Think about a firm that you have done business with recently. What industry does

Question

Think about a firm that you have done business with recently. What industry does this firm belong to? For example, McDonald's is a firm in the fast food industry. What market structure would this industry fall under? What are the names of other firms in this industry? Is it monopolistic competition, oligopoly, monopoly, or perfect competition? Justify your classification of the firm. Use the characteristics/features of the different market structure to determine which market structure to classify your chosen firm.

Explanation / Answer

Being that i just ate subway, i believe its an appropriate subject for this topic. Subway would best fit into the fast food industry, which would then most fit into a monopolistic competition. I believe it would be monopolistic competition because from the lecture "Monopolistic competition industry has dozens of firms while an oligopoly industry has only a handful of firms that make up the industry". There are many many different types of fast food restaurants and eateries from big names such as McDonalds to small family owned ones. Subway does have to compete with all the other restaurants though so even though i'm sure it strives to get as many people in as it can it does have to compete with literally hundreds of other places that people can chose from.

Related Questions

Navigate

• Browse (All)
• Browse T
• Subjects

---

---

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.