Question 1

Differentiate between related and unrelated diversification.

Accepted Answer

In a related diversification growth oppo

Question 2

Positioning is the process of

Accepted Answer

A)  acquiring a lease for a retail store in a region. 
B)  creating and supporting a clear and distinct retailer image. 
C)  finding a retail location site. 
D)  negotiating the percentage-of-sales payment to the mall owners. 
E)  performing a situation audit. 
A)  acquiring a lease for a retail store in a region. 
B)  creating and supporting a clear and distinct retailer image. 
C)  finding a retail location site. 
D)  negotiating the percentage-of-sales payment to the mall owners. 
E)  performing a situation audit.

Question 3

Which of the following is a condition that may lead to competitive rivalry?

Accepted Answer

A)  Large number of competitors of the same size 
B)  Presence of perceived differences between competing retailers 
C)  Fast growth 
D)  Low fixed costs 
E)  Lack of competition 
A)  Large number of competitors of the same size 
B)  Presence of perceived differences between competing retailers 
C)  Fast growth 
D)  Low fixed costs 
E)  Lack of competition

Question 4

Fresh Foods, a chain of international supermarkets, has operations in 20 countries around the world. Fresh Foods always encourages the rapid development of local management and retains few expatriates in its overseas operations. Fresh Foods' management ranks are truly international. Which of the following is most likely a reason for the success of Fresh Foods in international markets?

Accepted Answer

A)  A global culture 
B)  Adaptability 
C)  Capital assets 
D)  Financial resources 
E)  Rigidity 
A)  A global culture 
B)  Adaptability 
C)  Capital assets 
D)  Financial resources 
E)  Rigidity

Question 5

A(n) ________ is a collaborative relationship between independent firms.

Accepted Answer

A)  strategic alliance 
B)  joint venture 
C)  acquisition 
D)  merger 
E)  takeover 
A)  strategic alliance 
B)  joint venture 
C)  acquisition 
D)  merger 
E)  takeover

Question 6

Which of the following is a component of retail mix?

Accepted Answer

A)  Product design 
B)  Market intelligence 
C)  Human resource practice 
D)  Pricing policy 
E)  Employee performance data 
A)  Product design 
B)  Market intelligence 
C)  Human resource practice 
D)  Pricing policy 
E)  Employee performance data

Question 7

Sally's LLC, a local supermarket, has all of the following characteristics. Which of the following characteristics of Sally's is most likely to be a more sustainable competitive advantage?

Accepted Answer

A)  Extended hours of operation 
B)  More employees 
C)  Shared systems with vendors 
D)  More merchandise 
E)  More sales promotions 
A)  Extended hours of operation 
B)  More employees 
C)  Shared systems with vendors 
D)  More merchandise 
E)  More sales promotions

Question 8

In perceptual maps, retailers that are closer to an ideal point are evaluated

Accepted Answer

A)  less favorably by the consumers. 
B)  more favorably by the producers. 
C)  more favorably by the suppliers. 
D)  less favorably by the suppliers. 
E)  more favorably by the consumers. 
A)  less favorably by the consumers. 
B)  more favorably by the producers. 
C)  more favorably by the suppliers. 
D)  less favorably by the suppliers. 
E)  more favorably by the consumers.

Question 9

Which of the following steps is typically the next step after establishing specific objectives and allocating resources in the strategic retail planning process?

Accepted Answer

A)  Identifying strategic opportunities 
B)  Developing a retail mix to implement the strategy 
C)  Evaluating performance and making adjustments 
D)  Defining the business mission 
E)  Conducting a SWOT analysis 
A)  Identifying strategic opportunities 
B)  Developing a retail mix to implement the strategy 
C)  Evaluating performance and making adjustments 
D)  Defining the business mission 
E)  Conducting a SWOT analysis

Question 10

Which of the following is True of private-label brands?

