Which of the following is not a good example of a substitute product that triggers stronger competitive pressures?
A) A salad as a substitute for French fries
B) Wireless phones as a substitute for wired telephones
C) Coca-Cola as a substitute for Pepsi
D) Snowboards as a substitute for snow skis
E) Video-on-demand services from a cable TV company as a substitute for going to the movies

Question

Quizplus · Accepted Answer

Coca-Cola and Pepsi are very similar products and are often considered substitutes for one another, so their presence as substitute products would not necessarily trigger stronger competitive pressures. The other options represent products that are more distinct substitutes and would likely create stronger competitive pressures.

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