Question 1

Mass merchandisers are usually high-markup, lower-volume stores.

Accepted Answer

A) True 
 B)False

Question 2

ShoeZone is a shoe retailer with outlets across the country. The company is trying to reduce its inventory and warehousing costs, but needs to keep delivery speeds as short as possible. What can ShoeZone do to achieve this?

Accepted Answer

More stocking locations mean goods can b

Question 3

List the four categories of nonstore retailing and briefly explain each.

Accepted Answer

Although the overwhelming bulk of goods

Question 4

Discount stores usually stock leftover goods, overruns, and irregular merchandise, sold at less than retail.

Accepted Answer

A) True 
 B)False

Question 5

Which of the following is true for direct product profitability?

Accepted Answer

A)  It is highly correlated with the gross margin on a product. 
B)  It is negligible compared to the gross margin on a product. 
C)  It bears little relation to the gross margin on a product. 
D)  It is significantly lower than the gross margin on a product. 
E)  It is exactly the same as the gross margin on a product. 
A)  It is highly correlated with the gross margin on a product. 
B)  It is negligible compared to the gross margin on a product. 
C)  It bears little relation to the gross margin on a product. 
D)  It is significantly lower than the gross margin on a product. 
E)  It is exactly the same as the gross margin on a product.

Question 6

Featuring exclusive national brands that are not available at competing retailers is a way of generating consumer interest in a retailer.

Accepted Answer

A) True 
 B)False

Question 7

Which of the following is a postpurchase service offered by retailers?

Accepted Answer

A)  accepting orders over the telephone 
B)  advertising and window displays 
C)  delivery to the customer's doorstep 
D)  general information 
E)  interior decoration of the retail outlet 
A)  accepting orders over the telephone 
B)  advertising and window displays 
C)  delivery to the customer's doorstep 
D)  general information 
E)  interior decoration of the retail outlet

Question 8

The elapsed time between an order's receipt, delivery, and payment is called the ________ cycle.

Accepted Answer

A)  variable-costs-to-payment 
B)  product-to-payment 
C)  inventory-to-sale 
D)  order-to-inventory 
E)  order-to-payment 
A)  variable-costs-to-payment 
B)  product-to-payment 
C)  inventory-to-sale 
D)  order-to-inventory 
E)  order-to-payment

Question 9

Which of the following types of retailing generally entails the highest costs?

Accepted Answer

A)  full-service 
B)  self-service 
C)  limited-selection 
D)  limited service 
E)  self-selection 
A)  full-service 
B)  self-service 
C)  limited-selection 
D)  limited service 
E)  self-selection

Question 10

How would a merchant wholesaler operate?

Accepted Answer

Merchant wholesalers are indep

Question 11

Companies that sell products door-to-door or at home sales parties are engaging in ________.

Accepted Answer

A)  franchising 
B)  network marketing 
C)  direct-response marketing 
D)  corporate selling 
E)  direct marketing 
A)  franchising 
B)  network marketing 
C)  direct-response marketing 
D)  corporate selling 
E)  direct marketing

Question 12

Department stores only face competition from other department stores as other retailing forms are not a threat to their sales and profitability.

Accepted Answer

A) True 
 B)False

Question 13

Wholesaling includes all the activities in selling goods or services to those who buy for resale or business use.

Accepted Answer

A) True 
 B)False

Question 14

Reynold's is a grocery chain that has always catered to mid-market customers. However, the owner, Mal, has noticed that an influx of new residents are buying mostly the lower-cost and discounted products. To attract customers, Mal decides to make a gradual switch to the discount store format, but to do this, he will have to cut costs wherever possible. Which of the following types of services should Mal avoid in order to lower costs?

Accepted Answer

A)  limited service 
B)  self-selection 
C)  full-service 
D)  self-service 
E)  limited-selection 
A)  limited service 
B)  self-selection 
C)  full-service 
D)  self-service 
E)  limited-selection

Question 15

Inventory cost increases at an accelerating rate as the customer-service level approaches 100 percent.

