One in the News Feature Reports That General Motors Planned

question 49

Multiple Choice

One In the News feature reports that General Motors planned to essentially quit making cars and trucks in the United States for nine weeks from mid-May through July 2009 and Dell planned to close one of its Texas computer-manufacturing plants.Based on these particular news clips, what is the difference between GM's and Dell's decisions?

• A) Dell was trying to get rid of excess inventory, and GM was trying to become more efficient.
• B) GM was trying to maximize profits while Dell was trying to minimize losses.
• C) GM's decision to idle plants was a short-run shutdown decision. Dell, by contrast, made a long-run decision to exit a specific market.
• D) There is no difference between GM's and Dell's decisions; both were trying to get rid of excess inventory.

Recognize the influence of psychological theories and artists on the perception of reality.

Identify mechanisms of pain perception and management.

Understand the processes and theories related to visual perception, including depth cues and color vision.

Comprehend the auditory system's basic anatomy and function.

---

Definitions:

Tying Contract

An agreement requiring a customer to buy additional products or services along with a primary product or service.

Herfindahl Index

A measure of the size of firms in relation to the industry and an indicator of the amount of competition among them, calculated as the sum of the squares of the market shares of each firm within the industry.

Conglomerate Merger

A type of merger in which firms involved are in unrelated business activities, aiming for diversification and risk minimization.

Vertical Merger

A combination of two or more companies at different stages of production or distribution in the same industry.