Which model highlights the effects of market power obtained from product differentiation?

Question

Quizplus · Accepted Answer

The monopolistic competition model highlights the effects of market power obtained from product differentiation. In this model, firms can charge a premium price for their differentiated product due to a perceived difference in quality or features. However, there are still many firms competing in the market, preventing any one firm from having complete market power.

Which Model Highlights the Effects of Market Power Obtained from Product