Question

which situation could be the best example of an oligopoly? a new producer of tires has entered the market and found that demand is already being met. a new producer of a smart phone operating system is trying to enter the market but cannot because most cell phone makers use one of two popular operating systems. a new producer of power tools has entered the market and is relying on low prices to attract consumers. a new producer of running shoes is trying to enter the market but cannot because of an existing patent.

Explanation:

An oligopoly is a market structure with few dominant firms. In the smartphone operating - system example, most cell phone makers use one of two popular operating systems, indicating a market dominated by a few firms, making it difficult for new entrants. The other examples are due to demand being met, patent issues, or price - based competition, which are not typical oligopoly characteristics.

Answer:

A new producer of a smart phone operating system is trying to enter the market but cannot because most cell phone makers use one of two popular operating systems.