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3.4.4 Oligopoly

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Question 2

The following table shows the annual revenue (in billions of US dollars) of major cloud infrastructure service providers in Year 1 and Year 2:

ProviderYear 1Year 2
Amazon AWS35.442.1
Microsoft Azure20.224.5
Google Cloud9.511.8
Alibaba Cloud6.14.9
Salesforce4.85.3
Others18.521.4
Total94.5110.0

The 4-firm concentration ratio in Year 1 was 75.3%.

Calculate the 4-firm concentration ratio in Year 2 in this market. You are advised to show your working.

[2]

3.4.4 Oligopoly Questions

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  3. /3.4.4 Oligopoly