What is the term for an oligopoly where firms do not make agreements and engage in non-price competition?

In this context, the term "non-collusive oligopoly" refers to a market structure where a small number of firms dominate the market, and these firms do not engage in formal agreements to set prices or output levels. Instead, they compete mainly through non-price factors such as advertising, product differentiation, and improved customer service. This type of competition allows firms to maintain some level of independence in their pricing strategies and market behavior while still being influenced by the actions of other firms in the oligopoly.

Non-collusive oligopolies tend to create an environment where firms are cautious about their pricing strategies; because each firm's decisions can greatly impact the others, they may look for alternative ways to compete rather than simply undercutting prices. This results in a dynamic where firms focus on building brand loyalty and improving product offerings rather than engaging in price wars that could potentially harm profits for all players involved.

The other terms provided describe different market structures. A monopoly involves a single firm dominating a market, while a collusive oligopoly indicates firms have agreed to coordinate actions to control prices or output. Oligopolistic competition is not a standard term in economics and is typically understood within the framework of oligopoly; thus, it does not accurately capture the specific aspect