The firms are interdependent among themselves especially in their output and pricing.
Non-price competition, firms are in a position to influence the prices. However, they try to avoid price competition for the fear of price war.
There is barriers to entry of firms due to reasons such as; requirement of large capital, Ownership of production rights, control over crucial raw materials, Restrictive practices etc
High cost of selling through methods of advertisement due to severe competition.
Products produced are either homogeneous or differentiated.
Uncertain demand curve due to the inter-dependence among the firms. Hence the shifting of the demand curve is not definite.
There is price rigidity i.e. once a price has been arrived at in an oligopolistic market, it tends to remain stable.
