incentive to offer discounts.

• Demand is perfectly inelastic.

How do firms in an oligopoly typically respond to a competitor's price decrease?

• By exiting the market due to increased competition.

• By maintaining their current prices and focusing on advertising.

• By decreasing their prices to match the competitor.

• By increasing their own prices to maintain profit margins.

What strategy might a firm use to become a price leader in an oligopolistic market?

• Engage in aggressive price cutting to drive out competitors.

• Invest heavily in research and development to innovate products.

• Establish a reputation for quality and reliability.

• Form a cartel with other firms to control prices.

What is a common characteristic of firms in an oligopoly?

• They operate independently without considering competitors.

• They have complete control over market prices.

• They are interdependent and consider competitors' actions.

• They face no barriers to entry in the market.