The manufacturers of several designer purses have met

This preview shows page 4 - 6 out of 13 pages.

Chapter 16

19 .   The manufacturers of several designer purses have met and agreed not to sell their purses to Jolie 's Department Store because of Jolie 's practice of discounting all items 20 percent below the retail costs at other stores . The manufacturers are concerned about maintaining their images of exclusivity and quality . The agreement among the manufacturers :
a. is valid because of their need to protect their product .
b. violates the Sherman Act because it is a boycott .
c. is valid because the rule of reason applies and they have a valid reason .
d. none of the above
20 .   Pool Line is the manufacturer of a pool cleaning system that has been called by the pool construction industry , " the miracle we have waited a lifetime for . " The cleaning system is very effective and recommended by all consumer magazines . The result is that 93 percent of all new pools have the system , and 94 percent of all pool owners buying replacement systems choose Pool Line . Pool Line 's competitors have brought suit charging Pool Line with monopolization of the pool cleaning market . Pool Line :
Get answer to your question and much more
21 .   Pool Line is the manufacturer of a pool cleaning system that has been called by the pool construction industry , " the miracle we have waited a lifetime for . " The cleaning system is very effective and recommended by all consumer magazines . The result is that 93 percent of all new pools have the system , and 94 percent of all pool owners buying replacement systems choose Pool Line . The relevant product market is :
Get answer to your question and much more
22 .   A group of local architects has met and decided that their bidding on public works projects has created a danger for the public because the bids come in so dangerously low that building safety is sacrificed . The action of the architects :
Get answer to your question and much more
23 .   Nike and Reebok , both leading manufacturers of athletic shoes , have proposed a joint venture to manufacture special orthopedic devices for handicapped children . The joint venture is :
a. a horizontal merger and violates the Sherman Act .
b. subject to a rule of reason review .
c. a per se violation of the Sherman Act .
d . none of the above
24 .   Exhaust , Inc. has the exclusive contract with the state of California for building , maintaining , and operating the state 's vehicle emission testing centers . Auto Emissions , Inc. has announced it will submit a bid on the upcoming renewal . Exhaust , Inc. has begun lobbying state legislators to pass a bill allowing only in - state firms to be awarded the exclusive emissions contract . Exhaust is a California corporation and Auto Emissions is a New York corporation . Exhaust 's conduct is :
Get answer to your question and much more
25 .   The Local Government Antitrust Act of 1984 :
Get answer to your question and much more
26 .   The Joint Venture Trading Act of 1983 :
Get answer to your question and much more
27 .   Carl Wilton has just sold his Mexican restaurant to Jerry Felt . The restaurant is located in Costa Brava , a city of about 300,000 people . In their sales agreement , a clause provides that Carl will not open another restaurant in Costa Brava for a period of five years . The clause is :
a. a covenant not to compete .
b. void as against public policy .
c. prohibited under the Sherman Act .
d. none of the above
Answer:  a .   a covenant not to compete .
We have textbook solutions for you!
The document you are viewing contains questions related to this textbook.
Exploring Microeconomics
The document you are viewing contains questions related to this textbook.
Chapter 15 / Exercise 4
Exploring Microeconomics
Sexton
Expert Verified
19.The manufacturers of several designer purses have met and agreed not to sell their purses to Jolie's Department Store because of Jolie's practice of discounting all items 20 percent below the retail costs at other stores. The manufacturers are concerned about maintaining their images of exclusivity and quality. The agreement among the manufacturers:a.is valid because of their need to protect their product.b.violates the Sherman Act because it is a boycott.c.is valid because the rule of reason applies and they have a valid reason.d.none of the aboveANS: B
NAT: AACSB: AnalyticTOP: boycotts20.Pool Line is the manufacturer of a pool cleaning system that has been called by the pool construction industry, "the miracle we have waited a lifetime for." The cleaning system is very effective and recommended by all consumer magazines. The result is that 93 percent of all new pools have the system, and 94 percent of all pool owners buying replacement systems choose Pool Line. Pool Line's competitors have brought suit charging Pool Line with monopolization of the pool cleaning market. Pool Line:
NAT: AACSB: AnalyticTOP: monopoly21.Pool Line is the manufacturer of a pool cleaning system that has been called by the pool construction industry, "the miracle we have waited a lifetime for." The cleaning system is very effective and recommended by all consumer magazines. The result is that 93 percent of all new pools have the system, and 94 percent of all pool owners buying replacement systems choose Pool Line. The relevant product market is:
NAT: AACSB: AnalyticTOP: markets22.A group of local architects has met and decided that their bidding on public works projects has created a danger for the public because the bids come in so dangerously low that building safety is sacrificed. The action of the architects:
We have textbook solutions for you!
The document you are viewing contains questions related to this textbook.
Exploring Microeconomics
The document you are viewing contains questions related to this textbook.
Chapter 15 / Exercise 4
Exploring Microeconomics
Sexton
Expert Verified
NAT: AACSB: AnalyticTOP: boycotts

  • Left Quote Icon

    Student Picture

  • Left Quote Icon

    Student Picture

  • Left Quote Icon

    Student Picture