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Example of U.S. Pharmaceutical Wholesaling Industry is:

a) Auto Manufacturing
b) Electronics Retailing
c) Pharmaceutical Wholesaling
d) Fast Food Franchising

1 Answer

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Final answer:

The U.S. Pharmaceutical Wholesaling Industry is different from fast food franchising, with the former involving exclusive distribution of drugs by potentially monopolistic firms and the latter involving multiple businesses operating under a brand's license.

Step-by-step explanation:

An example of the U.S. Pharmaceutical Wholesaling Industry is not fast food franchising. These are distinctly different sectors, as pharmaceutical wholesaling deals with the distribution of prescription and non-prescription drugs to retailers, healthcare providers, and other entities, while fast food franchising revolves around the licensing of a company's business model and brand for a restaurant to operate. The relevance of monopolies in the context of pharmaceutical wholesaling is notable in cases where a new drug is produced exclusively by one firm, with no close substitutes available.

In contrast, fast food franchises are typically spread across multiple businesses which support diversification within the industry. The pharmaceutical industry may indeed have instances that resemble monopolistic tendencies, particularly when medications patented by a single company are involved. This can lead to higher drug prices and less competition, until the patent expires and generic pharmaceuticals, which are cheaper alternatives, enter the market.

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