Any company producing MP3 players faces one of the tightest competitions in the market. Here the product differentiation given rise to an element of monopoly to the producer over the competing product. As such the. Monopoly is a structure where there is one dominant firm, which sets very high barriers for other companies to enter, thus leading the market. Products offered in this market are very unique.
Monopolistic Competition - Term Paper
Hayek held an opposing view with emphasis on economic liberalism. Keynes was in favor of government influence in determining monetary supply in the economy. The government must use tax, spending notwithstanding deficits as economic instruments for the economy. Keynes believed that when these tools are a proper use, the economy will realize full….
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Advertising is the number one factor when communicating to customers informing them about the brands available and the variety of products offered to them MSG. Although the company AllStar leads the market in OTC cold and allergy, better advertisements can help the company to gain an even greater percentage of its market segment. Focusing on advertisement, the MMT will also work with the companies direct and indirect sales force to ensure that the brand gets eye-catching placement on.
The market for this company is fast food specifically, burgers. Each company advertises virtually the same product, but certain companies produce a product that is slightly better than the products produced by other companies, so these companies have a slight advantage. The presence of a large number of companies indicates that there are few barriers for a new company to enter this market. An example of a firm operating in an oligopoly is Pepsi Co. This company operates in an oligopoly because there are a few companies in the soft drinks market, which indicates that there are lots of barriers for a new company to enter the market.