Adam and Jon Are the Only Players Playing in a Local

question 76

Multiple Choice

Adam and Jon are the only players playing in a local golf tournament.They can either practice for 5 hours or not practice at all.Practice has both direct monetary costs and opportunity costs.Their scores for an 18-hole round of golf with and without practice are shown in the table.Total prize money is $12,000.Two possible reward structures exist.In Plan A,the low score wins $10,000,second place wins $2000,and a tie results in $6000 each.Plan B requires a player to score 71,or less,for first place,72 to 80 is considered second place.The $10,000 will be split between those with a 71 or lower score,with a guaranteed minimum of $2000.The $2000 for second will be split between those with a score between 72 and 80.
-Refer to the information above.If the tournament adopts Plan B as its reward structure,then

• A) neither Jon nor Adam will practice.
• B) Jon will practice and Adam will not.
• C) Adam will practice and Jon will not.
• D) a positional externality exists.
• E) both Jon and Adam will practice.

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Definitions:

Cultural Innovation

involves the creation or adoption of ideas, practices, or products that significantly alter the cultural practices or norms within a society.

Local Adaptations

are modifications made to products, strategies, or communications to suit the specific tastes, cultural norms, or consumer behaviors of a particular geographic region.

Cultural Differences

refer to the variations in norms, values, beliefs, and practices among different groups or societies, significantly impacting consumer behaviors and marketing strategies.

Externalizing Question

A therapeutic technique used primarily in narrative therapy to help clients view their problems as separate from themselves, thus reducing guilt and blame.