A firm in an oligopoly is similar to a monopoly in that

A) both firms do not face competition from others.
B) both firms could have significant market power and control over price.
C) both firms face very inelastic demand for their products.
D) both firms do not need to advertise.

Market Power

The ability of a company or group of companies to manipulate prices or market conditions in their favor, often due to a lack of significant competition.

Oligopoly

A market structure dominated by a small number of large firms, leading to limited competition and potentially higher prices.

Monopoly

A market configuration where there is only one seller offering a distinctive product in the marketplace.