Motorola and Apple are two large competitors in the cellular phone market.It is a violation of the ________ Act if Sanjay Jha serves on the board of directors for both Motorola and Apple.
A) Mergers and Acquisitions
B) Clayton
C) Telecommunications Board Restriction
D) Competition
E) Economic Efficiency

Question

Quizplus · Accepted Answer

The Clayton Antitrust Act prohibits a person from serving on the board of directors for two competing companies. Since Motorola and Apple are competitors in the cellular phone market, it would be a violation of the Clayton Act for Sanjay Jha to serve on the board of directors for both companies.

Motorola and Apple Are Two Large Competitors in the Cellular