When the Quantity Effect Outweighs the Price Effect, the Oligopolistic

question 137

Multiple Choice

When the quantity effect outweighs the price effect, the oligopolistic firm may find it optimal to:

• A)exit the industry.
• B)collude.
• C)increase output.
• D)decrease output.

---

Definitions:

Howard Perlmutter

A scholar known for his work on the concept of ethnocentric, polycentric, and geocentric orientations in international business.

Managerial Attitudes

The predispositions or orientations that managers have towards people, tasks, and situations in the workplace.

Ethnocentric

Holding the belief that one's own culture or ethnicity is superior to others, often resulting in judging other cultures from the perspective of one's own.

Local Decision Making

The process of making choices or solving problems at a local level, often allowing individuals or groups closest to the issue or situation to make the decisions.