Accepted Answer

A)  Products developed and marketed by a retailer and available with other retailers 
B)  Products developed by a retailer but marketed and available with a third party 
C)  Products developed and available with a retailer but marketed by a third party 
D)  Products developed by a third party but marketed and available with a retailer 
E)  Products developed and marketed by a retailer and available only from that retailer 
A)  Products developed and marketed by a retailer and available with other retailers 
B)  Products developed by a retailer but marketed and available with a third party 
C)  Products developed and available with a retailer but marketed by a third party 
D)  Products developed by a third party but marketed and available with a retailer 
E)  Products developed and marketed by a retailer and available only from that retailer

Question 11

Which of the following is an example of unrelated diversification?

Accepted Answer

A)  Operating in similar locations 
B)  Creating a new management information system 
C)  Using the same distribution 
D)  Advertising in the same newspapers 
E)  Purchasing from the same vendors 
A)  Operating in similar locations 
B)  Creating a new management information system 
C)  Using the same distribution 
D)  Advertising in the same newspapers 
E)  Purchasing from the same vendors

Question 12

Which of the following statements is a disadvantage of franchising?

Accepted Answer

A)  The retailer bears all the loss. 
B)  Heavy taxes are levied on the retailer. 
C)  Local laws favor the franchise. 
D)  The potential profit is reduced. 
E)  This is the most expensive method of entering a new market. 
A)  The retailer bears all the loss. 
B)  Heavy taxes are levied on the retailer. 
C)  Local laws favor the franchise. 
D)  The potential profit is reduced. 
E)  This is the most expensive method of entering a new market.

Question 13

________ are developed such that the distance between two retailers' positions on the map indicates how similar those stores appear, according to consumers.

Accepted Answer

A)  Perceptual maps 
B)  Geographical maps 
C)  Brand perceptions 
D)  Product perceptions 
E)  Demographic maps 
A)  Perceptual maps 
B)  Geographical maps 
C)  Brand perceptions 
D)  Product perceptions 
E)  Demographic maps

Question 14

Which of the following steps is typically the first step in the strategic retail planning process?

Accepted Answer

A)  Develop a retail mix to implement strategy. 
B)  Evaluate performance and make adjustments. 
C)  Define the business mission. 
D)  Evaluate strategic alternatives. 
E)  Identify strategic opportunities. 
A)  Develop a retail mix to implement strategy. 
B)  Evaluate performance and make adjustments. 
C)  Define the business mission. 
D)  Evaluate strategic alternatives. 
E)  Identify strategic opportunities.

Question 15

The first step in the strategic retail planning process is to define the business mission.

Accepted Answer

A) True 
 B)False

Question 16

Which of the following factors is classified as environmental dynamics?

Accepted Answer

A)  Market size 
B)  Seasonality 
C)  Barriers to entry 
D)  Social changes 
E)  Competitive rivalry 
A)  Market size 
B)  Seasonality 
C)  Barriers to entry 
D)  Social changes 
E)  Competitive rivalry

Question 17

Although Rosa visits several retailers when shopping for suits, she always buys suits at Bow and Arrow Inc. Which of the following approaches best demonstrates her affinity for Bow and Arrow Inc.?

Accepted Answer

A)  Customer loyalty 
B)  Product pricing 
C)  Location 
D)  Unique merchandise assortment 
E)  Good vendor relations 
A)  Customer loyalty 
B)  Product pricing 
C)  Location 
D)  Unique merchandise assortment 
E)  Good vendor relations

Question 18

Which of the following steps is typically the next step after evaluating strategic opportunities in the strategic retail planning process?

Accepted Answer

A)  Establishing specific objectives 
B)  Developing a retail mix 
C)  Evaluating performance 
D)  Defining the business mission 
E)  Conducting a SWOT analysis 
A)  Establishing specific objectives 
B)  Developing a retail mix 
C)  Evaluating performance 
D)  Defining the business mission 
E)  Conducting a SWOT analysis

Question 19

Retailers have the least opportunity to exploit a competitive advantage when they pursue

Accepted Answer

A)  retail format growth opportunities. 
B)  market penetration growth opportunities. 
C)  diversification growth opportunities. 
D)  market expansion growth opportunities. 
E)  wholesale format development growth opportunities. 
A)  retail format growth opportunities. 
B)  market penetration growth opportunities. 
C)  diversification growth opportunities. 
D)  market expansion growth opportunities. 
E)  wholesale format development growth opportunities.

