Product differentiation that makes the product better than a rival's product from everyone's perspective

A) always increases welfare.
B) is known as vertical differentiation.
C) is known as horizontal differentiation.
D) makes the rival's product obsolete.

Vertical Differentiation

A market condition where products are differentiated based on quality, with consumers willing to pay more for higher-quality items.

Welfare Increase

Welfare increase refers to an improvement in the overall well-being and economic status of individuals or communities, often measured by factors such as income, employment, and access to services.