Many oligopolistic markets are characterised by non-price competition. In such markets, advertising is the main competitive mechanism.

Do oligopolists advertise?

Advertising in Oligopoly

The oligopolists can increase their market share through advertising, and they compete based on advertising rather than on pricing (McConnell and Brue 492). Excessive advertising by the Oligopolist is used as a barrier against the entry of other firms.

Do monopolies need to advertise?

Another characteristic of monopolies is that they do not need to advertise their product to increase market share. They generally use public relations and advertising to increase awareness of their products and to maintain a good relationship with their buyers.