1. A popular women’s fragrance claims much more than merely making the wearer smell nice to the opposite sex. It also promises to make hanging out at bars searching for that special someone unnecessary, to make the purchase of expensive clothing unnecessary because the fragrance is all you need to appear attractive to others, and to make expensive salon visits, manicures, pedicures, etc., unnecessary. Which type of competition would be represented in this situation?

a. Micro-competition

b. Substitute competition

c. Macro-competition

d. Purchasing power competition

e. Direct competition

2. In choosing a foreign country to which he will export and distribute large products, Perry has selected Uzbekistan, hoping that it has a well-developed infrastructure. To determine that Uzbekistan’s infrastructure is sufficient, Perry might look at all of the following factors, except

a. the current construction of a nuclear power plant.

b. the People’s Bank of Uzbekistan, the only bank allowed in the country.

c. the new deep-water port on the Caspian Sea.

d. the fact that there are .43 radios per Uzbekistani citizen.

e. the combination of Islamic and Socialist legal systems in the country.