Question 1

Which of the following factors is not typical of an industry that faces intense competitive rivalry?

Options :

A : Price-cutting

B : Large adverting budgets

C : Frequent introduction of new products

D : Inelastic demand

Answer: D

Question 2

Using the information collected, the organization should focus on the

Options :

A : Total number of personal computer complaints that occurred.

B : Number of computer complaints associated with CD problems and new software usage.

C : Number of computer complaints associated with the lack of user knowledge and hardware problems.

D : Costs to alleviate all computer complaints.

Answer: C

Question 3

An organization’s executive committee, meeting to solve an important problem, spent 30 minutes

analyzing data and debating the cause of the problem. Finally, they agreed and could move onto the

next step. Possible steps in the creative problem-solving process are listed below. Which step should

the committee perform next?

Options :

A : Select a solution.

B : Generate alternative solutions.

C : Identify the problem.

D : Consider the reaction of competitors to various courses of action.

Answer: B

Question 4

The statement of income for Dimmell Co. presented below represented the operating result for the

fiscal year just ended. Dimmell had sales of 1,800 tons of product during the current year. The

manufacturing capacity of Dimmell’s facilities is 3.000 tons of product.

The breakeven volume in tons of product for 2002 is ?

Options :

A : 400 tons

B : 1,100 tons

C : 900 tons

D : 550 tons

Answer: B

Question 5

Which of the following is not a characteristic of a multinational strategy adopted by a global marketing organization?

Options :

A : The product is customized (or each market.

B : Central control of the production process is strong.

C : The strategy is most effective when there are strong differences between countries.

D : Production costs incurred are higher than in a global or global strategy.

Answer: B

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