Pepsi as an Oligopoly Market Product

An oligopolistic market is one that has several dominant firms with the power to influence the market they are in; an example of this could be the supermarket industry which is dominated by several firms such as Tesco, Sainsbury’s, and Waitrose etc... Furthermore an oligopolistic market can be defined in terms of its structure and its conduct, which involve various different aspects of economics.

This would be “a market structure in which a few firms dominate” (Economics Online, 2015). When this occurs the market takes on a different appearance that is said to be highly concentrated because there may be several businesses operating in the same market. Heavy hitters in the retail industry would be mass merchant entities such as Wal-mart, Costco, and Target. These massive retailers have a share interest in controlling the retail market by manipulating various barriers of entry. Similar to those barriers of entry that are associated with a monopolized market, higher costs and such, these giants can also manipulate pricing to ensure that a newcomer could not compete. Price undercutting or predatory pricing may be done even at a loss for these retail giants if means keeping the oligopoly market structure with fewer new competitors. Various may be use these oligopolists strong name and customer loyalty base. Often times an oligopoly may experience a kinked-demand curve where there are two distinct segments with different elasticities that combine to form a kink. The kinked-demand curve is a good way to explain price rigidity in oligopoly where one segment is relatively more elastic in prices increasing and the other segment is less elastic in prices decreasing. “The relative elasticities of these two segments is directly based on the

Another type of competitive market is oligopoly. Oligopolistic markets are pretty much controlled by a small amount of firms. A good example of this

“Corporate Social Responsibility is the continuing commitment by business to behave ethically and contribute to economic development while improving the quality of life of the workforce and their families as well as of the local community and society at large.” (Baker, Mallen (June 8,

Many utilities are monopolies by having the entire market share in certain areas. With deregulation of these utilities, the market becomes open to competition for market share to begin. In terms of regulation of monopoly, the government attempts to prevent operations that are against the public interest, call anti-competitive practices. Likewise, oligopoly is a market condition where there are minimal distributors that have a major influence on prices and other market factors. This causes market failure, especially if evidence of collusive behavior by dominant businesses is found.

A monopoly is distinguished from a monopsony, in which there is only one buyer of a product or service; a monopoly may also have monopsony control of a sector of a market. Likewise, a monopoly should be distinguished from a cartel (a form of oligopoly), in which several providers act together to coordinate services, prices or sale of goods. Monopolies, monopsonies and oligopolies are all situations such that one or a few of the entities have market power and therefore interact with their customers (monopoly), suppliers (monopsony) and

Oligopolies are a type of market structure evident in Australia, which is comprised of 2 or more firms having a significant share of the market. In an oligopoly the few firms sell similar but differentiated or homogenous products and is characterised by a large number of buyers making it a form of imperfect competition. This market structure is evident through the Big Four Banks, Phone Industry - Vodafone, Optus and Telstra.

An Oligopoly refers to a market structure where-by the suppliers have formed some form of cartel and are acting in unison. In such a case the suppliers have the power to determine the price of the commodity and may set any price.

There are four types of market structures: Monopolistic Competition, Monopoly, Oligopoly, and Perfect Competition. Monopolistic Competition is also known as competitive market. In this market structure, there are a large number of firms that produce similar but somewhat differentiated products for the same target customers. The market share is also divided among large number of firms making it difficult for one firm to become the market leader. On the other hand, Monopoly is a type of market structure in which only one firm controls the whole industry. There are strict barriers to entry for new firms due to governmental restrictions or the monopolistic power of the firm itself. In Oligopoly, the whole industry is dominated by a few large scale firms that set prices, introduce innovative products, and use heavy campaigns to attract buyers. All other small scale firms follow the changing market patterns set by these oligopolistic firms. Lastly, perfect competition is a market structure in which there are a larger number of firms that produce similar as well as differentiated products for

In reviewing their vision statement (to me) it speaks silently of the organizational values. Their unspoken goal behind the vision statement is to Help…. To help people globally “Eat and Live Better”. In my opinion their message is saying we care and we want to make products that help you achieve that.

The first concept I am going to discuss is an oligopoly. There are several characteristics that make up an oligopoly. One characteristic is that there are many firms in the industry but only a few firms that make up the majority of the market share. In the United States soda market, three firms (Coca-Cola, Pepsi, and Dr. Pepper Snapple Group) make up almost ninety percent of the market (Schiller, 246). Another characteristic is that in an oligopoly, the oligopolists have substantial influence over price (though one oligopolist is usually the price leader). This market power is determined by the number of producers in the industry, the

“An observation made of oligopolistic business behaviour in which one company, usually the dominant competitor among

Firms' Incentives to Avoid Price Competition in Oligopoly Markets In the UK a few, large firms dominate most industries. These industries are known as oligopoly markets. Oligopoly markets are an example of imperfect competition. It consists of a market structure in which there is a small number of large firms in the industry hence is relatively highly concentrated.

An oligopoly, is when there are only a few number of companies that control a specific market. The barriers to entry can be both legal/political (ie. number of licenses awarded to cell phone operators) to the fact that the companies themselves create a "cartel like" attitude effectively brushing of the market new entrants through aggressive measures like undercutting pricing on new smaller entrants, controlling inputs for production, etc.

Pepsi Co 's assignment taken as a whole is to amplify the value of its shareholder 's investment through sales intensification, expenditure gearshift and prudent investment of resources (Bongiorno, 1996, p 71). In this pose, Pepsi believes that its moneymaking triumph depends on providing safe and quality drink to its consumers and customers while adhering to the highest standards of truthfulness. Pepsi Co 's product portfolio encompasses sixteen labels that produce enough cash for the company. The most popular of these brands include Pepsi Cola, and Mountain Dew.