The reason that the fast-casual restaurant market is monopolistically competitive rather than perfectly competitive is because A. there are many firms in the market. B. products are differentiated. C. entry into the market is blocked. D. barriers to entry are very low.

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Business

Gunnar Reid

23 March, 19:52

The reason that the fast-casual restaurant market is monopolistically competitive rather than perfectly competitive is because A. there are many firms in the market. B. products are differentiated. C. entry into the market is blocked. D. barriers to entry are very low.

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Answers (1)

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Alexus Gentry · Answer 1

B. products are differentiated

Explanation:

there are many firms (starbucks, seattles best, and a bunch of others), entry in to the market is not blocked, anybody can start a coffeehouse, and barriers to entry are very low. These are reasons that the market is not purely monopolistic or oligopoly. Differentiated products is the feature of monopolistic competition that applies here