The market structure most associated with the fast-food industry is because the firms in the industry produce products that are. a. monopoly; unique b. oligopoly; similar or identical c. monopolistic competition; similar but not identical d. perfect compe (2024)

FAQs

The market structure most associated with the fast-food industry is because the firms in the industry produce products that are. a. monopoly; unique b. oligopoly; similar or identical c. monopolistic competition; similar but not identical d. perfect compe? ›

The correct answer is c. monopolistic competition; similar but not identical. The fast-food industry has all the characteristics of monopolistic competition. First of all the products are slightly different.

Monopolistic competition is a market structure in which firms sell similar but not identical products.

Some customers have a preference for McDonald's over Burger King. Some have a preference for Dominoes over Pizza Hut. These preferences give monopolistically competitive firms market power, which they can exploit to earn positive economic profits.

The degree of differentiation is highly variable but not absent, such as in the case of a perfectly competitive market. This makes the fast-food industry a monopolistic competition. All producers produce and supply slightly differentiated goods and services that cannot be substituted for each other perfectly.

Answer and Explanation: The oligopoly market structure is inevitable in the diamond industry.

McDonald's was the most valuable fast food brand in the world in 2022. That year, the burger behemoth had a brand value of 196.5 billion U.S. dollars. Meanwhile, coffeehouse chain Starbucks followed behind in not-so-close second place with a brand value of 61.7 billion U.S. dollars.

Creating a loyalty program for customers is one of the most effective fast food marketing strategies. Loyalty programs reward customers for repeat visits by offering discounts and other special offers. For example, customers can earn loyalty points when they purchase items from a fast food chain.

Answer and Explanation:

The fast-food industry has all the characteristics of monopolistic competition. First of all the products are slightly different. There are advertising and marketing that can help to emphasize the product differentiation. Competitors have some control over the market price.

Monopolistically competitive industries are those that contain more than a few firms, each of which offers a similar but not identical product. Take fast food, for example. The fast food market is quite competitive, and yet each firm has a monopoly in its own product.

It is the most common market structure. Fast food restaurants, hotels, gas stations, clothing stores, medical practices, legal firms, and hair salons are several industries that are monopolistically competitive, assuming they locate in areas with other companies that serve the same clientele.

What market structure is food? ›

Restaurants are a monopolistically competitive sector; in most areas there are many firms, each is different, and entry and exit are very easy. Each restaurant has many close substitutes—these may include other restaurants, fast-food outlets, and the deli and frozen-food sections at local supermarkets.

The food industry is one of the most competitive and dynamic sectors in the global economy. To succeed in this market, you need to understand how your business compares to your rivals and how you can create a sustainable competitive advantage.

Competitive advantage is an attribute, quality, or aspect of a restaurant's products, services, or environment that makes it a preferred choice for people when compared to other options (competitors), that is other restaurants.

Monopolistically competitive industries are those that contain more than a few firms, each of which offers a similar but not identical product. Take fast food, for example.

African claim-holders were suspected of IDB (Illicit Diamond buying), because they spoke the same language and had similar backgrounds to many of the workers. This led to riots in 1875 in which whites attacked African or Asian claim-holders. The British authorities responded by cancelling all claims owned by blacks.

Market structure refers to the way that various industries are classified and differentiated in accordance with their degree and nature of competition for products and services. It consists of four types: perfect competition, oligopolistic markets, monopolistic markets, and monopolistic competition.

In general, restaurants fall under monopolistic competition market structure.

The restaurant industry (monopolistically competitive nationwide) provides an example of a monopolistically competitive market. In most areas, there are many firms, each is different, and entry is easy.

Market Structure of McDonald's.

McDonald's is considered as an Oligopoly because oligopoly can only exist when a few firms are dominating the industry and have the ability to set prices. McDonald's cannot be considered as a Monopoly because it does not single sell a good which is unique.