An Industry with a Large Number of Relatively Small Firms

question 29

Multiple Choice

An industry with a large number of relatively small firms producing differentiated products in a market with easy entry and exit firms is:

• A) monopoly.
• B) duopoly.
• C) oligopoly.
• D) monopolistic competition.

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Definitions:

Centralization

The concentration of control, decision-making, or authority in a particular location or among a specific group of individuals.

Organic

Relating to or derived from living matter; in business or organization contexts, it often describes processes or structures that are flexible and naturally developing.

Mechanistic

Referring to a view or system that regards processes or organizations as being similar to a machine, with each part having a specific role that contributes to the overall operation.

Span of Control

Refers to the number of subordinates that a manager or leader can effectively oversee or control within an organization.