Sun Microelectronics Custom-Orders Processors,chips,and Circuit Boards for Sun's Desktop,server,and Storage

question 97

Multiple Choice

Sun Microelectronics custom-orders processors,chips,and circuit boards for Sun's desktop,server,and storage products.Sun doesn't actually make any of its microelectronic gear itself.Sun contracts the work to outside manufacturers,who in turn rely on components from their own subcontracted suppliers.The 150 suppliers involved in making and delivering Sun products have adopted mutually beneficial objectives and strategies that give Sun's customers value for their money.Sun's method of doing business is an example of a:

• A)double-deal.
• B)conflict of interest.
• C)restricted access.
• D)supply partnership.

Differentiate among various market structures based on competition level and barriers to entry.

Analyze profit-maximizing output and pricing strategies within monopolistic competition.

Interpret the impact of entry and exit on market dynamics in monopolistic competition.

Understand the role of economic profit in monopolistic competition.

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Definitions:

Assignment

The transfer of rights, property, or duties from one party to another.

Delegation

The act of assigning responsibility or authority to another person to carry out specific duties.

Third-Party Beneficiary

An individual or entity that, while not a direct party to a contract, is intended by the contracting parties to benefit from it.

Novation

The act of replacing an existing contract with a new one, involving a different obligation or party.