Which of the following types of firms is likely to be a monopolistic competitor?

C is not correct answer. Because restraunt cannot have independent decision making. For example it cannot offer delicacy at double price than average price by other restraunt. It has to be in line with other to make it reasonable for its customers. A telephone company can be a right example. For example etisalat . It can determine cost of its services independently in UAE.

My answer is option (C) a Restaurant

I CHOOSE OPTION C ........................................................................

1. The correct answer was: c. A restaurant.. A restaurant. 

""A""      local telephone company.              Thank You

c. A restaurant.................................................................................................

Which of the following types of firms is likely to be a monopolistic competitor?

 

c. A restaurant. 

C---------------- is the correct answer

Monopoly is the exclusive possession or control of the supply of or trade in a commodity or service.

That would make option A the correct answer especially if it was a state-owned (nationalized) telephone company.  Neither an automobile company or restaurant could be monopolistic in that sense unless theirs was the only product/s available for miles around with no other strong competitor.

the right answer c...................................................................................................

RESTAURANT

Monopolistic competition is a type of imperfect competition such that many producers sell products that are differentiated from one another..