Fran Owns Consolidated Auto Parts, a Company That Got Its

question 33

Multiple Choice

Fran owns Consolidated Auto Parts, a company that got its start making auto parts related for hybrid vehicles, but her firm has had difficulty establishing itself as a maker of parts for the more-profitable internal combustion engine. What is most likely contributing to Consolidated's problem in this area?

• A) Newcomers cannot use existing assets or reconfigure their value chains.
• B) New competitors usually ignore stakeholders who are not stockholders.
• C) It is difficult for outsiders to gauge which stage of the "life cycle" that industry is in.
• D) Entry barriers usually protect the incumbent players in a profitable industry.

Identify and understand the basic elements of a contract including offer, consideration, and capacity.

Explain the concept of a void contract and know the conditions under which a contract becomes void.

Differentiate between valid, voidable, and void contracts.

Understand the legal implications and enforceability of oral contracts under the statute of frauds.

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Definitions:

Systematic Desensitization Therapy

A behavioral therapy technique designed to reduce phobic or anxiety responses through gradual exposure to the feared object or situation, combined with relaxation exercises.

Feared Stimuli

External objects or situations that provoke a strong fear response due to anxiety, phobias, or traumatic experiences.

In Vivo Exposure

A behavioral therapy technique that involves exposing the patient to the actual anxiety-producing stimuli, rather than imagining the scenario, to help overcome fears or undesirable behaviors.

Operant Conditioning

A method of learning that employs rewards and punishments for behavior, emphasizing the idea that behaviors followed by positive outcomes are more likely to recur.