Assume There Is a 35% Tariff on Bananas Imported into the United

question 49

Multiple Choice

Assume there is a 35% tariff on bananas imported into the United States.Also,assume that the market competition is at its beginning and the law of one price is not in effect.If the domestic market price of Hawaiian bananas is one dollar per bunch,imported bananas will sell for ________ per bunch.

• A) $0.35
• B) $0.65
• C) $1.00
• D) $1.35
• E) $1.65

---

Definitions:

Strategic Business Units

Strategic business units are distinct divisions within a larger corporation, each focusing on a specific market segment or product line, and possessing its own strategy, resources, and objectives.

Dominant Market Share

A situation in which a company, product, or service holds a majority portion of the total sales in its market.

New Product Development

The complete process of bringing a new product or service to the market, from idea generation and concept testing to design, production, and marketing.

Consumer Insights

The understanding and interpretation of customer data, behaviors, and feedback to drive product development, marketing strategies, and other business decisions.