Question

Oligopoly differs from monopolistic competition on the basis of number of sellers.

State any other difference between these two market forms.

Answer 1

Basis	Oligopoly	Monopolistic competition
Type of product:	Firms sell differentiated products.	Firms sell homogeneous or differentiated products.
Entry and Exit:	There is a free entry of firms.	Entry of firms is restricted.
Control over market price:	Every firm has fairly large control over price of its own product.	Each firm exercises substantial control over price.