The market situation of a monopolistic competitor is made more complex than our simple revenue-and-costs graphs would suggest, because the firm in reality juggles three decisions:

A) price, output quantity, and revenues.
B) revenue, costs, and profits.
C) advertising, resources, and product.
D) price, product, and advertising.

Monopolistic Competitor

A firm in a market structure where many companies sell products that are similar but not identical, leading to non-price competition.

Revenue-And-Costs

The financial inflows associated with business operations and the expenditures required to generate revenue.

Price

Price is the amount of money expected, required, or given in payment for something, serving as the economic mechanism that balances supply and demand in markets.