In monopolistic competition, which of the following would make an individual firm's demand curve less elastic?
the purchase of more efficient machinery
an increase in the price of the firm's product
increased brand loyalty toward the firm's product
an increase in the number of rival firms

In a monopolistic competition the firm faces a downward sloping demand curve. There are a number of firms in the market which are producing close substitutes. So, the firm faces an elastic demand curve. Which means that the quantity demanded will fall when there is an increase in price level.

Though if people have certain degree of loyalty toward the firm's product, the consumer will prefer the product even when price increases.

So, the loyalty towards brand will make the demand curve less elastic.

In monopolistic competition, which of the following would make an individual firm's demand curve less elastic? the purchase of more efficient machinery an increase in the price of the firm's product increased brand loyalty toward the firm's product an increase in the number of rival firms

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In monopolistic competition, which of the following would make an individual firm's demand curve less elastic?
the purchase of more efficient machinery
an increase in the price of the firm's product
increased brand loyalty toward the firm's product
an increase in the number of rival firms