Glassware Corp. is the main supplier of glass in a given country, although it faces competition from smaller glass producers. Glassware offers a quantity discount to Windoze Inc., a giant windows producer, if and only if Windoze Inc. agrees to not buy glass from other glass producers. Glassware does not offer this discount to any of its other customers.
Windoze accepts the offer, and as a result, a substantial number of small glass producers start exiting the market.
Glassware violated which of the following provision(s) of the Clayton Act and Robinson-Patman Act?
I. Price discrimination
II. Exclusive dealing
III. Tying contracts
IV. Stock acquisition of competing companies
V. Interlocking directorates
A. II only
B. I, II, III, and V only
C. I, II, and IV only
D. I and III only
E. I only
F. I and II only© BrainMass Inc. brainmass.com October 24, 2018, 11:41 pm ad1c9bdddf
Glassware is guilty of exclusive dealing and price discrimination only (F). Price discrimination involves offering a good at different ...
Determining which provisions of Clayton Act and Robinson-Patman Act have been violated
The study of government regulation and the competitive environment for business is relevant to all those who study business. All business candidates need to understand how the competitive environment will impact their employers and businesses.
A. Summarize the four major pieces of legislation collectively known as the Antitrust Laws.
B. Discuss the intended purpose of industrial (i.e., economic) regulation as it applies to the following market structures:
C. Explain the major functions of the three primary federal and state regulatory commissions that govern industrial regulation.
D. Discuss the intended purpose of social regulation as it applies to all market structures.
E. Explain the major functions of the five primary federal regulatory commissions that govern social regulation.