Question 20

________ occurs when a retail firm invests in and owns a retail operation in a foreign country.

Accepted Answer

A)  Inventory investment 
B)  Portfolio investment 
C)  Direct investment 
D)  Philatelic investment 
E)  Alternative investment 
A)  Inventory investment 
B)  Portfolio investment 
C)  Direct investment 
D)  Philatelic investment 
E)  Alternative investment

Differentiate between related and unrelated diversification.

Positioning is the process of

Which of the following is a condition that may lead to competitive rivalry?

A(n) ________ is a collaborative relationship between independent firms.

Which of the following is a component of retail mix?

Sally's LLC, a local supermarket, has all of the following characteristics. Which of the following characteristics of Sally's is most likely to be a more sustainable competitive advantage?

In perceptual maps, retailers that are closer to an ideal point are evaluated

Which of the following steps is typically the next step after establishing specific objectives and allocating resources in the strategic retail planning process?

Which of the following is True of private-label brands?

Which of the following is an example of unrelated diversification?

Which of the following statements is a disadvantage of franchising?

________ are developed such that the distance between two retailers' positions on the map indicates how similar those stores appear, according to consumers.

Which of the following steps is typically the first step in the strategic retail planning process?

The first step in the strategic retail planning process is to define the business mission.

Which of the following factors is classified as environmental dynamics?

Although Rosa visits several retailers when shopping for suits, she always buys suits at Bow and Arrow Inc. Which of the following approaches best demonstrates her affinity for Bow and Arrow Inc.?

Which of the following steps is typically the next step after evaluating strategic opportunities in the strategic retail planning process?

Retailers have the least opportunity to exploit a competitive advantage when they pursue

________ occurs when a retail firm invests in and owns a retail operation in a foreign country.

Introduction to the World of Retailing

Types of Retailers

Multichannel and Omnichannel Retailing

Customer Buying Behavior

Financial Strategy

Retail Locations

Retail Site Location

Information Systems and Supply Chain Management

Customer Relationship Management

Managing the Merchandise Planning Process

Buying Merchandise

Retail Pricing

Retail Communication Mix

Human Resources and Managing the Store

Store Layout, Design, and Visual Merchandising

Customer Service

Filters

Exam 5: Retail Market Strategy

Differentiate between related and unrelated diversification.

Positioning is the process of

Which of the following is a condition that may lead to competitive rivalry?

A(n) ________ is a collaborative relationship between independent firms.

Which of the following is a component of retail mix?

Sally's LLC, a local supermarket, has all of the following characteristics. Which of the following characteristics of Sally's is most likely to be a more sustainable competitive advantage?

In perceptual maps, retailers that are closer to an ideal point are evaluated

Which of the following steps is typically the next step after establishing specific objectives and allocating resources in the strategic retail planning process?

Which of the following is True of private-label brands?

Which of the following is an example of unrelated diversification?

Which of the following statements is a disadvantage of franchising?

________ are developed such that the distance between two retailers' positions on the map indicates how similar those stores appear, according to consumers.

Which of the following steps is typically the first step in the strategic retail planning process?

The first step in the strategic retail planning process is to define the business mission.

Which of the following factors is classified as environmental dynamics?

Although Rosa visits several retailers when shopping for suits, she always buys suits at Bow and Arrow Inc. Which of the following approaches best demonstrates her affinity for Bow and Arrow Inc.?

Which of the following steps is typically the next step after evaluating strategic opportunities in the strategic retail planning process?

Retailers have the least opportunity to exploit a competitive advantage when they pursue

________ occurs when a retail firm invests in and owns a retail operation in a foreign country.

Introduction to the World of Retailing

Types of Retailers

Multichannel and Omnichannel Retailing

Customer Buying Behavior

Financial Strategy

Retail Locations

Retail Site Location

Information Systems and Supply Chain Management

Customer Relationship Management

Managing the Merchandise Planning Process

Buying Merchandise

Retail Pricing

Retail Communication Mix

Human Resources and Managing the Store

Store Layout, Design, and Visual Merchandising

Customer Service

Filters