KREFT G202 ASSESSMENT 1 EXAM SCRIPT
2026 FULL QUESTIONS AND ACCURATE
SOLUTIONS
◉ Outcomes depend on the relative strength of lobbying. Answer:
According to the Uber case, the cost-benefit structure of the political
action defined as making ride-sharing without government licensing
an illegal activity, implies what lobbying outcome?
1. Lobbying does not occur.
2. Lobbying will likely be successful.
3. Outcomes depend on the relative strength of lobbying.
4. Successful lobbying will be costly.
◉ BP selectively disclosing information. Answer: According to our
BP mini-case, BP made two acquisitions in advance of implementing
the Beyond Petroleum integrated strategy: (i) it obtained Solarex (a
solar company) and (ii) it obtained ARCO (an oil and gas company).
The re-branding and advertising that centered only on the solar
acquisition can best be summed up as
1. BP increasing its transparency.
2. BP lying to the public.
, 3. BP selectively disclosing information.
4. BP engaging in illegal greenwashing crimes.
◉ Enhance social welfare by sourcing only fair-trade certified input
products. Answer: Managers often form strategies to achieve
outcome targets. Which of the following is not usually representative
of a manager's possible outcome targets?
1. Enhance social welfare by sourcing only fair-trade certified input
products.
2. Increase quarterly profits by 3%.
3. Achieve a sales volume that is double our closest competitor in the
local market.
4. Rank in the top 5 companies in the industry based on market
share of sales.
◉ society to lose out on a net benefit, as the next panel produced
would have more consumer value than productive costs. Answer:
Assume that the socially efficient output level in the residential solar
panel market is 1,000 units per week, but the industry is only
producing 800 units per week at current capacity. The industry's
under-production is causing
1. a net cost on society, because the last panel produced had more
production costs than consumer value.
2026 FULL QUESTIONS AND ACCURATE
SOLUTIONS
◉ Outcomes depend on the relative strength of lobbying. Answer:
According to the Uber case, the cost-benefit structure of the political
action defined as making ride-sharing without government licensing
an illegal activity, implies what lobbying outcome?
1. Lobbying does not occur.
2. Lobbying will likely be successful.
3. Outcomes depend on the relative strength of lobbying.
4. Successful lobbying will be costly.
◉ BP selectively disclosing information. Answer: According to our
BP mini-case, BP made two acquisitions in advance of implementing
the Beyond Petroleum integrated strategy: (i) it obtained Solarex (a
solar company) and (ii) it obtained ARCO (an oil and gas company).
The re-branding and advertising that centered only on the solar
acquisition can best be summed up as
1. BP increasing its transparency.
2. BP lying to the public.
, 3. BP selectively disclosing information.
4. BP engaging in illegal greenwashing crimes.
◉ Enhance social welfare by sourcing only fair-trade certified input
products. Answer: Managers often form strategies to achieve
outcome targets. Which of the following is not usually representative
of a manager's possible outcome targets?
1. Enhance social welfare by sourcing only fair-trade certified input
products.
2. Increase quarterly profits by 3%.
3. Achieve a sales volume that is double our closest competitor in the
local market.
4. Rank in the top 5 companies in the industry based on market
share of sales.
◉ society to lose out on a net benefit, as the next panel produced
would have more consumer value than productive costs. Answer:
Assume that the socially efficient output level in the residential solar
panel market is 1,000 units per week, but the industry is only
producing 800 units per week at current capacity. The industry's
under-production is causing
1. a net cost on society, because the last panel produced had more
production costs than consumer value.
