Question

Which of the following is not an example of a barrier to entry?

a. Mighty Mitch’s Mining Company owns a unique plot of land in Tanzania, under which lies the only large deposit of Tanzanite in the world.
b. A novelist obtains a copyright for her new book.
c. A taxi cab driver in New York City obtains a license to legally provide transportation in New York City.
d. A college student starts a part-time tutoring business.

Answer 1

Answer: A college student starts a part-time tutoring business is not an example of a barrier to entry.

This is not an example of barrier to entry since in this particular case others students can easily utilize the same opportunity and enter into this particular business. In this case there is no legal barriers so that others cannot enter or exit into this industry or business.

Therefore the correct option is (d).