Which of the Following Is True

question 115

Multiple Choice

Which of the following is true?

• A)In Bertrand oligopoly markets each firm believes that their rivals will hold their output constant if it changes its output.
• B)In Cournot oligopoly market firms produce an identical product at a constant marginal cost and engage in price competition.
• C)In Sweezy oligopoly markets each firm believes rivals will cut their prices in response to a price reduction, but will not raise prices in response to price increases.
• D)In oligopoly market a change in marginal cost never has an affect on output or price.

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Definitions:

SCM

The process of overseeing the movement of goods, information, and money from the beginning of the supply chain with suppliers, through manufacturers and wholesalers, down to retailers and finally consumers, is known as Supply Chain Management.

Pricing

The process of determining what a company will receive in exchange for its products or services.

Supplier Relationships

The interactions and partnerships between businesses and their providers of goods or services.

Pull Model

A pull model is a supply chain strategy where the production of goods is initiated by actual customer demand rather than forecasted demand.