Porter's "Diamond" Model

question 26

Multiple Choice

Porter's "diamond" model:

• A) Explains competitive advantage of leading industries within the same country
• B) Explains competitive disadvantage of globally leading industries in different countries
• C) Has been criticized for ignoring history
• D) Has been criticized for focusing on institutions

---

Definitions:

Markup Percent

The proportion added onto the purchase price of products to account for overhead costs and gain a profit.

Cost

The amount of money required to purchase something or the expenditure incurred to produce something.

Markup Percent

The percentage by which the cost of a product is increased to determine its selling price.

Cost

The amount of money required to purchase something or the expense associated with creating a product or service.