Cima E2 Exam Question No 19

Question No 19:

What is the Non-substitutable?

A substitute is a product that fulfils the same need as the product being produced. The key need for a hotel is to have somewhere to stay, so substitutes might include camping, hostels and guest houses. If our hotel was a luxury hotel, where the need was to have somewhere to stay in the city center in a luxurious, comfortable environment, those substitutes would not suffice and the hotel would become non-substitutable.