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business
intermediate microeconomics

Questions and Answers of Intermediate Microeconomics

Enter the Web sites of the Gartner (www.gartner.com), the Yankee Group (www.yankeegroup.com), and CIO (www.cio.com). Search for recent material about ASPs and outsourcing, and prepare a report on
Each group will access a leading business intelligence vendor’s Web site (e.g., MicroStrategy, Oracle, Hyperion, Microsoft, SAS, SPSS, Cognos, and Business Objects).Each group will present a report
Each group will use a search engine of their choice to fi nd combined GIS/GPS applications as well as look at various vendor sites to fi nd success stories. (For GPS vendors, look at
Using data mining, it is possible not only to capture information that has been buried in distant courthouses but also to manipulate and index it. This process can benefi t law enforcement but invade
Analyze Microsoft® Bing Maps (www.microsoft.com/maps) as a business intelligence tool. (Hint: Access www.microsoft.com/industry/government/products/bing_maps/default.aspx.) What are the business
Visit the sites of some GIS vendors (such as www.mapinfo.com, www.esri.com, or www.autodesk.com). Download a demo. What are some of the most important capabilities and applications?
Access www.ted.com/index.php/talks/view/id/92 to fi nd the video of Hans Rosling’s presentation. Comment on his data visualization techniques.
Enter www.cognos.com, and visit the demos on the right side of the page. Prepare a report on the various features shown in each demo.
The city of London (U.K.) charges an entrance fee for automobiles and trucks into the central city district. About 1,000 digital cameras photograph the license plate of every vehicle passing by.
American Can Company announced that it was interested in acquiring a company in the health maintenance organization (HMO) fi eld. Two decisions were involved in this act: (1) the decision to acquire
Have each team locate several organizations that use IOSs, including one with a global reach. Students should contact the companies to fi nd out what IOS technology support they use (e.g., an EDI, an
Assign each group in the class to a major supply chain management vendor, such as SAP, Oracle, i2, IBM, and so on. Each group will investigate topics such as (a) the products, (b) major capabilities,
Create groups to investigate the major CRM applications and their vendors.• Sales force automation (Microsoft Dynamics, Oracle, FrontRange Solutions, RightNow Technologies, Maximizer Software)•
Assign each group to an on-demand CRM vendor. Each group should examine each vendor, its products, and the capabilities of those products and make a presentation to the class detailing how its
Assign each group to an open-source CRM vendor. Each group should examine the vendor, its products, and the capabilities of those products and make a presentation to the class detailing how its
Enter www.supply-chain.org, www.cio.com, www.fi ndarticles.com, and www.google.com, and search for recent information on supply chain management.
Enter www.halogensoftware.com and www.successfactors.com. Examine their software products and compare them.
Surf the Net and fi nd free accounting software. (Try CNet’s software at http://www.wiley.com/go/rainer/problemsolving, www.rkom.com, www.tucows.com, www.passtheshareware.com, and
Check out Microsoft Dynamics demos at http://www.wiley.com/go/rainer/problemsolving. View three of the demos in different functional areas of your choice. Prepare a report on each product’s
Design a mashup for your university. Include the purpose of the mashup, sources of data, and intended audience.
Enter www.programmableweb.com and study the various services that the Web site offers. Learn how to create mashups and then propose a mashup of your own. Present your mashup to the class.
What sorts of restrictions or guidelines should fi rms place on the use of social networks by employees? Are social computing sites a threat to security? Can they tarnish a fi rm’s reputation? If
Research the status of 3G and 4G cellular service by visiting the links available via http://www.wiley.com/go/rainer/problemsolving. Prepare a report on the status of 3G and 4G based on your fi
Using a search engine, try to determine whether there are any commercial Wi-Fi hotspots in your area. (Hint: Access http://www.wiley.com/rainer/go/problemsolving.)
Investigate commercial applications of voice portals. Visit several vendors, e.g., Microsoft and Nuance (links to both websites are available via http://www.wiley.com/go/rainer/problemsolving). What
Access various travel sites such as www.travelocity.com, www.orbitz.com, www.expedia.com, www.kayak.com, and www.pinpoint.com. Compare these Web sites for ease of use and usefulness. Note differences
Enter www.checkfree.com and www.lmlpayment.com to identify their services. Prepare a report.
Conduct a study on selling diamonds and gems online.Access such sites as www.bluenile.com, www.diamond.com, www.thaigem.com, www.tiffany.com, and www.jewelryexchange.com.a. What features do these
Why is order fulfi llment in B2C considered diffi cult?
