Buisness Structure by Brooke Frederick https://padlet.com/bfrederi1/6jn93oe28p2c2is9 en-us 2021-10-25 18:53:29 UTC 2021-10-26 18:54:39 UTC hello@padlet.com Monopolistic Competition bfrederi1 https://padlet.com/bfrederi1/6jn93oe28p2c2is9/wish/1843200415 The market has many buyers and sellers. Businesses sell similar and unique products as their competition. There are not very many opportunities to enter or exit the market. The sellers are the price makers. The sellers will also use advertising to differentiate their products from other businesses.]]> 2021-10-25 23:19:50 UTC https://padlet.com/bfrederi1/6jn93oe28p2c2is9/wish/1843200415 Caribou Coffee bfrederi1 https://padlet.com/bfrederi1/6jn93oe28p2c2is9/wish/1843219920 Caribou Coffee makes unique drinks and makes some pretty decent coffee. Caribou Coffee would be considered a monopolistic competition in business structure because it sells unique drinks and coffee just like Starbucks, Dunkin Donuts, and etc.]]> 2021-10-25 23:34:12 UTC https://padlet.com/bfrederi1/6jn93oe28p2c2is9/wish/1843219920 Advantages bfrederi1 https://padlet.com/bfrederi1/6jn93oe28p2c2is9/wish/1846004385
  • customers can obtain a great variety of products and services since they are differentiated
  • consumers are informed about goods and services available in the market
  • higher quality of products
    • Example:
    • If you don't like Caribou Coffee, then you can get Starbucks. You have choices to choose from with Monopolistic Competition.
    ]]>     2021-10-26 18:47:29 UTC https://padlet.com/bfrederi1/6jn93oe28p2c2is9/wish/1846004385     Disadvantages: bfrederi1 https://padlet.com/bfrederi1/6jn93oe28p2c2is9/wish/1846021260
  • misleading advertising
  • could lead to too much choice for consumers and in turn to higher search costs.
  • excess waste of resources
    • Example:
    • If the price goes does down for Caribou Coffee, then Starbucks will lower their prices to attract customers. There are many options and it may cause a rise in price.

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