Final answer:
Businesses aim to use advertising to distinguish their products and increase sales and profits by affecting the perceived demand curve. This strategic effort can result in a larger market share and an improved competitive position without deceiving consumers about product prices.
Step-by-step explanation:
The goal of a business in advertising is fundamentally to differentiate their products from those of competitors and to convince consumers that their products are worth purchasing. This is achieved in a monopolistic competition framework, where advertising can either make a firm's perceived demand curve become more inelastic or increase the demand for a firm's product. This shift can lead to the ability to sell greater quantities or to charge higher prices, thus increasing profits. Successful advertising campaigns contribute to a company's market share by attracting customers. However, ethical considerations are important, as the intent is not to deceive consumers with lower prices but to legitimately promote the value and benefits of a product or service.