When one firm in the breakfast cereal market started an advertising campaign that stressed the nutritional value of its cereals, all other cereal manufacturers started similar advertising campaign This suggests that the breakfast cereal market is ?

Related Mcqs:

1. There is an arrangement which allows a firm to use research from another firm at no cost in exchange for executing all of its trades with the firm that provides the research. What this arrangement is called?

   A. Mutual arrangement
   B. Quid Pro quo
   C. Bilateral arrangement
   D. common interest

2. A firm in perfectly competitive industry is producing 50 units, its profit-maximising quantity. Industry price is £2 and total fixed costs and total variable cost are £25 and £40 respectively. The firm’s economic profit is ?

   A. £35
   B. £15
   C. £30
   D. £60

3. For a competitive profit-maximizing firm, the value-of-the-marginal-product curve for capital is the firm’s ?

   A. supply curve of capital
   B. demand curve for capital
   C. production function
   D. marginal cost curve

4. A firm owns long-lived property that is used by a firm in the Production of its income. What this property is called ?

   A. Unmovable asset
   B. Fixed property
   C. Production line
   D. Fixed asset

5. Marketers are sometimes accused of deceptive practices that lead consumers to believe they will get more value than they actually do. _____ includes practices such as falsely advertising factory of wholesale prices or a large price reduction from a phony high retail price ?

   A. Deceptive promotion
   B. Deceptive packaging
   C. Deceptive pricing
   D. Deceptive cost structure

6. A monopolistically competitive firm that is incurring a loss will produce as long as the price that the firm charges is sufficient to cover ?

   A. marginal costs
   B. fixed costs
   C. variable costs
   D. advertising costs

7. The orange juice manufacturers know that orange juice is most often consumed in the mornings. However they would like to change this and make the drink acceptable during other time periods during the day Which form of segmentation would they need to work with and establish strategy reflective of their desires ?

   A. gender segmentation
   B. benefit segmentation
   C. occasion segmentation
   D. age and lief-cycle segmentation

8. The type of trade promotion discount in which manufacturers agree to reduce the price to the retailer in exchange for the retailer’s agreement to feature the manufacturer’s products is some way is called a(n) ?

   A. discount
   B. allowance
   C. premium
   D. rebate

9. Adam smith’s invisible hand concept suggests that a competitive market outcome ?

   A. maximizes total surplus
   B. generates equality among the members of society
   C. minimizes total surplus
   D. both maximizes total surplus and generates equality among the members of society

10. Suppose Canada and Switzerland were the only two countries in the world There exists an excess supply of Swiss francs on the foreign exchange market This suggests that ?

    A. the Canadian current account balance is in surplus
    B. the Swiss current account balance is in deficit
    C. the Canadian current account balance is in equilibrium
    D. the Swiss current account balance is in equilibrium