what companies produce the following Beverages? Bell Work what companies produce the following Beverages?

Lets see how you did.

http://www. businessinsider http://www.businessinsider.com/facts-about-coca-cola-2011-6#coke-makes-so-many-different-beverages-that-if-you-drank-one-per-day-it-would-take-you-over-9-years-to-try-them-all-2

Oligopoly

Oligopoly -A market structure in which a few large firms dominate a market Oligopoly examples

Barriers to Entry Oligopoly’s make it very difficult for new firms to enter How might they do this? High start up costs Too big already

Barber Airlines You mustache yourself a question? How much money can we shave you?

The Story of X vs. O

HUGE Group Activity Take out a full sheet of paper You are going to vote on who you support, “X” or “O” You will either write an “X” or an “O” in the direct middle of the paper. Then, fold the paper 4 times But…..are you asking yourself, “What happens if I write an X or if I write an O?

Classroom Possibilities You will have potential to win free candy. It all depends on how the class as a group votes.

Everyone gets 1 piece of candy Candy Breakdown # of “X” votes Reward 1 15 pieces of candy 2 7 pieces of candy 3 4 pieces of candy 4+ NO ONE GETS CANDY Entire class votes “O” Everyone gets 1 piece of candy

HUGE Group Activity Take out a full sheet of paper You are going to vote on who you support, “X” or “O” You will either write an “X” or an “O” in the direct middle of the paper. Then, fold the paper 4 times

What can happen if Oligopoly firms work together? They can become their own “monopoly” Charge higher prices Can control quantity What if soda companies did this?

Collusion Informal agreement among producers to work together Firms agree on price and quantity in the market When firms collude they are called “cartels.” Illegal in the United States