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The barriers of entry to
an oligopolistc market include the financial resources needed to enter and such
regulations from the government or patents.
In this market, there is a high degree of differentiated products, and
so with all of the above factors combined in this market, the competition is of
sales, not of price. There is also a factor of concern from the firms in an
oligopolistic market - where the actions of one firm will subsequently effect
the other firms in the industry. This results in each oligopolist watching its
competitors closely, and is a method of competition between the firms, other
than by price wars...
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