Table 1 shows information about the UK market for automated parcel-sorting machines supplied to large warehouses.
| Total annual market sales | Annual sales of the four largest producers | Products | Requirement for a new producer to enter the market |
|---|---|---|---|
| £480 million | £132 million, £108 million, £84 million and £60 million | Machines differ in sorting speed, software and maintenance services | £45 million for design, testing and manufacturing facilities |
Calculate the combined market share of the four largest producers. Show your working.
Explain whether the information in Table 1 suggests that this market is competitive or concentrated.
149 exam-style questions on AQA GCSE Economics 1.5 Competitive and concentrated markets, covering 1.5.1a The range of market structures, 1.5.1b Distinguishing between market structures, 1.5.2a Characteristics of a competitive market, 1.5.2b How producers operate in competitive markets, 1.5.2c The economic impact of competition, 1.5.3a Characteristics of a non-competitive market, 1.5.3b How producers operate in non-competitive markets, 1.5.3c Monopoly and oligopoly, 1.5.4a The labour market and wage determination, and 1.5.4b Gross and net pay. Each one has a worked solution and a mark scheme showing where the marks go.