Which of these trade models explains why a certain country continues to sustain a competitve advantage in a particular industry?
A) Porter's Five Forces
B) Diamond Model
C) Comparative Advantage
D) New Trade Theory

Question

Quizplus · Accepted Answer

The Diamond Model, developed by Michael Porter, explains why certain countries or regions sustain a competitive advantage in a particular industry. It considers four main factors: factor conditions, related and supporting industries, firm strategy, structure, and rivalry, and demand conditions. By analyzing these factors, the model explains how they work together to create an environment that supports the growth and success of a particular industry in a particular country or region.

Which of These Trade Models Explains Why a Certain Country