Conditions that may prevent new firms from entering an industry (e.g., the use of patents) are referred to as
A) Barriers to entry.
B) Roadblocks.
C) Unfair trade practices.
D) Insider trading.
E) Trade protectionism.

Question

Quizplus · Accepted Answer

Barriers to entry are conditions that prevent new companies from entering an industry. Patents are one example of a barrier to entry.

Conditions That May Prevent New Firms from Entering an Industry