Question 1

Optimal order quantities exist when the order-processing cost per unit and inventory-carrying cost per unit curves ________.

Accepted Answer

A) increase to 1 
B) decrease to less than 1 
C) intersect 
D) equal each other 
E) equal zero 
A) increase to 1 
B) decrease to less than 1 
C) intersect 
D) equal each other 
E) equal zero

Question 2

Beyond the optimal order quantity,total cost per unit increases because ________.

Accepted Answer

A) inventory-carrying cost per unit increases 
B) inventory-carrying cost per unit decreases 
C) order-processing cost per unit rises 
D) order-processing cost per unit falls more rapidly 
E) order-processing cost per unit falls more slowly 
A) inventory-carrying cost per unit increases 
B) inventory-carrying cost per unit decreases 
C) order-processing cost per unit rises 
D) order-processing cost per unit falls more rapidly 
E) order-processing cost per unit falls more slowly

Question 3

A retailer's real challenge begins after defining the store's product assortment,and that is to develop a product-differentiation strategy.

Accepted Answer

A) True 
 B)False

Question 4

A stock reorder point of 10 means reordering the product ________.

Accepted Answer

A) every 10 days 
B) when stock falls to 10 units 
C) every 10 units 
D) when stock falls to 9 units 
E) none of the above 
A) every 10 days 
B) when stock falls to 10 units 
C) every 10 units 
D) when stock falls to 9 units 
E) none of the above

Question 5

Paco Underhill suggests that retailers,to increase sales volume,make their shoppers hunt for the merchandise.His logic is this: While "hunting," the shopper will be exposed to more and more products,thus the likelihood increases that the shopper will purchase "impulse" items,thus increasing their overall purchase total.

Accepted Answer

A) True 
 B)False

Question 6

________ are unbranded,plainly packaged,less expensive versions of common products such as spaghetti,paper towels,and canned peaches.

Accepted Answer

A) Slotting fees 
B) National products 
C) Generics 
D) Private labels 
E) Shopping strips 
A) Slotting fees 
B) National products 
C) Generics 
D) Private labels 
E) Shopping strips

Question 7

The amount of time shoppers spend in a store is perhaps the single most important factor in determining how much they will buy.

Accepted Answer

A) True 
 B)False

Question 8

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

Accepted Answer

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

Question 9

Because wholesalers do not actually manufacture a product,they are unable to effectively manage asset productivity.

Accepted Answer

A) True 
 B)False

Question 10

Retailers can locate their stores in the central business district,a regional shopping center,________,a shopping strip,or within a larger store.

Accepted Answer

A) suburbia 
B) town centers 
C) strip malls 
D) a freestanding location 
E) a community shopping center 
A) suburbia 
B) town centers 
C) strip malls 
D) a freestanding location 
E) a community shopping center

Question 11

________ are independently owned businesses that take title to the merchandise they handle.They are full-service and limited-service jobbers,distributors,and mill supply houses.

Accepted Answer

A) Brokers 
B) Agents 
C) Merchant wholesalers 
D) Specialized wholesalers 
E) Retailers' branches 
A) Brokers 
B) Agents 
C) Merchant wholesalers 
D) Specialized wholesalers 
E) Retailers' branches

Question 12

Market logistics involves planning the infrastructure to meet demand,then implementing and controlling the physical flows of materials and final goods from points of origin to points of use,to meet customer requirements at a profit.

Accepted Answer

A) True 
 B)False

Question 13

An off-price retailer is one in which the retailer has a broad selection of high-markup,fast-moving,brand-name goods in stock.

Accepted Answer

A) True 
 B)False

Question 14

Retailers develop their own "store brands" to differentiate themselves from other retailers and the national branded merchandise.

Accepted Answer

A) True 
 B)False

Question 15

Inventory costs increases at a decreasing rate as customer-service levels approach 100% fulfillment.

