you are a consultant to price-setting firm (monopolist) Situation: The firm hasmarket-pricing power and is making a hefty economic profit.

you are a consultant to price-setting firm (monopolist) Situation: The firm has market-pricing power and is making a hefty economic profit. But, a potential rival firm to the market could cause problems. Your job is to develop a plan that could keep the potential rival firm out of the market. Please feel free to use graphs and numbers as a part of your plan.