Apple introduced its iPhone 3G in July 2008 and within a month sales had topped 3 million units.By April 2009,more than 25 000 apps for the iPhone 3G were available in the iTunes store,an indication that in a competitive market,
A) the ease with which a new firm can enter is low.
B) the ease with which a new firm can enter is high.
C) entry into the market is blocked.
D) entry into the market is restricted in the short run, but becomes easier in the long run.

Question

Quizplus · Accepted Answer

The availability of over 25,000 apps within a year of the release of iPhone 3G indicates that the ease with which new firms can enter the market is high. The large number of apps in the iTunes store suggests that many developers could compete in the market and create new apps for the iPhone 3G.

Apple Introduced Its IPhone 3G in July 2008 and Within