Question Marketing of Chewing Gum Q In the UK, Wrigley is the dominant seller of chewing gum. Wrigley is also the world's number one manufacturer of gum, but it isn't dominant in every market. In France, or Latin America, for example, Cadbury Schweppes is the market leader. Cadbury Schweppes increased its competitive challenge to Wrigley two years ago when it bought the US number two gum manufacturer, Adams. Cadbury Schweppes is twice the size of Wrigley and has formidable distribution system worldwide. It can push gum through the same sale channels as its other confectionary products. Equally Wrigley, which relies for 90 per cent of its sales on gum, is renowned for its ability to get the product to consumer. In the fast growing but underdeveloped Chinese market for example, sticks of Wrigley Doublemint gum are sold at small kiosk in rural area. Another way Cadbury Schweppes hopes to compete with Wrigley is on product development. Gum is highly versatile product, which can be made in wide range of flavours and textures. Different packaging also can add value to the product for the consumer and allow the manufacturer to charge higher prices. Table 1 % of the marketWhat are the main characteristics of an oligopoly? Give real world examples. Why could the market for chewing gum be said to be oligopolistic? Why do you think that firms choose not to compete on price? What are the main barriers to entry in the chewing gum market? - Use at least 5 economic textbooks as your references (please use these books if possible Foundation of Economics 2ndED, John Sloman, Economics 6th ED) - Reports must have an introduction, discussion and conclusions - Minimum 1000 words, maximum 1300 words and use the Harvard system of referencing.