Independent Distributors of Soda Can Free Ride on the Brand

question 20

Multiple Choice

Independent distributors of soda can free ride on the brand name of the company manufacturing soda.Two solutions to this problem are:

• A)creating joint asset ownership and entering into long-term contracts.
• B)encouraging open market transactions and distributing production secrets.
• C)advertising and granting exclusive territories.
• D)encouraging open market transactions and granting exclusive territories.

---

Definitions:

Demand Characteristics

Demand characteristics refer to subtle cues or signals in an experiment that communicate to the participants how they are expected to behave.

Placebo Group

In drug research, a group given an inert substance to assess the psychological effect of receiving a treatment.

Experimenter Expectancy Effect

The influence that the researcher's expectations can have on the outcome of a study, potentially biasing the results.

Floor Effect

Failure of a measure to detect a difference because it was too difficult.