Marketing Series: Fashion Marketing

Chapter 3: The Fashion Business

Pop Quizzes


1.	The textile industry is the largest part of which segment of the fashion industry?
		A)	primary market
		B)	secondary market
		C)	tertiary market
		D)	none of the above


2.	A business created through a legal agreement beween two or more people who are jointly responsible for the success or failure of the business is known as a _____.
		A)	sole proprietorship
		B)	NAFTA
		C)	partnership
		D)	corporation


3.	Which is a risk faced by clothing designers?
		A)	Someone will copy their designs.
		B)	Someone will produce clothing faster.
		C)	Someone will produce clothing more cheaply.
		D)	all of the above


4.	The increasing integration of the world economy is known as _____.
		A)	balance of trade
		B)	globalization
		C)	trade deficit
		D)	World Trade Organization


5.	Which is an effect of globalization on the fashion industry?
		A)	Citizens in most countries are able to shop for products from around the world.
		B)	Many garments are manufactured outside the United States.
		C)	There is increased competition among countries in the manufacturing sector.
		D)	all of the above


6.	What is the result when a country imports more goods than it exports?
		A)	trade surplus
		B)	trade deficit
		C)	balance of trade
		D)	free-trade agreement


7.	What is determined by the law of supply and demand?
		A)	the price of goods
		B)	customers' wants and needs
		C)	profit
		D)	none of the above


8.	What is used to control the amount of a product a country is allowed to sell or trade?
		A)	trade quota
		B)	free-trade agreement
		C)	NAFTA
		D)	balance of trade


9.	The balance of trade refers to _____.
		A)	the ability of a manufacturer to balance its books
		B)	the relationship between a country's imports and exports
		C)	in a partnership, the manner in which responsibilities are shared
		D)	the relationship between supply and demand


10.	The North American Free Trade Agreement (NAFTA) is an example of a _____.
		A)	partnership
		B)	trade quota
		C)	free-trade agreement
		D)	corporation