Which of the following is not a potential barrier to entry into a monopoly market?
A)The market is a natural monopoly.
B)The incumbent firm owns a key resource.
C)The government intervenes in the market.
D)A new type of product is offered.

Question

Quizplus · Accepted Answer

A potential barrier to entry into a monopoly market typically involves factors that prevent or discourage new competitors from easily entering the market. Offering a new type of product does not inherently act as a barrier to entry; instead, it could potentially create a new market or segment. In contrast, natural monopolies, control over key resources, and government intervention can all serve as significant barriers to new entrants.

Which of the Following Is Not a Potential Barrier to Entry