Question
The startup founders of 'Barbeque-India' are seeking your support to plan the launch of the dine-in food chain as of now, restricting to North India.
The startup founders of 'Barbeque-India' are seeking your support to plan the launch of the dine-in food chain as of now, restricting to North India. They are eager to know if they can charge high prices for their menus, even if the competition in restaurant industry looks tight. In the Indian restaurant market, do we find characteristics of oligopoly competition? Or can we consider the restaurant market as a monopolistic competition? Guide them about the pricing practices based on your understanding about the market dynamics. What kind of economic profits restaurant business expect in the long run? Justify. Support your justification with suitable diagram/s
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