A student preparing for a team presentation has created the following PowerPoint slide. It gives four explanations, supposedly based on Porter's diamond, for the position of comparative advantage enjoyed by the French luxury goods sector.

Strategy, Structure, Rivalry: The industry is dominated by a few large firms, which face less bankruptcy risk than smaller firms would. Endowments: Demand Conditions: Talented designers come to There is strong demand France from all over the world throughout the world for to participate in the industry. luxury goods. Supporting Industries: France has been home to specialists in weaving, leather working, and fabric dyeing since the Middle Ages