n NISM Certifications
XV NISM Series XV
Medium

Which industry is least affected by the threat of substitutes?

Practice question from NISM XV Mock Test 7 — bank. The correct answer is highlighted below with a full explanation.

Options

  1. A

    Computers

  2. Healthcare

    Correct answer

  3. C

    Automobiles

  4. D

    Telecom

Why this is the answer

Essential industries like healthcare face low threat of substitutes because their services cannot be easily replaced. Other sectors, such as computers or telecom, have more alternatives, making them more vulnerable to substitution.

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