What are the underlying sources of conflict in distribution channel relations? Give examples.
What will be an ideal response?
The underlying cause of conflict in distribution channel relationships is the fact that different firms may pursue divergent goals. When STP Corporation introduced the STP additive to the market, it bypassed parts of the industry’s elaborate setup. This alienated many auto-supply middlemen, who retaliated by threatening not to stock STP filters. As another example, oil companies in the 1970s were accused of selling gas to independent dealers at lower prices than they did to their own affiliates.
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Which of the following is recommended when generating ideas in a group?
a. Focus on the quality of the ideas. b. Do not allow others to piggyback on ideas. c. Be openly critical of each other’s ideas. d. Be creatively wild.
In which of the following cases will the federal accountant-client privilege protect the information from being disclosed?
a. A criminal case b. A case involving the SEC c. A case concerning the preparation of tax returns d. A civil case involving the IRS
Which of the following variables affect the P/E ratio? I. capital structure of a firm II. amount of dividends to be paid III. inflation rate IV. earnings rate of growth
A) I, II and III only B) I, II and IV only C) I, III and IV only D) I, II, III and IV
Criminal laws: A) carry fines and/or imprisonment penalties
B) are enforced by individuals. C) are generally not enforced by government agencies. D) are the same as private laws.