Final answer:
Common carriers are entities that offer transportation of freight and passengers to the public. Greyhound and Trailways would likely prefer a broader market definition to minimize perceived dominance during merger discussions. Cargo ships facilitate globalization by transporting goods globally, while the media serves as a common carrier in communication. Options 1, 2, and 3.
Step-by-step explanation:
Common carriers are organizations that offer transportation services to the public, and these entities can carry either freight, passengers, or both. This means the correct answer to what common carriers are would be options 1, 2, and 3.
They are essential components of the logistics and transportation sectors, facilitating the movement of goods and people over various distances and through different modes of transportation, such as trucks, trains, ships, and airplanes.
In the historical scenario involving Greyhound Lines, Inc. and Trailways Transportation System, both bus companies would likely prefer defining the market as "the market for intercity transportation, including personal cars, car rentals, passenger trains, and commuter air flights".
A broader market definition would typically be favored by these companies because it minimizes their perceived market share and dominance, which can be a strategic advantage when seeking regulatory approval for a merger.
By incorporating other forms of intercity transportation into the market definition, Greyhound and Trailways could argue that the merger would not significantly reduce competition, as customers have multiple other transportation options besides intercity buses.
The role of cargo ships as depicted in Figure 1.9 emphasizes their importance in globalization and as a mode of global transport for goods. In the realm of common carriers, such ships are quintessential in facilitating international trade by carrying large volumes of merchandise across the oceans.
Furthermore, the media's role as a common carrier highlights the non-physical aspect of carriage. By acting as an intermediary in the communication between the government and the people, the media operates as a linkage institution, carrying information rather than physical goods or passengers.
Hence, the right answer is options 1, 2, and 3.