Question

The _________________________ purpose is to eliminate and prevent “anticompetitive” business practices related to the enforcement of antitrust laws. The FTC and the Department of Justice share responsibility for enforcement of antitrust laws.

Bureau of Competition’s

FTC

Bureau of Economics

Bureau of Consumer Protection

The FTC sanctions ________________________________ as an unfair trade practice. Examples of ______________________________ include false sales in which a “limited time offer” might actually be available forever, or running a “Going Out of Business” sale without any plans to go out of business while advertising that items are discounted,

misleading price information

aggressive sales tactics

fake news

bait and switch

Unfair trade practices include false representation of a good or service, __________________________________, false advertising, tied selling, false free prize or gift offers, false or deceptive pricing, and non-compliance with manufacturing standards. Alternative names for unfair trade practices are “deceptive trade practices” or “unfair business practices.”

targeting vulnerable populations

aggressive sales tactics

bait and switch

unfair trade practice

Companies must be prepared to honor _________________________________. For example, if a product is advertised with a 50 percent money-back guarantee, then that must be provided to customers who meet the requirement(s) attached to the guarantee. Similarly, companies may not create false endorsements and testimonials about their products.

product guarantees

their contracts

their agreements

customer service issues

________________________________includes the misrepresentation of a product, service, or price. It may be more expansively defined to include unfair sales strategies, such as advertising one item and then selling another item in its place, e.g., one that is higher priced, lower quality and/or less in demand.

False advertising

Business ethics

bait and switch

aggressive sales tactics

Answer 1

1. The Bureau of competition's purpose is to eliminate and prevent “anticompetitive” business practices related to the enforcement of antitrust laws. The FTC and the Department of Justice share responsibility for enforcement of antitrust laws.Hence, option(A) is correct.

2. The FTC sanctions misleading price information as an unfair trade practice. Examples of misleading price information include false sales in which a “limited time offer” might actually be available forever, or running a “Going Out of Business” sale without any plans to go out of business while advertising that items are discounted. Hence, option(A) is correct.

3. Unfair trade practices include false representation of a good or service, targeting vulnerable population, false advertising, tied selling, false free prize or gift offers, false or deceptive pricing, and non-compliance with manufacturing standards. Hence, option(A) is correct.

4. Companies must be prepared to honor product guarantees. For example, if a product is advertised with a 50 percent money-back guarantee, then that must be provided to customers who meet the requirement(s) attached to the guarantee. Hence, option(A) is correct.

5. False advertising includes the misrepresentation of a product, service, or price. It may be more expansively defined to include unfair sales strategies, such as advertising one item and then selling another item in its place, e.g., one that is higher priced, lower quality and/or less in demand. Hence, option(A) is correct.