In the short run, a firm in a monopolistically competitive market operates much like a monopoly.
When several businesses provide rival goods or services that are comparable but imperfect alternatives, monopolistic competition develops. In a monopolistic competitive industry, entry barriers are low and rivals are not immediately impacted by the choices of any one business.
The most prevalent sort of monopolistic competition is found at fast food outlets like McDonald's and Burger King, which offer hamburgers. Although the items sold by the two firms previously mentioned are practically identical, they are not a direct alternative to one another.
Hence the correct option is C
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