Which industry would be best characterized as monopolistically competitive?

Question

Quizplus · Accepted Answer

Web design consulting is best characterized as monopolistically competitive because there are many small firms offering similar but differentiated services. These firms compete on product differentiation and customer service, but they do not have complete control over prices due to the presence of many close substitutes in the market.

The other industries listed (smartphone manufacturing, Internet-search sites, and business cloud-computing services) either have a few dominant players (oligopoly) or a single dominant player (monopoly), so they are not considered monopolistically competitive.

Which Industry Would Be Best Characterized as Monopolistically Competitive