In this essay we will discuss about:- 1. Meaning of Monopolistic Competition 2. Features of Monopolistic Competition 3. Price Output Determination 4. Selling Costs. Essay on Monopolistic Competition Essay # 1. Meaning of Monopolistic Competition: Economists found that perfect competition and pure monopoly were unrealistic market situations. The actual market situations are somewhere between perfect competition and pure monopoly. The [...]
Get the answer for: What is Monopolistic Competition? Monopolistic competition, observes E. Chamberlin, is a composite of monopoly and competition. It refers to a market situation in which there are a large number of producers but their products or services are so differentiated that the product of one firm is not regarded as a perfect substitute for that of another. [...]
In this article we will discuss about the sources and importance of product differentiation. Product variation refers to any change that alters 'the physical characteristics of a product' or 'the conditions under which it is sold' like changing the colour of a toothpaste tube. This is done by firms to raise their market share of a product. Consider, for example, [...]