MNGT482 - Chapter 15

In 2000, how much did Americans spend on fast food?

$110 billion

An acronym for a way to resolve lawsuits without going to court is

ADR

I went to jail for violating the CAN-SPAM act. Who am I?

Adam Vitale

Which hotelier agreed in 2000 to pay $8 million dollars to settle a class-action racial discrimination lawsuit.

Adam's Mark

What was the nickname of the bill introduced in 2005 to limit the fast food industry's liability?

Cheeseburger bill

What company launched an advertising campaign in 2001 under the slogan "Live Richly"

Citigroup

Which of the following departments was established in 1914 and has been given additional powers to protect consumers over the years, including in the area of online privacy?

Federal Trade Commission

What company quickly removed an ad that referred to mothers who "wear their babies".

Johnson & Johnson

Which of the following was NOT part of the Class Action Fairness Act:

Judges rather than juries would determine the original amount of punitive damages

What over the counter medicine is used to make methamphetamine

Sudafed

Which of the following is true:

a, b, and c are all true

Which of the following is an NGO that represents over 220 consumer groups in 115 countries:

consumers international

The "right to be heard" assures that:

consumers' interests will receive full and sympathetic consideration in the formulation of government policy

An identifying marker placed on a user's computer hard drive during visits to some Web sites is called a:

cookie

In 2005, Congress passed a law which required most large class-action suits to be moved from federal to state court.

false

In January, 2009, 19,000 people became ill by eating contaminated chicken.

false

In the U.S. The FCC enforces the law prohibiting deceptive advertising.

false

In the United States, the legal system has generally looked unfavorably on consumer claims.

false

The CAN-SPAM effect went into effect in 2007.

false

The Federal Trade Commission's mission includes the safety and effectiveness of a wide range of consumer products, including pharmaceutical drugs, medical devices, foods and cosmetics.

false

The right to satisfaction is generally considered the primary consumer right.

false

Which of the following is not a reason for the consumer movement?

increased competition among corporations

Which of the following statements is not true about the organization Consumers Union (the publisher of Consumer Reports magazine)?

it is supported by the federal government

Which of the following is not a responsibility of the Federal Trade Commission:

safety standards for consumer products

The burden of responsibility for product performance has shifted to the producer, under the legal doctrine of:

strict liability

Consumers have become more dependent on businesses for product quality because:

the complexity of products makes choices complicated for consumers

Which of the following consumer products is not a consumer right?

the right to be protected

Which of the following is (are) provisions for consumers under the consumer bill of rights?

the right to safety

According to the doctrine of strict liability, which of the following statements is not true?

this doctrine extends only to those involved in supplying parts for the final product

Which of the following is a mission of the Food and Drug Administration?

to assure the safety and effectiveness of a wide range of consumer products

A "cookie" is an identifying mark placed on a user's computer hard drive during visits to some Web sites.

true

After the fall of Communism, a consumer movement has blossomed in Central Europe.

true

Companies such as MTV and McDonalds use "neuromarketing" to better understand how to boost the effectiveness of advertising.

true

Consumer advocacy groups in the United States actively promote and speak for the interests of millions of consumers.

true

Countrywide mortgage was the largest mortgage lender in The United States until it collapsed in July, 2008.

true

Critics of consumer privacy self-regulation by the industry fear that the industry rules would be too weak.

true

Gun liability law suits have not fared well in Courts:

true

Huge product liability verdicts, though often well publicized, are the exception not the rule.

true

Many companies have argued that the evolution of strict liability has:

unfairly burdened them with excess costs

Businesses can take a number of measures to respond voluntarily to consumer demands. Which of the following is an example of such a measure?

voluntary product recalls