Question 1

Which of the following helps time-based competitors to improve product quality,reduce costs,and expand product offerings to satisfy new market segments and enhance customer satisfaction?

Accepted Answer

Flexibility and responsiveness help time-based competitors to adapt quickly to changes in the market and customer demands, which allows them to improve product quality, reduce costs, and expand product offerings to reach new market segments and enhance customer satisfaction. Validity and reliability are important factors in research and data analysis, but are not directly related to the activities of time-based competitors. Rigidity and vision may hinder a company's ability to adapt and may lead to a lack of innovation. Profitability and coverage are important for overall success, but do not specifically address the needs of time-based competitors.

Question 2

In the United States,four major music companies receive 80 percent of recording revenues.Such a market structure is termed as a(n)_____.

Accepted Answer

An oligopoly is a market structure where only a few firms dominate the industry, leading to high concentration of market power. In the case of the music industry, the four major music companies - Sony Music, Universal Music Group, Warner Music Group, and EMI - control 80 percent of the recording revenues, indicating a high level of concentration and domination.

Question 3

Which act prohibits restraint of trade and monopolization and identifies a competitive marketing system as a national policy goal?

Accepted Answer

The answer of Which act prohibits restraint of trade and...

Question 4

Last summer,the Thomas family had to decide whether to buy a new car,go to Disney World,or remodel their basement.They chose the vacation.This illustrates:

Accepted Answer

This scenario illustrates how the Thomas family had to choose between three different options that were vying for their discretionary buying power (money). These options were not similar products, but different types of spending opportunities that were in competition for the family's limited funds. Therefore, the best answer is A.

Question 5

When Jonathan was contacted by his insurance firm regarding certain medical claims he had made recently,he realized that someone else had used his name and insurance information without his consent to make false claims for medical services and goods.Which of the following acts will enable Jonathan to take action against the person who stole his personal information?

Accepted Answer

The Identity Theft Enforcement and Restitution Act specifically addresses the issue of identity theft and provides for criminal penalties and restitution for victims.

Question 6

Which of the following is the newest regulatory frontier for federal and state regulators in the United States?

Accepted Answer

Cyberspace is the newest regulatory frontier for federal and state regulators in the United States. With the increasing use of technology and the internet in businesses and daily life, there is a growing need for regulations to protect individuals and organizations from cyber threats, fraud, and data breaches. Federal and state regulators are working to develop and enforce cybersecurity standards and protocols to ensure the safety and security of online activities.

Question 7

The government's Do Not Call Registry that helps consumers to avoid telemarketing calls exempts callers who represent:

Accepted Answer

The Do Not Call Registry exempts callers who represent not-for-profit organizations. Financial institutions, service companies, and insurance companies are not exempted.

Question 8

The _____ component of the marketing environment consists of laws that require firms to operate under competitive conditions and to protect consumer rights.

Accepted Answer

The political-legal component of the marketing environment consists of laws and regulations that affect how businesses operate, including laws related to competition and consumer protection. This component is important for businesses to comply with to avoid legal consequences and maintain a positive reputation with consumers.

Question 9

Which of the following acts gives the FTC jurisdiction over false and misleading advertising?

Accepted Answer

The Wheeler-Lea Act gives the FTC jurisdiction over false and misleading advertising. The Clayton Act deals with antitrust laws, the Robinson-Patman Act deals with price discrimination, and the Consumer Product Safety Act deals with product safety regulations.

Question 10

Which of the following was the prime reason behind the formation of regulations aimed at protecting competitors?

Accepted Answer

To provide legal protection to independent merchants against competition from larger chain stores

Question 11

The Robinson-Patman Act was passed to:

Accepted Answer

The answer of The Robinson-Patman Act was passed to:
...

Question 12

In which phase of U.S.government regulation were major laws such as the Sherman Antitrust Act,the Clayton Act,and the Federal Trade Commission Act passed to maintain a competitive environment?

Accepted Answer

The major laws such as the Sherman Antitrust Act, the Clayton Act, and the Federal Trade Commission Act were passed in the antimonopoly period, which aimed to maintain a competitive environment and prevent the concentration of economic power in a few large corporations. These laws were designed to protect competition and prevent monopolies and anti-competitive behavior in different industries.

Question 13

Which of the following is an example of indirect competition?

Accepted Answer

An indirect competition is when two products or services are not in the same industry but still compete for the same market. In this case, a Sony home entertainment system and a Jacuzzi hot tub are not in the same industry, but they both compete for the consumer's disposable income and leisure time. The other options are examples of direct competition where companies in the same industry compete for the same market.

Question 14

Lockheed Martin won the largest military contract ever by proving it could be the first company to develop and fly a new model plane.This illustrates the importance of _____.

Accepted Answer

The answer of Lockheed Martin won the largest military contract...

Question 15

In the context of cybercrime,luring consumers to provide personal information is called _____.

Accepted Answer

Luring consumers to provide personal information is called phishing, where cybercriminals use fraudulent emails or websites to obtain sensitive data like login credentials or credit card information. This is done by posing as trustworthy sources, often organizations or businesses that consumers are familiar with, and requesting the information under the guise of security or account verification.

Question 16

Which act prohibits price discrimination in sales to wholesalers,retailers,or other producers?

Accepted Answer

The Robinson-Patman Act prohibits price discrimination in sales to wholesalers, retailers, or other producers. The act was created to prevent large companies from using their power to negotiate lower prices with manufacturers and prevent smaller businesses from being forced out of the market.

Question 17

The history of U.S.government regulation can be divided into four phases: the antimonopoly period,_____,consumer protection,and industry deregulation.

Accepted Answer

The history of U.S. government regulation indeed includes a phase focused on protecting competitors, which fits between the antimonopoly period and later phases like consumer protection and industry deregulation. This phase aimed at ensuring fair competition among businesses.

Question 18

Which of the following phases in the history of U.S.government regulation sought to increase competition among industries by permitting them to expand their services into the new markets?

Accepted Answer

The industry deregulation phase sought to increase competition among industries by allowing them to expand their services into new markets by removing government regulations and restrictions.

Question 19

The Federal Trade Commission Act is a law that:

Accepted Answer

The Federal Trade Commission Act prohibits unfair methods of competition, including deceptive or misleading advertising, price fixing, and monopolistic behavior. It also established the Federal Trade Commission (FTC) to investigate and enforce violations of the Act. Options A and B are incorrect as they do not relate to the purpose of the Act. Option D is partially correct as it refers to antitrust laws but is not a complete answer as the Act also addresses other forms of unfair competition.

Question 20

Artisanal Brands,Inc.markets and distributes a line of specialty,artisanal,and farmstead cheese products in the United States.The company gives bulk discounts to their wholesalers.The result is that smaller stores are getting the products at a higher rate as compared to supermarkets and large shopping chains.These stores will be protected under the _____.

Accepted Answer

The Robinson-Patman Act protects smaller businesses from discrimination by larger sellers through price differentiation. In this case, smaller stores are getting the products at a higher rate than supermarkets and large shopping chains, which could be seen as unfair discrimination. Therefore, the Robinson-Patman Act would protect the smaller stores.

Quiz 3: The Marketing Environment, Ethics, and Social Responsibility