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Dave owns a soda and cookie shop. Match the businesses to the correct competition type. Bakery Shaved ice truck Direct competition Fast-food restaurant Indirect competition Convenience store

Question

Dave owns a soda and cookie shop. Match the businesses to the correct competition type.
Bakery
Shaved ice truck
Direct competition
Fast-food restaurant
Indirect competition
Convenience store

Dave owns a soda and cookie shop. Match the businesses to the correct competition type. Bakery Shaved ice truck Direct competition Fast-food restaurant Indirect competition Convenience store

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NaomiMaster · Tutor for 5 years

Answer

1. Bakery - Direct competition<br />2. Shaved ice truck - Indirect competition<br />3. Fast-food restaurant - Indirect competition<br />4. Convenience store - Indirect competition

Explain

Direct competition refers to businesses that offer similar products or services and aim to attract the same customer base. Indirect competition refers to businesses that may not offer the same exact products but still fulfill similar consumer needs, thus competing at some level.<br /><br />1. Bakery: It can be seen as direct competition because it sells similar products like cookies and other baked goods.<br />2. Shaved ice truck: This falls under indirect competition since it offers a different product, but both target people looking for treats.<br />3. Fast-food restaurant: Another form of indirect competition because it caters to people who want quick and convenient food options.<br />4. Convenience store: Also indirect competition, as it provides other items that may satisfy similar consumer needs but isn't specialized in soda and cookies.
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