In a monopolistically competitive market, what shape does the demand curve faced by an individual firm typically take?

In a monopolistically competitive market, the demand curve faced by an individual firm is typically downward sloping. This means that as the firm lowers its prices, it can sell more of its product, and if it raises prices, it will sell less. The reason for this shape is that firms in this market sell products that are similar but not identical, giving them some control over pricing. For example, if a small bakery offers unique cupcakes, it can charge a higher price than a supermarket. However, if it raises prices too high, customers might choose to buy from the supermarket instead, showing how the demand curve reflects consumer choices based on price and product differences.