Accepted Answer

A) True 
 B)False

Question 16

In the corporate headquarters of a supermarket chain, ________ are responsible for developing brand assortments and listening to salespersons' presentations.

Accepted Answer

A)  central buyers 
B)  brokers 
C)  specialist buyers 
D)  agents 
E)  specialized wholesalers 
A)  central buyers 
B)  brokers 
C)  specialist buyers 
D)  agents 
E)  specialized wholesalers

Question 17

Describe the four steps in market logistics planning.

Accepted Answer

Market logistics includes planning the i

Question 18

In the ________ type of retailing, customers usually find their own goods, although they can ask salespeople for assistance.

Accepted Answer

A)  self-service 
B)  self-selection 
C)  full-service 
D)  limited service 
E)  limited-selection 
A)  self-service 
B)  self-selection 
C)  full-service 
D)  limited service 
E)  limited-selection

Question 19

Most companies today are trying to increase the order-to-payment cycle.

Accepted Answer

A) True 
 B)False

Question 20

________ includes all the activities in selling goods or services to those who buy for resale or business use.

Accepted Answer

A)  Retailing 
B)  Wholesaling 
C)  Procurement 
D)  Promoting 
E)  Warehousing 
A)  Retailing 
B)  Wholesaling 
C)  Procurement 
D)  Promoting 
E)  Warehousing

Exam 18: Managing Retailing, Wholesaling, and Logistics

Mass merchandisers are usually high-markup, lower-volume stores.

ShoeZone is a shoe retailer with outlets across the country. The company is trying to reduce its inventory and warehousing costs, but needs to keep delivery speeds as short as possible. What can ShoeZone do to achieve this?

List the four categories of nonstore retailing and briefly explain each.

Discount stores usually stock leftover goods, overruns, and irregular merchandise, sold at less than retail.

Which of the following is true for direct product profitability?

Featuring exclusive national brands that are not available at competing retailers is a way of generating consumer interest in a retailer.

Which of the following is a postpurchase service offered by retailers?

The elapsed time between an order's receipt, delivery, and payment is called the ________ cycle.

Which of the following types of retailing generally entails the highest costs?

How would a merchant wholesaler operate?

Companies that sell products door-to-door or at home sales parties are engaging in ________.

Department stores only face competition from other department stores as other retailing forms are not a threat to their sales and profitability.

Wholesaling includes all the activities in selling goods or services to those who buy for resale or business use.

Inventory cost increases at an accelerating rate as the customer-service level approaches 100 percent.

In the corporate headquarters of a supermarket chain, ________ are responsible for developing brand assortments and listening to salespersons' presentations.

Describe the four steps in market logistics planning.

In the ________ type of retailing, customers usually find their own goods, although they can ask salespeople for assistance.

Most companies today are trying to increase the order-to-payment cycle.

________ includes all the activities in selling goods or services to those who buy for resale or business use.

Defining Marketing for the New Realities

Developing Marketing Strategies and Plans

Collecting Information and Forecasting Demand

Conducting Marketing Research

Creating Long-Term Loyalty Relationships

Analyzing Consumer Markets

Analyzing Business Markets

Tapping Into Global Markets

Identifying Market Segments and Targets

Crafting the Brand Positioning

Creating Brand Equity

Addressing Competition and Driving Growth

Setting Product Strategy

Designing and Managing Services

Introducing New Market Offerings

Developing Pricing Strategies and Programs

Designing and Managing Integrated Marketing Channels

Designing and Managing Integrated Marketing Communications

Managing Mass Communications: Advertising, Sales Promotions, Events and Experiences, and Public Relations

Managing Digital Communications: Online, Social Media, and Mobile

Managing Personal Communications: Direct and Database Marketing and Personal Selling

Managing a Holistic Marketing Organization for the Long Run

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