Monopolistically competitive businesses can have some influence over their product prices since their goods differ from those of other businesses in their industry.
Due to the fact that it does not produce at the minimum of its average cost curve or where P = MC, a monopolistically competitive firm is inefficient. As a result, a firm that is monopolistically competitive would typically produce less at a higher cost and charge more than a firm that is perfectly competitive.
It is a market structure in which the market is dominated by just one seller. Since they are the sole providers of goods or services in specific industries and hold the majority of the market share, businesses operating under monopolies typically have an edge over potential competitors.
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