Accepted Answer

A) True 
 B)False

Question 16

The real challenge of retail category management begins after defining the store's product assortment,and that is to develop a product-differentiation strategy.Give three possible retailing product-differentiation strategies.

Accepted Answer

Students may choose three of the followi

Question 17

High staffing costs,along with a higher proportion of specialty goods and slower-moving items and many services,result in the high cost structure of ________ retailing.

Accepted Answer

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

Question 18

Retailers examining their product mix find that a third of their products are not profitable or do not make economic sense.Yet these products still take up retail shelf space.Why does this continue and what techniques are retailers using to "tighten" this process?

Accepted Answer

Most retailers do not know which third o

Question 19

Natural advantages of brick-and-mortar over e-commerce retailers include ________.

Accepted Answer

A) products that shoppers can actually see 
B) real-life customer service 
C) no delivery lag time for small or medium-sized purchases 
D) a shopping experience 
E) all of the above 
A) products that shoppers can actually see 
B) real-life customer service 
C) no delivery lag time for small or medium-sized purchases 
D) a shopping experience 
E) all of the above

Question 20

Today information systems play a critical role in managing market logistics,especially computers,satellite tracking,and electronic funds transfers.

Accepted Answer

A) True 
 B)False

Exam 16: Managing Retailing, wholesaling, and Logistics

Optimal order quantities exist when the order-processing cost per unit and inventory-carrying cost per unit curves ________.

Beyond the optimal order quantity,total cost per unit increases because ________.

A retailer's real challenge begins after defining the store's product assortment,and that is to develop a product-differentiation strategy.

A stock reorder point of 10 means reordering the product ________.

________ are unbranded,plainly packaged,less expensive versions of common products such as spaghetti,paper towels,and canned peaches.

The amount of time shoppers spend in a store is perhaps the single most important factor in determining how much they will buy.

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

Because wholesalers do not actually manufacture a product,they are unable to effectively manage asset productivity.

Retailers can locate their stores in the central business district,a regional shopping center,________,a shopping strip,or within a larger store.

________ are independently owned businesses that take title to the merchandise they handle.They are full-service and limited-service jobbers,distributors,and mill supply houses.

Market logistics involves planning the infrastructure to meet demand,then implementing and controlling the physical flows of materials and final goods from points of origin to points of use,to meet customer requirements at a profit.

An off-price retailer is one in which the retailer has a broad selection of high-markup,fast-moving,brand-name goods in stock.

Retailers develop their own "store brands" to differentiate themselves from other retailers and the national branded merchandise.

Inventory costs increases at a decreasing rate as customer-service levels approach 100% fulfillment.

The real challenge of retail category management begins after defining the store's product assortment,and that is to develop a product-differentiation strategy.Give three possible retailing product-differentiation strategies.

High staffing costs,along with a higher proportion of specialty goods and slower-moving items and many services,result in the high cost structure of ________ retailing.

Retailers examining their product mix find that a third of their products are not profitable or do not make economic sense.Yet these products still take up retail shelf space.Why does this continue and what techniques are retailers using to "tighten" this process?

Natural advantages of brick-and-mortar over e-commerce retailers include ________.

Today information systems play a critical role in managing market logistics,especially computers,satellite tracking,and electronic funds transfers.

Defining Marketing for the 21st Century

Developing Marketing Strategies and Plans

Gathering Information and Scanning the Environment

Conducting Marketing Research and Forecasting Demand

Creating Customer Value, satisfaction, and Loyalty

Analyzing Consumer Markets

Analyzing Business Markets

Identifying Market Segments and Targets

Creating Brand Equity

Crafting the Brand Positioning

Dealing With Competition

Setting Product Strategy

Designing and Managing Services

Developing Pricing Strategies and Programs

Designing and Managing Integrated Marketing

Designing and Managing Integrated Marketing Communications

Managing Mass Communications:

Managing Personal Communications:

Introducing New Market Offerings

Tapping Into Global Markets

Managing a Holistic Marketing Organization

Filters