If a Firm Has Been Proven Liable for a False

question 49

Multiple Choice

If a firm has been proven liable for a false ad,it has to:

• A) terminate the false ad.
• B) recall any product with the false claim on it.
• C) compensate more than the damage it has caused.
• D) All of the statements associated with this question are correct.

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Definitions:

Four Ps

A marketing mix concept that includes Product, Price, Place, and Promotion, used for effective marketing strategy planning.

World of Trade

An encompassing term that refers to the global network of buyers, sellers, markets, and exchanges involved in the production, distribution, and consumption of goods and services.

Personal Selling

The two-way flow of communication between a buyer and a seller that is designed to influence the buyer’s purchase decision.

Economies of Scale

The reduction in per-unit cost achieved by an increase in production volume, allowing businesses to spread fixed costs over more units.