Characteristics Of Oligopoly

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1. Part A 1.1 Characteristics of oligopoly and smart phone operating system industry a. Number of seller Oligopoly can be defined as a state of limited competition, which means that a market is shared by a minimum number of producers or sellers. iOS is one of the main operating systems accessible on the mobile phone industry. However, Windows and Android are also top in the list of operating systems in this industry as well. The iOS is an Apple item, Windows is a result of Microsoft, and Android is produced by Google. These three operating systems, Windows, Android and iOS have each built up their own, novel ways to deal with ease of use, designer ability and security principles. b. Product differentiation Every one of the three systems are…show more content…
Pricing and quantity control Pricing decision is one of the most important decisions made by companies which is usually accompanied with quantity control. In an oligopoly, each company’s pricing decision or quantity control can significantly influence the market as there are only a few companies in an industry. Besides, one company’s decision will impact another company’s. Usually, there is no huge difference in pricing among companies of the same industry as the companies emphasize more on product differentiation and different marketing and advertising strategies. In the smart phone operating system market, there are mergers among the existing companies. When a new company is competitive, the existing companies will merge to create joint policies in production quantity and pricing to discourage the entry of new companies. The idea of working together to prevent entry of new companies allow existing companies to continue to dominate the smart phone operating system market. Written by: Gan Wee…show more content…
The apple store is offering 700,000 applications and 250,000 of them are available for their tablet, iPad. Meanwhile, there are 600,000 applications from google play are available, and most of the application can run on the table with android operating system. Many of the developers tend to develop games for iOS before they develop into android. This is because there has been more profitable and easier for the developers to create the application in iOS, therefore there are many apps appear in iOS first before they develop in android. For instance, one of the top application Instagram started with iOS first and their application in android came after it. Other than that, most of the applications in iOS are always updated and maintained by the developers to let the users enjoy their apps and avoid happening the least amount bug for better user’s

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