The market for smartphones is characterized as a monopolistically competitive market, as companies differentiate their product from that of competitors through extensive marketing campaigns. One firm in this market is depicted below, and it is in long-run equilibrium.

Most smartphone manufacturers are switching to the use of OLED screens in their smartphones because ofthe superior brightness and weight savings compared to alternative screen technology. This has resulted in an acute shortage of OLED screens, and it has driven up the cost of OLED screens in the short run.

In the figure below, depict the impact of the increased cost of OLED screens by shifting the appropriate curve, or curves.