In the Chamberlin model
a. the firms maximize sales rather than profits since market share is important for survival.
b. new firms do not enter the market in the long run because they fear price wars.
c. existing firms perceive their demand curve to be less elastic than the market demand.
d. products in an industry under consideration are considered to be close substitutes by consumers.
e. none of the above are true.
Answer: d. products in an industry under consideration are considered to be close substitutes by consumers.