Which of the following can create a barrier to entry?
A)Existence of dominant firms
B)Government regulation
C)Patents
D)Size of investment required
E)All of the above

Question

Quizplus · Accepted Answer

All of the options listed can create a barrier to entry. The existence of dominant firms can deter new competitors from entering the market, as it can be difficult to compete with established players. Government regulations can create obstacles for new companies to enter the market, such as licensing requirements or high compliance costs. Patents can provide legal protection for companies with new and innovative products or processes, preventing others from entering the market with identical or similar offerings. The size of the investment required can also create a barrier to entry, as it may be difficult for new companies to raise enough capital to compete with established firms.

Which of the Following Can Create a Barrier to Entry