Ch. 11 Business Organizations
A general partner is personally liable for partnership debts if the firm cannot pay its creditors.
True (Textbook p. 257)
Shareholders can be personally liable for corporate debts if a court "pierces the corporate veil".
True (Textbook p. 267)
Booster is an energy drink manufacturer. The marketing strategies of Booster are focused on males who are in the age group of 16 to 25 years and who enjoy sports and other outdoor activities. The company advertises its products at skateboard parks, basketball venues, and ski resorts. The customer group that Booster focuses on is called its _____.
target market
The marketing concept has gathered momentum across the economy, leading to the marketing era, unfolding over the last decade, which zeros in on long-term customer relationships.
False
The income of a sole proprietor of a business is taxed twice, once as a business and then again at the individual owner's level.
False (Textbook p. 251)
Fred starts up, and assumes the financial risk of, a Subway restaurant. Fred's form of business organization is
a sole proprietorship (Textbook p. 251) (A franchise is a method of operating a business, not a choice for how to organize the business for legal purposes.)
Larry, a sanitation engineer, sells his old minivan to buy a large truck. As he starts driving the new truck, he realizes that it is more difficult to maneuver the truck than his old minivan. He also realizes that maintaining the truck is expensive. Larry is rather uncomfortable with the purchase decision he made. In the context of consumer behavior, which of the following concepts does this scenario best illustrate?
cognitive dissonance
Christine is considering forms of business organization for her construction equipment business. For purposes of owning property and being party to litigation, forms that are legal entities separate from their owners include
corporations and limited liability companies (Textbook p. 259)
Basic B'chez is a women's apparel store that specializes in winter clothing. It targets university students aged 20-25 with its trendy collection of faux fur vests, oversized sweatshirts, yoga pants, small animals and poofy boots. In the context of consumer market segmentation, which of the following types of market segmentation does Basic B'chez most likely follow?
demographic segmentation
The goal of the _____ of a product is to deliver the product to the right people, in the right quantities, at the right time, in the right place.
distribution strategy
Andre Takka, an international ping pong player, owns a multinational chain of sports shops named Takka Deuce. The company is popular and gets the attention of sports enthusiasts because of its brand name and ownership. Which of the following marketing strategies does this scenario best illustrate?
people marketing
Jason Morton is a famous movie actor and the brand ambassador for his clothing company, Hedgehog. Consumers tend to like the collection at Hedgehog mainly because Jason is a style icon himself. Which of the following marketing strategies does this scenario best illustrate?
people marketing
Ronald Crump, a famous politician who supports the ruling party of the island country of Melvanka, endorses a publishing house named Koozner that he owns. Many Melvankian writers want to get their books published by Koozner because of Crump's connection with the brand. Which of the following marketing strategies does this scenario best illustrate?
people marketing
The marketing concept holds that delivering unmatched value to customers is the only effective way to achieve long-term profitability.
true
