Question

A firm in an industry with many other firms spends a significant amount on advertising to ensure consumers recognize their logo. What type of market structure does this firm likely operate in

Answer 1

Monopolistic competition

Step-by-step explanation:

A monopolistic competition is when there are many firms selling differentiated products in an industry.

A monopolistic industry has characteristics of both a monopoly and a perfect competition. The demand curve is downward sloping. it sets the price for its goods and services.

An example of monopolistic competition are restaurants