Final answer:
A natural barrier to entry is defined as a barrier that arises because of patents or licenses that exclude others from producing a good or service.
Step-by-step explanation:
A natural barrier to entry is defined as a barrier that arises because of:
a. one firm owning a key natural resource
b. many firms producing the good and thereby allowing choice for all consumers
c. patents or licenses that exclude others from producing a good or service
d. technology that allows one firm to meet the entire market demand at lower average total cost than could two or more firmsThe correct answer to your question is option c. patents or licenses that exclude others from producing a good or service.
This is considered a barrier to entry because it restricts other firms from entering the market and producing the same good or service.
Patents and licenses grant exclusive rights to the original inventor or creator, preventing others from copying or producing the same product.