AP MicroeconomicsMarket Structures
Product Differentiation
Product differentiation is the process by which firms make their products distinct from those of competitors through features, branding, or quality.
This allows firms to gain some control over price and reduce price elasticity of demand. It is a key feature of monopolistic competition and oligopoly, and can include advertising, packaging, or unique design elements.
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Monopolistic Competition →
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Monopolistic Competition →
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