In Germany, there are nearly eight thousand miles of superhighways known as autobahns where no speed limits for cars are enforced. Many Germans enjoy driving at 150 mph or more, and German automakers must build cars capable of safely reaching and maintaining such speeds. This conditional requirement on German automakers represent what aspect of the diamond model?

Question

Quizplus · Accepted Answer

The diamond model's "demand conditions" refer to the nature and size of the domestic market demand for an industry's products or services. In this case, the high-speed driving culture in Germany creates a demand for cars that can safely reach and maintain high speeds, influencing automakers to meet these expectations.

In Germany, There Are Nearly Eight Thousand Miles of Superhighways