6.3

• MONOPELISTIC COMPETITION


  main feature is product differentiation.
• PRODUCT DIFFERENTIATION 


  slightly higher price than others.
• MONOPELISTIC COMPETITION


  competing firms have some control over price.
• MONOPELISTIC 3 FEATURES:

  1. firms sell differentiated product.
  2. the product group contains a large number of firms.
  3. there is free entry and exit into the market.
• FEATURES/CHARACTERISTICS

  1. large number of firms compete.
  2. each firms produces a differentiated product.
  3. firms compete on product quality, price and marketing.
  4. firms are free to entry and exit the industry.
• FORM OF MARKET


  sells different but close products.