Question

Jim and his family have developed a successful business selling a liquid spray fertilizer to farmers. The fertilizer consists of rich, organic, composted material. Recently NuBreed Seed, a national seed company, has been marketing a powdered chemical fertilizer to its customers; NuBreed's fertilizer is less expensive than Jim's product. NuBreed's efforts are an example of the ________ in Porter's model for industry analysis.

Answer 1

Threat of substitute products and services

Step-by-step explanation:

In simple words, The threat of alternatives or substitutes can be defined as the problem of existence of several other goods from outside a sector that a consumer might buy. An industry's economic framework is challenged as alternative goods are present that offer a similarly similar match of advantages at a reasonable price.

Thus, from the above we can conclude that the given case depicts threat of substitutes.