Entrepreneurship and Small Business (ESB) Certification 2026 – 400 Free Practice Questions to Pass the Exam

Question: 1 / 405

What is an example of indirect competition?

Martial arts center

Gymnastics center

Trampoline park

Indirect competition refers to businesses that offer different products or services but compete for the same consumer spending. In this context, a trampoline park represents an example of indirect competition because it provides a form of entertainment and physical activity that can appeal to the same audience looking for recreational activities as the other options listed—martial arts centers, gymnastics centers, and dance schools.

While all the choices involve physical activities, the trampoline park offers a unique experience distinct from the structured training or classes found in martial arts, gymnastics, or dance schools. Families or individuals may opt for a trampoline park instead of attending a class at one of the other facilities, especially when seeking leisure, a fun day out, or an alternative way to exercise. This reflects how different types of businesses can indirectly compete for the same customer base, as they are all vying for the consumer's time and discretionary spending on recreational or fitness activities.

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