Traditional competitive analysis could not explain quantitative and qualitative differences

Traditional - examples of product differentiating firms This new trend among producers demands a different approach to analyze their behavior Two

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Traditional competitive analysis could not explain quantitative and qualitative differences. The conclusion drawn was that modern competitive firms deliberately create qualitative differences in their products and in their selling activities. In other words, modern firms differentiate their products. Firms producing biscuits, soaps, chocolates, stereo systems and TV sets are all
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Unformatted text preview: examples of product differentiating firms. This new trend among producers demands a different approach to analyze their behavior. Two young economists Joan Robinson in England and Prof. E. H. Chamberlin in the U.S presented their respective theories on Imperfect Competition and Monopolistic Competition in the earlier half of the 20 th century....
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This note was uploaded on 11/26/2011 for the course ECON MICRO ec 201 taught by Professor - during the Fall '10 term at Montgomery.

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