Answers.
A financially unsuccessful company wants to secure a loan, so it submits falsified financial
statements to a bank. The bank lends the company money based on the information in the
financial statements. The company is later unable to pay back the loan, since it was never as
financially successful as it led the bank to believe. Which business tort did the company commit.
A. Misrepresentation
B. Antitrust violations
C. Intellectual property infringement
D. Breach of fiduciary duty correct answers A. Misrepresentation
Misrepresentation occurs when one party makes a false statement to a second party with the
intention of making the second party behave a certain way.
When a tour wholesaler prohibits travel agencies from selling its competitor's tours, it is
engaging in
A. exclusive dealing
B. price discrimination
C. full-line forcing
D. selective distribution correct answers A. Exclusive dealing
Exclusive dealing is an illegal agreement that forbids customers from buying goods and services
from competitors.
A bus-tour company develops a brochure that describes new tours it is offering in the upcoming
year and sends it to the travel agencies that sell its tours. The travel agencies will use the
brochures to communicate the tour information to their clients. This is an example of
coordinating __________ with __________.
A. product/service management; production
B. operations management; selling
C. information management; pricing
D. channel management; promotion correct answers D. Channel management; promotion
It is important for a business to coordinate its promotional efforts with its channel members so
they know that the products are available for the for the end users to purchase.
How should a business handle communication when dealing with businesses or employees from
other cultures?
A. Avoid doing business with other cultures
B. Use many hand gestures to communicate meaning
C. Be as direct as possible
, D. Research the culture's communication style correct answers D. Research the culture's
communication style
It is wise to research a culture's communication style before doing business with someone from
that culture.
Richard is giving a presentation at a conference in his industry. He fails to adequately prepare,
shows up late for his presentation, and doesn't do a good job. What effect will his poor
performance have on his company?
A. It will reflect poorly on his company's image
B. It will only reflect on Richard's image.
C. It will not have any effect on the company
D. It will reflect positively on the company correct answers A. It will reflect poorly on this
company's image
Richard is always representing his company, whether he's in his office, at a conference or
somewhere else in public.
Which of the following is an example of the concept of place in the hospitality and tourism
industry:
A. The Splash and Play Water Park charges a low admission for children under the age of three.
B. The Fun Time Cruise Line offers entertainment venues on all of its cruise ships.
C. The Sleep-Well Motel chain builds a lodging facility on Interstate 95 near Highway 30.
D. The Resort at Get-Away-Bay provides 15% discount for guests who have an automobile club
membership. correct answers C. The Sleep-Well Motel chain builds a lodging facility on
Interstate 95 near Highway 30.
The concept of place ensures that goods and/or services are available where customers need or
want them.
Noah wants to go on vacation, but when the price of plane tickets goes up, he decides to put off
his trip. Noah's demand is
A. elastic
B. constant
C. inelastic
D. complementary correct answers A. Elastic
When demand is elastic, consumers adjust demand for products based on price.
Which of the following is an economic factor that can affect a community's level of hospitality
and tourism:
A. The target market's demographics