Answer: Please refer to the explanations section
Step-by-step explanation:
The question is in incomplete, the two strategies that the question refers to are not given in a question. we will discuss product differentiation in relation to monopolistic competition and give examples of differentiation strategies.
Product differentiation are one of the factors that give a firm market power. Product differentiation ensures that the product has no close substitutes in the minds of consumers which will then make price elasticity of demand to be very low or in elastic. Consumer's respond to price changes would be very minimal if the product is properly differentiated which is what monopolistically competitive firms want.
Product differentiation strategies
- Create your own niche market
- Communicate the differentiated product advantages to consumers