Access http://ipv6.com and www.ipv6news.info and learn about more advantages of IPv6.
Refer to the chapter opening case:a. How do you feel about the net neutrality issue?b. Do you believe heavier bandwidth users should pay for more bandwidth?c. Do you believe wireless carriers should
Draw the entity-relationship diagram for the following patient appointment system. The business rules of this system are the following:A doctor can be scheduled for many appointments but might not
What are the implications of having incorrect data points in your Big Data? What are the implications of incorrect or duplicated customer data? How valuable are decisions that are made based on
Read the article: “The Security Tools You Need” at www.pcworld.com/downloads/collection/collid,1525/fi les.html.Each team should download a product and discuss its pros and cons for the class. Be
Read “In the Matter of BJ’s Wholesale Club, Inc., FTC File No. 042 3160, June 16, 2005, Agreement Containing Consent Order” at www.ftc.gov/opa/2005/06/bjswholesale.htm.Describe the security
Access www.ftc.gov/sentinel to learn more about how law enforcement agencies around the world work together to fi ght consumer fraud. Each team should obtain current statistics on one of the top fi
Divide the class into three teams. Each team will access various search engines for information on Terry Childs, who was the network administrator for the City of San Francisco, California. One team
Access www.ftc.gov/sentinel to learn how law enforcement agencies around the world work together to fi ght consumer fraud. Each team should obtain current statistics on one of the top fi ve consumer
Access http://www.albion.com/netiquette/corerules.html. What do you think of this code of ethics? Should it be expanded?Is it too general?
Access the Association for Computing Machinery’s code of ethics for its members (see www.acm.org/constitution/code.html). Discuss the major points of this code. Is this code complete? Why or why
(a) As a class, describe the business pressures on your university.Each group will then create an online group for studying one of these business pressures, and how your university uses IT to respond
The market for optical copiers is shrinking rapidly. It is expected that by 2010 as much as 90 percent of all duplicated documents will be done on computer printers. Can a company such as Xerox
Compare and contrast the shopping process at a bricks and mortar store such as Macy’s or Target and at an Internet retailer such as Amazon.com. How are these processes different?(Hint: Consider the
Is IT necessary for BPM? Why or why not?
How can organizations benefi t from BPM?
Explain how an organization may choose between applying business process improvement versus business process reengineering to solving a process performance problem.
Consider the student registration business process at your university:• Describe the steps necessary for you to register for your classes each semester.Who are the customers of the process? What
Refer to the study at Princess Alexandra Hospital (in the“Improvements in Healthcare” section). How do you feel about Google searches fi nding the correct diagnosis in 57 percent of the cases?
Describe a business that you would like to start. Discuss how you would use global outsourcing to accomplish your goals.
According to the theory of the kinked demand curve, if a fi rm were to lower its price, its competitors would. ( LO3 )a) lower theirsb) raise theirsc) keep theirs the same
According to the theory of the kinked demand curve, if a fi rm were to raise its price, its competitors would. ( LO3 )a) lower theirsb) raise theirsc) keep theirs the same
A monopoly would have a concentration ratio of and a Herfi ndahl-Hirschman index of. ( LO1 )a) 100, 100c) 10,000, 100b) 10,000, 10,000d) 100, 10,000
Imports have made the automobile industry’s concentration ratio much relevant, while the Japanese transplants have been that ratio. ( LO1 )a) more, reducingc) less, reducingb) more, increasingd)
Which statement is true? ( LO2 )a) Two-thirds of all cars and light trucks sold in the United States are either imported or made by Japanese fi rms in this country.b) Toyota and Honda are the largest
The highest Herfi ndahl-Hirschman index. ( LO1 )a) is in Industry Xc) is in Industry Zb) is in Industry Yd) cannot be determined
The highest concentration ratio . ( LO1 )a) is in Industry Xc) is in Industry Zb) is in Industry Yd) cannot be determined
An industry that has 100 fi rms, each with a 1 percent market share, would have a Herfi ndahl-Hirschman index of . ( LO1 )a) 1d) 1,000b) 10e) 10,000c) 100
An industry that is highly concentrated might have a Herfi ndahl-Hirschman index of . ( LO1 )a) 20,000d) 100b) 2,000e) 1c) 800
Which statement is true? ( LO2 )a) Most of American industry is engaged in cutthroat competition.b) Most of American industry does not compete.c) Some oligopolistic industries are more competitive
Which one of these could not be considered cutthroat competitors? ( LO2 )a) Members of Japanese dangosb) McDonald’s and Burger Kingc) Costco and Sam’s Clubd) Gas stations on the same intersection
The least competitive industry is one that has. ( LO2 )a) price leadershipc) overt collusionb) covert collusiond) a cartel
The electric machinery case involved. ( LO2 )a) a cartelc) cutthroat competitionb) covert collusiond) none of the above
Which statement is false? ( LO1 )a) The cigarette and auto industries have high concentration ratios.b) OPEC is a cartel.c) Most oligopolies engage in outright collusion.d) None of these statements
Which of the following is not an oligopolist? ( LO4 )a) ExxonMobilb) General Motorsc) Your local phone companyd) Xerox
In the U.S. today collusion is . ( LO2 )a) illegal and does not existb) illegal and does existc) legal and does not existd) legal and does exist
Price is . ( LO3 )a) always read off the demand curveb) sometimes read off the demand curvec) always read off the marginal revenue curved) sometimes read off the marginal revenue curve
Administered prices are most likely to occur under. ( LO4, 6 )a) perfect competitionc) monopolyb) monopolistic competitiond) oligopoly
The motor vehicle industry has a concentration ratio of almost percent. ( LO1 )a) 5d) 65b) 25e) 85c) 45
Which statement is true? ( LO1 )a) All oligopolies have only a few fi rms.b) Most oligopolies have only a few fi rms.c) Some oligopolies have only a few fi rms.
