Which of the following is not a good example of a substitute product that triggers stronger competitive pressures?
A)Lyft or Uber as a substitute for rental cars
B)Airbnb as a substitute for hotels and motels
C)Dasani water as a substitute for Aquafina water
D)Smartphones as substitutes for film cameras
E)Netflix and Amazon streaming video on demand as a substitute for DVD players

Question

Quizplus · Accepted Answer

While Dasani water and Aquafina water are both bottled water products, they are not distinct enough from each other to trigger significant competitive pressures. Consumers are likely to view them as interchangeable and so companies that produce these brands would not face significant challenges attracting and retaining customers. The other options all involve products or services that compete with each other in more meaningful ways, making them better examples of substitute products.

Which of the Following Is Not a Good Example of a Substitute