Sect 4 Test* - Competition - Fall 2024 - Per 5

Front

Any factor that makes it difficult for new firms to enter.

Back

Barrier to entry

Front

Expenses a new business must pay before the first product reaches the customer.

Back

Start up costs

Front

Products such as sugar and petroleum are considered to be a(n):

Back

Commodity

Front

Milk is considered a commodity because it is: Bought in many different ways, The same no matter who sells it

Back

The same no matter who sells it

Front

This allows large firms to buy parts and/or input goods in high quantities and at a lower price

Back

Economies of scale

Front

Which of these businesses has the advantage of economies of scale?
Options:
Anna's Pizza in Palm City,
Ford Motor Company assembly plant

Back

Ford Motor Company assembly plant

Front

What are the ways a business can attract customers without lowering prices? Options: Price fixing, Differentiation (Non-Price Competition), Collusion

Back

Differentiation (Non-Price Competition)

Front

Putting a Red Box kiosk outside of Publix and CVS is an example of which type of non-price competition?

Back

Location

Front

Would cell phone manufacturers be considered an Oligopoly?

Back

yes

Front

How many firms are typically found in an oligopoly?

Back

3-4 firms