Consider an Industry That Is Monopolistically Competitive

Consider an industry that is monopolistically competitive. In such a market,

A) firms set prices without any threat of competition.
B) only one firm is present in the industry.
C) firms can charge slightly different prices even though they produce identical goods.
D) firms set prices and are constrained by the existence of close substitutes for their product.
E) firms do not have any price- setting ability because the product is homogeneous.