what is the market structure of air asia
The Market structure of air asia is considered to be oligopoly.
Because in oligopoly the firm is price setter not price taker. In
Oligoploy the firms in this market structure is less. As we all
know that there are few firms operating in air travel services,
where decision taken by one firm will affect the decisions of other
firms. Even in practical scenario if air asia reduces the price of
air travel ticket then the rivals may also decide to reduce the
price. So that is why it is said to be as oligopoly market
structure.
Get Answers For Free
Most questions answered within 1 hours.