Substitute products
A) reduce the potential attractiveness and profitability of a target industry.
B) represent those items manufactured by direct rivals within a target industry.
C) are usually cheaper than the products they can replace.
D) are always a serious threat to rivals in a target industry.

Question

Quizplus · Accepted Answer

Substitute products are products that can be used as alternatives to a target product, and they can reduce the potential attractiveness and profitability of a target industry. This is because consumers can easily switch to substitute products if they are cheaper or offer better features, which can reduce demand for the target product and limit the pricing power of the industry.

Substitute Products