A Few Years Ago Anti-Trust Proceedings (Proceedings for Uncompetitive Conduct)

question 39

Multiple Choice

A few years ago anti-trust proceedings (proceedings for uncompetitive conduct) were brought against Microsoft in the USA.The company was alleged to have abused its monopoly in the desktop operating systems market.The Court decided that:

• A)there was ample and adequate scope for any potential competitor to develop a viable alternative to Windows
• B)there was a 'barrier to entry' that made it prohibitively expensive for a potential competitor to develop into a viable alternative to Windows.
• C)Microsoft had a healthy monopoly that delivered an effective and cost efficient product to consumers.
• D)it was expensive but viable for potential competitors to develop an alternative to Windows and therefore the market was sufficiently competitive.

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Definitions:

Percentage-of-Sales Method

A budgeting approach where advertising and marketing expenses are set as a fixed percentage of sales revenue.

Objective-and-Task Method

A budgeting approach in marketing that starts with defining specific objectives, determining the tasks needed to achieve those objectives, and estimating the cost of performing those tasks.

Budgeting Approach

A methodological process of creating a plan to spend an entity's resources, ensuring financial stability and goal achievement.

Sales Promotion Tool

Various techniques used to boost the sale of products or services, including discounts, coupons, and demonstrations.