There are many restaurants in a city, each one offering food and services that differ from those of its competitors. There is also free entry of sellers into the market, and each seller serves a very small fraction of the total number of meals served each day. The restaurant industry in Raleigh is best categorized as:

Question

Social Studies

Lina Park

8 May, 10:59

There are many restaurants in a city, each one offering food and services that differ from those of its competitors. There is also free entry of sellers into the market, and each seller serves a very small fraction of the total number of meals served each day. The restaurant industry in Raleigh is best categorized as:

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Answers (1)

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Travis Hendricks · Answer 1

Answer: monopolistically competitve

Explanation:

Yes they are competitive, but taking into cognisance that they offer differing services and there is a level of uniqueness with each restaurant, so there is a monopolistic competition between them.