An industry with a high concentration ratio might still be competitive if
A) there are no close substitutes for its product.
B) its barriers to entry are low.
C) its production is geographically concentrated.
D) it has a high ratio of value added to sales.

Question

Quizplus · Accepted Answer

Low barriers to entry allow new firms to enter the market easily, increasing competition even if the industry has a high concentration ratio.

An Industry with a High Concentration Ratio Might Still Be