CellTones, a New Company Selling Several Types of Cellular Phones

question 129

Multiple Choice

CellTones, a new company selling several types of cellular phones, has closely modeled its products after successful products that are already in the marketplace. As it prepares to enter the market with its new products and services, which of the following should concern CellTones the most?

• A) legal obligations to suppliers and dealers
• B) patent laws
• C) distribution requirements
• D) product liability suits
• E) limited warranties

Compute deadweight loss and the coefficient of monopsony power in monopsonistic markets.

Differentiate between monopsony, monopoly, bilateral monopoly, and oligopsony market structures.

Identify the effects of changes in market conditions (e.g., supply and demand elasticity, market supply shifts) on monopsony outcomes.

Examine regulatory effects and antitrust laws on monopolies and their impact on pricing and competition.

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Definitions:

Bona Fide Occupational Qualification

A legitimate requirement for a particular job that allows for discrimination that is otherwise illegal when it is reasonably necessary to the normal operation of that particular business or enterprise.

Pregnancy-Based Discrimination

Unfair treatment or discrimination in the workplace based on pregnancy, childbirth, or related medical conditions, which is illegal under various laws.

Family and Medical Leave Act

A United States federal legislation that allows workers to take unpaid leave with job security for specific family and medical purposes.

Leave Availability

The provision and policies regarding time off from work that employees are entitled to for various reasons.