Mock MC Questions for MGNT 2510 (Year 2014)

1.

Professor Ahlstrom shared with his students the wonderful experience he had at
a local Asian restaurant by using a discount coupon he obtained from the
university magazine. He encouraged his students to give it a try. The local Asian
restaurant is using _________________.
A.
B.
C.
D.

2.

The new trade theorists argue that the United States leads in exports of
commercial jet aircraft not because it is better endowed with the factors of
production required to manufacture aircraft, but because:
A.
B.
C.
D.

3.

Word-of-mouth promotion.
Push promotion strategy.
Pull promotion strategy.
Viral promotion.

U.S. built commercial jet aircraft have the best safety record
the U.S. commercial jet aircraft industry has a lower wage rate that
foreign competitors
the World Trade Organization has given preferential treatment to the
U.S. commercial jet aircraft industry
two of the first movers in the industry were U.S. firms

Raymond Vernon argued that new products were developed by U.S. firms
and first sold in the U.S. market because:
A.
B.
C.
D.

European competitors were not active in product R&D.

American firms were able to take advantage of tax credits for product
R&D.
the wealth and size of the U.S. market gave the firms an incentive to
develop new products.
the low cost of U.S. labor gave U.S. firms an incentive to develop costly
process innovations.

Answer: 1. C, 2. D; 3. C