Scenario 3

question 132

Multiple Choice

Scenario 3.1 Use the following to answer the questions.Meyers' Sporting Goods, a national chain, has been doing business with Soljur Sports, a manufacturer of skateboards, for several years. Recently, it came to the attention of Meyers' financial director that the average cost per Soljur Sports skateboard had substantially increased over that of the previous year. The financial director asked the marketing department if they knew what the Soljur skateboards cost at competing sporting goods stores, to see if they too were likely hit with a higher cost.The marketing department found that the Soljur skateboards were priced at $15 less in the competing store than at Meyers. The financial director found that Soljur Sports was selling a similar number of skateboards to one of Meyers' competitors for $10 less per skateboard. The attorney for Meyers' Sporting Goods immediately filed a complaint with the Federal Trade Commission.
-Refer to Scenario 3.1. If the Federal Trade Commission believes that Soljur Sporting Goods is acting in violation of the law, the first move for the FTC is to

• A)issue a cease-and-desist order.
• B)issue a complaint stating that the business is in violation of the law.
• C)seek a monetary penalty.
• D)issue negative publicity about the company.
• E)contact the sporting goods manufacturers association

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Definitions:

Diffuses Controversy

The act of calming or reducing disputes or conflicts through various means.

Effective Group Leader

A person who can guide a group towards achieving its goals through effective leadership skills and practices.

Conflict

A process in which individuals or groups perceive opposition or incompatibility, potentially leading to tension or disputes.

Shaping Norms

The process of influencing and establishing acceptable behaviors, values, and standards within a community or group.