The Robinson-Patman Act Allows for Price Differentials to Different Customers

question 252

Multiple Choice

The Robinson-Patman Act allows for price differentials to different customers under several conditions. Which of the following practices would be permitted?

• A)using price differentials when price differences are given on the basis of other family businesses
• B)using price differentials when charging different prices to different buyers for goods of like grade or quality
• C)using price differentials when charging different prices on the basis of religious affiliation
• D)using price differentials when charging the original price for refurbished goods that have been damaged or used and returned but repaired according to company specifications
• E)using price differentials when price differences result from changing market conditions, avoiding obsolescence of seasonal merchandise, including perishables, or closing out sales

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Definitions:

Qualitative Job Analysis

The process of analyzing a job based on subjective measures, such as employee opinions and experiences, rather than quantitative data.

Job Characteristics Model

A job design theory that purports that three psychological states (experiencing meaningfulness of the work performed, responsibility for work outcomes, and knowledge of the results of the work performed) of a jobholder result in improved work performance, internal motivation, and lower absenteeism and turnover.

Task Identity

The degree to which a job requires completing a whole, identifiable piece of work from start to finish with a visible outcome.

Group-Based Work Techniques

Strategies that utilize the dynamics of a group to accomplish tasks more effectively and efficiently than individual efforts alone.