Asked by Tyler Lewis on May 11, 2024
Verified
Monopolistically competitive firms use a(n) ________ strategy to achieve market power.
A) product differentiation
B) dominant
C) maximin
D) opportunistic behavior
Product Differentiation
The strategy of making a product or service stand out from competitors in the market by emphasizing unique features, quality, or branding.
- Become aware of the role that differentiating products plays in providing businesses in monopolistically competitive markets the ability to partially influence price determination.
- Determine the strategic approaches deployed by businesses within monopolistically competitive markets.
Verified Answer
VG
Varniraj GajeraMay 17, 2024
Final Answer :
A
Explanation :
Monopolistically competitive firms use product differentiation as a strategy to achieve market power by making their products appear unique compared to competitors.
Learning Objectives
- Become aware of the role that differentiating products plays in providing businesses in monopolistically competitive markets the ability to partially influence price determination.
- Determine the strategic approaches deployed by businesses within monopolistically competitive markets.
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