Applying the Five Forces Model to the Airline and Soft

question 67

Multiple Choice

Applying the five forces model to the airline and soft drink industries demonstrates all EXCEPT which of the following?

• A) The soft drink industry has fairly low forces.
• B) The airline industry has a high level of forces.
• C) The profit level should be higher in the soft drink industry than the airline industry.
• D) The macro environmental forces are similar between the airline and soft drink industries.

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Definitions:

Would-be Entrepreneurs

Individuals who aspire to establish and manage their own business, often in the process of developing their ideas and acquiring necessary resources.

Private Investors

Individuals or entities that invest their own funds into private ventures, startups, or businesses seeking to grow or expand operations.

Risk Mitigation

Strategies and actions implemented to reduce, control, or eliminate identified risks to a project or business.

Too Much Control

A situation where excessive governance or oversight can stifle creativity, decision-making, or operational efficiency.