For the Week ending 08/25/06
Directions: Choose the word that matches with the definition and appropriately fits into the blank space in the sentence.
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Particular form of co-ordination between firms which can adversely affect the outcome of any sale or purchasing process in which bids are submitted. For example, firms may agree to specific prices of their bids in advance, deciding which firm will be the lowest bidder. Alternatively, they may agree not to bid or to rotate their bids in number or value of contracts.
Elliot Spitzer cracked down on _______ in the insurance business, which led to the termination the long term CEO of AIG in the process. |
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Arrangement (s) between competing firms designed to limit or eliminate competition between them, with the objective of increasing prices and profits of the participating companies and without producing any objective countervailing benefits.
Since the formation of OPEC, a _______ of state sponsored oil producing companies, the supply of oil has been tightly controlled. |
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A group of independent companies working together for the fulfillment of a specific project. Consortia are frequent, e.g., in the construction industry where large projects (buildings, freeways) require close co-operation between engineering, planning and construction companies.
To construct the new mall, it's surrounding stores, and the new highways and ramps to get there, it took the cooperation of a _______ of companies. |
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A (deliberate) strategy, usually by a dominant firm, of driving competitors out of the market by setting prices below production costs. If the predator succeeds in driving existing competitors out of the market and in deterring future entry of new firms, he can subsequently raise prices and earn higher profits.
Microsoft has been accused of _______ by many of its competitors over the years. |
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Fixed costs that have already been incurred and cannot be recovered. They arise because some activities require specialized assets that cannot readily be diverted to other uses. Second-hand markets for such assets are therefore limited.
A great deal of R & D expenses for specialized products of limited use are considered _______. |