How does product differentiation relax price competition, Project Management

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How does product differentiation relax price competition

1. How does product differentiation relax price competition? Illustrate with examples.

2. How does the number of firms in the industry affect the equilibrium of quantity competition?

3. When firms choose first their capacity of production and next, the price of their product, this two-stage competition sometimes looks like (one-stage) Cournot competition. Under which conditions?

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