When Products Are Differentiated by Location,what Kind of Trade-Offs Exist

Multiple Choice

When products are differentiated by location,what kind of trade-offs exist?

A) Firms that sell the same product at different locations have a monopoly in their location, and buyers pay a higher price.
B) the larger the numbers of firms that sell the same product at different locations, the higher the level of variety
C) the smaller the numbers of firms that sell the same product at different locations, the higher the average cost of production
D) the larger the numbers of firms that sell the same product at different locations, the higher the average cost of production