SevenCloud Inc., a soft drink company, provided service to its customers for approximately one year until a new company called Sparkle Inc. came up. Sparkle provided flavored water as a new product in the beverage market. Customers were eager to try out this new product and purchased it because they preferred it over aerated beverages. SevenCloud was afraid that if this trend continued, it would soon run the risk of going out of business. In this scenario, which of the following did SevenCloud Inc. experience?
A)Opportunity
B)Threat
C)Weakness
D)Merger

Question

Quizplus · Accepted Answer

SevenCloud Inc. experienced a threat from the new product introduced by Sparkle Inc. that attracted customers away from their own product.