What is monopolistic competition in marketing sales?



What is monopolistic competition in marketing sales?..

Answer / Vikas Dubey

Monopolistic competition exists when a large number of firms compete in the same market, but with products that are differentiated from each other (e.g., branding, packaging, pricing). Barriers to entry and exit are low, resulting in numerous competitors vying for a share of the market. Firms in monopolistic competition have some market power due to product differences but not enough to significantly influence prices.

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