Why Are Alliances in the Airline Industry Unstable

question 25

Multiple Choice

Why are alliances in the airline industry unstable?

• A) Unstable industries make for unstable alliances
• B) The alliances require cooperation among firms that must also compete with one another
• C) The potential for firms to take opportunistic actions is too widespread
• D) The industry is declining and profits are not sufficient to divide among alliance partners

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Definitions:

Tropical Communities

Tropical communities refer to the ecosystems found in the equatorial regions characterized by high biodiversity, warm temperatures, and significant annual rainfall.

Food Chain

The series of organisms through which energy flows in an ecosystem. Each organism in the series eats or decomposes the preceding organism in the chain.

Competitive Exclusion

A principle stating that two species competing for the same limiting resources cannot coexist at constant population values.

Character Displacement

The phenomenon where differences among similar species whose distributions overlap geographically are accentuated in regions where the species co-occur, but are minimized or lost where the species' distributions do not overlap.