Due to a Decrease in the Number of Independent Diamond

question 16

Short Answer

Due to a decrease in the number of independent diamond mines over the past 30 years,jewellery makers have had fewer businesses to purchase their inputs from.Such a situation would most closely be associated with the ______________________ (four words)in Porter's 'five forces' model.

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Definitions:

Income Effect

The modification of income for someone or within an economy, and its subsequent impact on how much of a good or service is sought after.

Engel Curve

A graph showing the relationship between a consumer's income and their expenditure on a specific good.

Beer Type

Classifications of beer determined by factors like flavor, color, brewing method, and origin.

Substitution Effect

The substitution effect occurs when consumers replace more expensive items with less expensive alternatives due to a change in relative prices.