In what market type do airlines operate?


In what market type do airlines operate? One could argue that the U.S. airline industry is an oligopoly controlled by the four main domestic carriers: American Airlines, Delta Airlines, Southwest Airlines, and United Airlines.


Is airlines a monopoly or oligopoly?

The U.S. airline industry today is arguably an oligopoly. An oligopoly exists when a market is dominated by a small group of companies, often because the barriers to entry are significant enough to discourage potential competitors.