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How firms in monopolistic competition differentiate

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Explore how firms in monopolistic competition differentiate their products or services to generate a market niche and gain more control over their pricing. To what extent can product differentiation create barriers to entry? How can product differentiation help firms to increase their short-run profits? Give an example of a firm in monopolistic competition, and discuss the strategies used by the firm to differentiate itself and perhaps earn economic profits in the short run. Give specific real-world examples in your post. At least 2 academic resources.

Reference no: EM13951646

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