If Penn Hills Mfg

question 300

Multiple Choice

If Penn Hills Mfg.Corp.gives the Johnstown Distributing Co.the exclusive right to distribute Penn Hills' products in Ohio,with the understanding that Johnstown can't sell Penn Hills' products outside Ohio or to other wholesalers in Ohio,the arrangement

• A)would be illegal,because the courts have ruled that all vertical arrangements between producers and intermediaries are illegal.
• B)might or might not be considered legal.The courts would weigh the possible good effects of this vertical arrangement against possible restrictions on competition.
• C)would be legal,because the courts have ruled that all vertical arrangements between producers and intermediaries are legal.
• D)would be illegal,because the courts have ruled that all horizontal arrangements between competitors are illegal.
• E)would be legal,because the courts have ruled that all horizontal arrangements between competitors are legal.

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Definitions:

Long-Day

Pertains to plants that require a longer period of daylight exposure to flower or complete specific stages of growth.

Short-Day

Refers to plants that require long nights and shorter periods of daylight to flower or complete their life cycle.

Asexual Reproduction

A mode of reproduction by which offspring arise from a single organism, inheriting the genes of that parent only, seen in many plants and some animal species.

Vegetative Propagation

A form of asexual reproduction in plants where new individuals are formed without the production of seeds or spores.