Question
For each of the following scenarios, identify the number of firms present, the type of product, and the appropriate market model. Select the matching entry
For each of the following scenarios, identify the number of firms present, the type of product, and the appropriate market model. Select the matching entry for each dropdown box in the following table.
Scenario | Number of Firms | Type of Product | Market Model |
---|---|---|---|
In a major metropolitan area, there are many coffee shops, but one chain has gained a large market share because customers feel its coffee tastes better than its competitors'. | |||
There are dozens of pasta producers that sell pasta to hundreds of Italian restaurants nationwide. The restaurant owners buy from the cheapest pasta producer they can. While pasta manufacturers must pay licensing fees to their local government and undergo regular food-safety inspections, anyone who has passed inspections can acquire and maintain their license. | |||
In a large city, two taxi companies own all the licenses that the city will grant to operate taxis. Consumers don't care which cab company they takeif they decide it's worth taking a cab, they flag down the nearest one. | |||
The government has granted the U.S. Postal Service the exclusive right to deliver mail. |
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