There are estimated to be thousands of independent boutique yoga and pilates studios operating in urban centers across the UK. Over the past decade, consumer demand for specialized wellness experiences, customized class schedules, and unique studio environments has grown substantially. These independent studios operate in a monopolistically competitive market, sharing similar characteristics with local artisanal bakeries and independent hair salons.
Evaluate, using appropriate diagram(s), whether monopolistic competition in markets such as boutique wellness and fitness studios benefits consumers.
4 exam-style questions on OCR A Level Economics Monopolistic competition. Each one has a worked solution and a mark scheme showing where the marks go.