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Yes, a monopolistic competitor is considered a price maker because it has some degree of market power due to product differentiation. Unlike perfect competition, where firms are price takers, monopolistic competitors can influence their prices by changing the quantity they supply or by enhancing the perceived value of their products. However, their pricing power is limited by the availability of close substitutes, which means they must consider competitors' prices when setting their own.
What else can I help you with?
How does the elasticity of the monopolistic competitor's demand curve compare to that of a pure competitor or a pure monopolist?
A monopolistic competitor's demand curve is less elastic than apure competitor's which is less elastic than a pure monopolist's.
Is McDonald's a monopolistic competitor?
What is a competitor? Competitors are used as bench mark against the product.
How are a monopolistic firm and a competitive firm similar?
Monopoly means that there are no competitor for your product or servises
The monopolistic competitor faces a horizontal demand curve?
no, it actually faces downward-sloping. 100% sure, just read it in the book.
Under what market conditions is monopolistic competition possible?
a large number of sellers produce a product or service that is perceived by consumers as being different from that of a competitor but is actually quite similar
How does the elasticity of the monopolistic competitor's demand curve compare to that of a pure competitor or a pure monopolist?
A monopolistic competitor's demand curve is less elastic than apure competitor's which is less elastic than a pure monopolist's.
Is McDonald's a monopolistic competitor?
What is a competitor? Competitors are used as bench mark against the product.
How are a monopolistic firm and a competitive firm similar?
Monopoly means that there are no competitor for your product or servises
The market price may be an inappropriate transfer price if?
competitor s are practicing predatory pricing to eliminate competitor
The monopolistic competitor faces a horizontal demand curve?
no, it actually faces downward-sloping. 100% sure, just read it in the book.
How can lowering price upsell the competitor?
By lowering the price you might be able to sell more of your good at a cheaper price with a higher profit while your competitor sells a lesser amount with a higher price and almost matching your profit
What is Target's coupon policy?
Target coupons will be applied before the price match is made. If the competitor price is still lower than the price after the Target coupon has been deducted, the ad match can be adjusted to match the competitor's price.
What are the ways to use coupons at Target?
Target coupons will be applied before the price match is made. If the competitor price is still lower than the price after the Target coupon has been deducted, the ad match can be adjusted to match the competitor's price.
Under what market conditions is monopolistic competition possible?
a large number of sellers produce a product or service that is perceived by consumers as being different from that of a competitor but is actually quite similar
Why do monopolistic competitor operate at excess capacity?
Monopolistic competitors operate at excess capacity to discourage new firms from going into the industry, i.e, to deter entry. Operating at excess capacity means a firm produces large quantities of goods and at lower prices. This makes it difficult for newly established firms to compete, thus ensuring that the incumbent firm maintains its monopolistic position in the market.
Why set the selling price due to competition?
Competition is the biggest factor influence while setting the price because if set the price higher then competitor then competitor will outclass the product and if setting the price low then company will not able to compete and earn profit as much as competitors.
Explain price determination under monopolistic competition?
My heartfelt apologies, I don't mean to be rude. But, is this a loaded question? If it is a monopoly, there's no competition. Therefore you can determine the price any way you want. {eijgniy: hey there is such a market called monopolistic competition.
