Frank Perdue differentiated his chicken from other firms chicken when he began marketing it under his name thus create the Perdue brand. When Frank Perdue began marketing chicken under his name the market for chicken was close to perfectly competitiv
Frank Perdue differentiated his chicken from other firms chicken when he began marketing it under his name thus create the Perdue brand. When Frank Perdue began marketing chicken under his name the market for chicken was close to perfectly competitive. Questions: A. What didPerdue gain by differentiating his chicken in this way? B. How did Perduesdifferentiation eventually alter the market structure of the industry? What were the gains and losses to society through this differentiation?C. Does the existence of product differentiation particularly through advertisingimply that the government should intervene in these markets? Why or why not?Copied and paraphrased from Carlton Dennis W. and Perloff Jeffery M. (2005): Modern Industrial Organization 4th ed.