According to Paul Krugman, a country that attempts to use strategic trade policy to establish a domestic firm in a dominant position in a global industry, is most likely to:

A. dominate the industry.

B. move away from protectionism.

C. provoke retaliation.

D. incur huge financial debts.

E. upset the special-interest groups within the economy.

C

Business

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To differentiate between the various market segments, the firm must

A) create barriers by identifying product or service attributes that the segments value differently. B) eliminate barriers that identify product or service attributes that the segments value differently. C) negotiate separately with different market segments that value product or service attributes differently. D) develop pricing structures based on the volume of various product or service attributes.

Business

Blockbuster is a video rental and retail chain. Blockbuster is forecasting its financial statements for Year 3. Selected financial information for Year 2 is provided in the table

What is Retained Earnings for Year 3? Selected Financial Information Blockbuster Inc ($ '000) Year 2 Ratios (to Sales) Forecast Year 3 Revenue $5,157,600 $5,673,360 COGS 2,420,700 0.469346 SG&A 2,532,400 0.491004 R&D 176,100 0.034144 Dep. Exp. 246,600 300,000 EBIT -218,200 Int. Exp. 78,200 78,000 EBT -296,400 Provision for Income Taxes -56,100 0.19* Net Income $ -240,300 Dividends $0 Retained Earnings $ -327,100 Owner's Equity $ -427,100 *Tax rate is a proportion of Earnings before Taxes. A) $-46,224 B) $-47,279 C) $-329,300 D) $-607,976 E) $-707,976

Business