Which of the Following Fundamental Insights Was Provided by Porter's

question 109

Multiple Choice

Which of the following fundamental insights was provided by Porter's five forces framework from the completion of the Alta Velocidad Española (AVE) in 2008?

• A) A strong threat of substitutes decreases the rivalry among existing competitors.
• B) All the five forces must work together to have a meaningful impact.
• C) Any of the five forces on its own, if sufficiently strong, can extract industry profitability.
• D) Competition must be defined more narrowly to remain confined to the industry's closest competitors.

---

Definitions:

Unknown Area

A concept or location that is not known or familiar.

Sincere Trust

A genuine and heartfelt confidence in the reliability, truth, ability, or strength of someone or something.

Appropriate Information

Data or knowledge that is suitable and relevant to the context or situation at hand, aiding in decision-making or problem-solving.

Self-disclosure

The act of revealing personal information, thoughts, or feelings to others, fostering intimacy or trust in relationships.