Nike Has Centralized Marketing Operations with Personnel Who Direct Marketing

question 78

Multiple Choice

Nike has centralized marketing operations with personnel who direct marketing research,distribution,sales,advertising,and so forth reporting directly to the top-level marketing executive.Nike's marketing department is organized by

• A)product.
• B)region.
• C)types of customers.
• D)subregion.
• E)function.

Interpret a production function and the concept of diminishing marginal returns.

Comprehend the importance of production flexibility in determining firm costs.

Analyze the impact of changing input costs on the efficiency of firm operations.

Recognize key decisions firms make regarding technology and production inputs.

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Definitions:

Cattle

Large domesticated herbivores that are raised primarily for meat (beef), milk, and hides, playing a significant role in agricultural economies.

Substitution Effect

The change in consumption that results from a change in the relative price of goods, leading consumers to substitute one product for another.

Output Effect

Refers to the impact on the output level of a firm when it changes the price of its product, often analyzed in the context of monopolistic competition and oligopolies.

Substitution Effect

The economic theory that as prices rise, consumers will replace more expensive items with less costly alternatives, thereby altering the demand for these goods.