People want more than one thing so diversity may easily fail to overcome the desire for cheaper prices etc.

That’s the fundamental advantage to many kinds of regulations, markets can’t convey unlimited information. We don’t want people constantly trying to decide where to eat based on the perceived risks of food born illness rather than price and how good the food tastes etc. By minimizing the risks of trying new restaurants you increase competition in other areas.

People as a whole balance diversity against the benefits of picking most-popular / best-in-breed (e.g. better support, reliability, and features; because it's funded at scale).