Which of the following is NOT potentially a barrier to entry into a product market?
A) patent protection on the design of the product
B) the absence of economies of scale in the product market
C) the control of a crucial input necessary to produce the product
D) government licensing of the product's producers

Question

Quizplus · Accepted Answer

The absence of economies of scale in the product market is not a barrier to entry as it implies that even small firms can compete with larger ones without facing significant cost disadvantages. The other options, patent protection, control of crucial inputs, and government licensing are all potential barriers to entry that can prevent new firms from entering the market.

Which of the Following Is NOT Potentially a Barrier to Entry