Practical Application: Suppose an organization of college professors decided to bring down textbook prices. What measures could be taken to persuade publishers to lower their prices?
The American automobile industry is an archetypical oligopoly. Show why this statement is true.
Draw a graph of a monopolistic competitor in the long run on a piece of graph paper. (LO1)
Is the fi rm in Figure 2 operating in the short run or the long run? How do you know? (LO1)
Given the information in Figure 2 , how much profi t does this monopolistic competitor make? (LO1)
The monopolistic competitor produces at the minimum point of his or her ATC curve. (LO5)
Price discrimination occurs when a seller charges for the same good or service. (LO4)
The monopolistic competitor’s demand curve slopes. (LO1)
A monopolistic competitor makes a profi t only in the. (LO1)
The most crucial feature of monopolistic competition is . (LO3)
Price discrimination . (LO4)a) often works to the advantage of the poorb) generally helps rich customersc) is very hard to fi nd in the United Statesd) is illegal in the United States
Which statement is true about perfect price discrimination? (LO4)a) It is very common.b) It is illegal.c) The larger the market, the more likely one is to fi nd it.d) None of these statements is true.
Perfect price discrimination eliminates of the customer’s consumer surplus. (LO4)a) allb) mostc) somed) none
Which statement is true? ( LO1 , 3 )a) Most fi rms in the United States are monopolistic competitors.b) Most fi rms in the United States are perfect competitors.c) Most consumers would prefer lower
Which of the following would not be a monopolistic competitor? (LO3)a) Thursa Sotak’s hair salonb) Keith and Cathi Collins’ mom-and-pop grocery storec) Adam Avischious, a storefront lawyerd)
Which statement is true? (LO3)a) When you decide which doctor to go to, your only concern is the quality of the medical service you will receive.b) People differentiate among goods and services based
In the long run the monopolistic competitor will be. (LO1)a) making a profi tc) breaking evenb) taking a loss
In the short run the monopolistic competitor will be. (LO1)a) defi nitely making a profi tb) defi nitely taking a lossc) defi nitely breaking evend) either taking a loss or making a profi t
In the long run the monopolistic competitor in Figure 1 is . (LO1, 5)a) more effi cient than the perfect competitorb) less effi cient than the perfect competitorc) as effi cient as the perfect
Practical Application: Make a list of fi ve fi rms with whom you or your family members have done business this week. Which are monopolistic competitors?
Are you in favor of price discrimination or against it? Try to argue pro and con.
There are two ways to prevent public utilities from taking advantage of their power: (1)and (2). (LO6)
The main economic criticism of monopolies and big business in general is that they are . (LO7)
Local gas and electric companies, the phone company, and local cable TV companies are all examples of monopolies. (LO6)
There are really only two justifi cations for monopoly:(1)and (2) . (LO6)
The fi ve barriers to entering a monopolized industry are(1) ;(2) ;(3) ;(4) ;and (5) . (LO4)
In the long run the perfect competitor makes profi t; in the long run the monopolist makes profi t. (LO3)
If a fi rm’s demand curve is a straight line sloping downward to the right, its marginal revenue curve will be a. (LO1)
The monopolist always produces at that output at which is equal to. (LO2)
The demand curve of an imperfect competitor slopes. (LO1)
A monopoly is a fi rm that has substitutes. (LO1)

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