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16 Cards in this Set
- Front
- Back
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What is the distinction between line and staff positions in a company, and which should run the company? |
Line positions carry out the primary function of the organization, while staff positions facilitate the line people to do their jobs, or perform generic functions that are required of all organizations. Most people tend to feel more comfortable with line people running the company, but there has been a tendency since the 1970s to put more staff people in power positions. |
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What is the definition of consumerism |
There are 2 general definitions: a) it is a synonym for materialism, and b) the movement ("the consumer rights movement") that gives more rights to consumers and more obligations to sellers. |
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What are some major precipitating events in the annals of consumerism? |
Major precipitating events include: a. The early movement – based on the book, The Jungle by Upton Sinclair – early 1900s – resulted in early federal government agencies – Ag Dept and FDA; b. The Modern movement – based on another book, Unsafe at any Speed by Ralph Nader – problems in the US car industry – especially one car, which was the Chevy Corvair; c. the Ford Pinto debacle, and many others. |
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What is product liability litigation? |
Product liability is a specific type of strict liability under tort law. Tort law is part of the "common law," which is said to be "judge-made" law that emanates out of court decisions. It is principally the province of state courts. There are 3 main types of torts: intentional (i.e. battery, slander, etc.), negligence (carelessness), and strict liability. |
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What is strict liability? How does product liability differ from negligence? |
Strict liability makes it easier for plaintiffs to recover than negligence. When company products cause injury to consumers it is hardly ever going to be an intentional tort - generally it was the result of some sort of carelessness. But, negligence was hard to prove - the defendant must not have followed standards of due care (what a reasonable manufacturer, etc. would have done). Strict liability makes the manufacturer (along with wholesalers and retailers) act as an insurer against injury to consumers,regardless of how much care was taken to avoid injury. Historically, strict liability applied to “ultrahazardous activities” such as keeping wild animals, damming up water, and using explosives. Anybody hurt by your engaging in these activities could collect from you no matter how careful you had acted. |
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What is tort reform legislation concerned with? |
Tortreform is principally about protecting doctors and producers of goods from lawsuits |
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An individual who uses products and services in a commercial economy is a: A) seller. B) consumer. C) wholesaler. D) retailer. |
B) consumer. |
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_____ is a movement that promotes the rights of consumers in relation to sellers of products. A) Materialism B) Commercialism C) Individualism D) Consumerism |
D) Consumerism |
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The idea, arising in the Enlightenment, that human beings are ends in themselves is termed as: A) materialism. B) consumerism. C) individualism. D) symbolism. |
C) individualism. |
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Materialism is a(n): A) movement to promote the rights and interests of consumers in relation to sellers. B) outlook that emphasizes money and displaces philosophical values. C) idea that holds that human beings are ends in themselves. D) wave of new challenging ideas based on human reason and scientific inquiry. |
B) outlook that emphasizes money and displaces philosophical values. |
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Identify the correct statement about the Food and Drug Administration (FDA). A) It regulates the labeling of alcoholic beverages. B) Its main emphasis in terms of budget and staffing is drug regulation. C) It does not have the authority to inspect foreign food factories. D) It protects consumers from any practice that limits competition. |
B) Its main emphasis in terms of budget and staffing is drug regulation. |
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Which of the following agencies promotes fair competition and protects consumers from deceptive advertising? A) The Commodity Futures Trading Commission B) The Federal Trade Commission C) The Consumer Product Safety Commission D) The United States Consumer Financial Protection Bureau |
B) The Federal Trade Commission |
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Product liability is a(n): A) doctrine that defines the legal relationship between a consumer and other parties to a product sale. B) explicit claim made by the manufacturer to the buyer. C) doctrine in the law of torts that covers redress for injuries caused by defective products. D) contract in which the seller guarantees the nature of the product. |
C) doctrine in the law of torts that covers redress for injuries caused by defective products. |
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Which theory holds that manufacturers can be held liable and must pay damages for defective products if their breach of this duty of ordinary care contributes to an injury? A) Negligence B) Caveat venditor C) Strict liability D) Caveat emptor |
A) Negligence |
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The relationship between the parties to a contract that gives them a common interest under the law is called: A) res judicata. B) implied warranty. C) express warranty. D) privity. |
D) privity. |
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What type of liability makes it possible for injured parties to hold all members of the distribution chain responsible for selling defective products? A) Strict liability B) Contributory liability C) Limited liability D) Current liability |
A) Strict liability |
