As shown in the I Love Lucy video clip, A Little Bit of Cuba and a Big Hunk of America are both in the restaurant market. Imagine the kind of market structure that restaurants in general operate in.
a. Using the table provided in the AVP describing the characteristics of the different market structures, classify the market structure that restaurants in general operate in. Explain your reasoning.
b. Choose a different firm from a different market structure and explain the characteristics of that market. It is best to go with a firm you frequent or are familiar with so you can speak from your own personal experiences. Note: Make sure that in parts a. and b. you described how competition affects the buyers and sellers involved in these market structures.