A situation where a company creates conditions that makes it difficult for other firms to enter a market is known as:
A) a barrier to entry
B) economies of scale
C) a market blockade
D) market dominance

Question

Quizplus · Accepted Answer

A barrier to entry refers to the situation where a company creates conditions that make it difficult for other firms to enter a market. This can be achieved through various means, such as having exclusive access to key resources or patents, high entry costs, or government regulations, among others. By creating such barriers, the company can reduce competition and increase its market power, potentially leading to higher profits.

A Situation Where a Company Creates Conditions That Makes It