Question 1

Briefly describe the advantages of being an independent retailer and the benefits an independent retailer can offer customers.

Accepted Answer

Advantages to the retailer inc

Question 2

Another name for an extreme-value retailer is

Accepted Answer

A)  specialty outlet. 
B)  single-price retailer. 
C)  hypermarket. 
D)  outlet store. 
E)  warehouse club. 
A)  specialty outlet. 
B)  single-price retailer. 
C)  hypermarket. 
D)  outlet store. 
E)  warehouse club.

Question 3

The acronym RFID stands for

Accepted Answer

A) retail franchise identification designation. 
B) required financial identification. 
C) radar frequency identification. 
D) radio frequency identification. 
E) retail federation of independent department stores. 
A) retail franchise identification designation. 
B) required financial identification. 
C) radar frequency identification. 
D) radio frequency identification. 
E) retail federation of independent department stores.

Question 4

Independent firms or individuals whose principal function is to bring buyers and sellers together to make sales are referred to as

Accepted Answer

A) manufacturers' agents. 
B) brokers 
C) selling agents. 
D) manufacturer's branches. 
E) manufacturer's sales offices. 
A) manufacturers' agents. 
B) brokers 
C) selling agents. 
D) manufacturer's branches. 
E) manufacturer's sales offices.

Question 5

Bloomingdale's stores are part of the Macy's

Accepted Answer

A) corporate chain. 
B) consumer cooperative. 
C) contractual system. 
D) retail conglomerate. 
E) administered system. 
A) corporate chain. 
B) consumer cooperative. 
C) contractual system. 
D) retail conglomerate. 
E) administered system.

Question 6

QVC is a television home shopping network.It generates sales of more than $8 billion from its 60 million customers by

Accepted Answer

A) directing customers to purchase through its Mall of America retail store. 
B) broadcasting live 12 hours a day,365 days a year. 
C) offering more than 770 products each week on a 24-hour-a-day broadcast. 
D) offering overstocked items from retailers at a fraction of the original cost. 
E) running live podcasts and live streaming over the Internet. 
A) directing customers to purchase through its Mall of America retail store. 
B) broadcasting live 12 hours a day,365 days a year. 
C) offering more than 770 products each week on a 24-hour-a-day broadcast. 
D) offering overstocked items from retailers at a fraction of the original cost. 
E) running live podcasts and live streaming over the Internet.

Question 7

Stores that carry tremendous depth in one primary line of merchandise are referred to as

Accepted Answer

A) hypermarkets. 
B) intertype outlets. 
C) scrambled merchandise stores. 
D) limited-line stores. 
E) single-line stores. 
A) hypermarkets. 
B) intertype outlets. 
C) scrambled merchandise stores. 
D) limited-line stores. 
E) single-line stores.

Question 8

A retailer bought a collectible Precious Moments figurine for $26.She sets the initial selling price at $60.The final selling price was $52.What was the original markup?

Accepted Answer

A) $86 
B) $13 
C) $78 
D) $34 
E) $112 
A) $86 
B) $13 
C) $78 
D) $34 
E) $112

Question 9

Truck jobbers are wholesalers that

Accepted Answer

A) furnish the racks or shelves that display merchandise in retail stores,perform all channel functions,and sell on consignment to retailers. 
B) store all the merchandise they sell in their trucks. 
C) own the merchandise they sell but do not physically handle,stock,or deliver it. 
D) have a small warehouse from which they stock their trucks for distribution to retailers. 
E) work for several producers,carry noncompetitive,complementary merchandise in an exclusive territory,and use over-the-road transportation for all product deliveries. 
A) furnish the racks or shelves that display merchandise in retail stores,perform all channel functions,and sell on consignment to retailers. 
B) store all the merchandise they sell in their trucks. 
C) own the merchandise they sell but do not physically handle,stock,or deliver it. 
D) have a small warehouse from which they stock their trucks for distribution to retailers. 
E) work for several producers,carry noncompetitive,complementary merchandise in an exclusive territory,and use over-the-road transportation for all product deliveries.

Question 10

Which of the following is a type of full-service merchant wholesaler?

Accepted Answer

A) cash and carry wholesaler 
B) rack jobbers 
C) truck jobbers 
D) specialty merchandise wholesaler 
E) drop shippers 
A) cash and carry wholesaler 
B) rack jobbers 
C) truck jobbers 
D) specialty merchandise wholesaler 
E) drop shippers

Question 11

Explain the relationship between a franchisee and a franchisor.

Accepted Answer

In a franchise system,an individual or f

Question 12

Fresh-cut flowers that were once only available from florists can now be purchased at neighborhood supermarkets.This is an example of

Accepted Answer

A) dysfunctional competition. 
B) mixed-line merchandising. 
C) multi-product marketing. 
D) intertype competition. 
E) dual distribution. 
A) dysfunctional competition. 
B) mixed-line merchandising. 
C) multi-product marketing. 
D) intertype competition. 
E) dual distribution.

Question 13

Nike offers shoes for men,women,and children in many sizes and widths.It offers running,cross training,walking,golf,and other types of shoes.This is an example of the ________ that Nike offers to its customers through its own stores or other retailers such as Foot Locker.

Accepted Answer

A) product items 
B) depth of product line 
C) breadth of product line 
D) versatility of product family 
E) variety of product mix 
A) product items 
B) depth of product line 
C) breadth of product line 
D) versatility of product family 
E) variety of product mix

Question 14

Figure 16-8
  
-Which of the following retailers would best fit in quadrant B shown in the retail positioning matrix,Figure 16-8 above?

Accepted Answer

A) Kmart 
B) Bloomingdale's department store 
C) 7-Eleven convenience store 
D) Payless ShoeSource 
E) Lamborghini automobile dealer 
A) Kmart 
B) Bloomingdale's department store 
C) 7-Eleven convenience store 
D) Payless ShoeSource 
E) Lamborghini automobile dealer

Question 15

Higher paper costs,increased postage rates,the growing interest in do-not-mail legislation,and concern for "green" mailings have resulted in

Accepted Answer

A) a switch to online catalogs and direct-to-customer e-mail advertisements. 
B) the use of thinner,lightweight paper products. 
C) a focus on proven customers or specialty catalogs for market niches. 
D) the banning of "junk" mail by a growing number of environmentally concerned communities. 
E) a resurgence in nonautomated telemarketing. 
A) a switch to online catalogs and direct-to-customer e-mail advertisements. 
B) the use of thinner,lightweight paper products. 
C) a focus on proven customers or specialty catalogs for market niches. 
D) the banning of "junk" mail by a growing number of environmentally concerned communities. 
E) a resurgence in nonautomated telemarketing.

Question 16

While a large percentage of the losses from retail shrinkage come from shoplifting,an almost equal amount is due to

Accepted Answer

A) employee theft. 
B) insurance fraud. 
C) deceptive advertising. 
D) personnel training. 
E) unredeemed rebates. 
A) employee theft. 
B) insurance fraud. 
C) deceptive advertising. 
D) personnel training. 
E) unredeemed rebates.

Question 17

T.J.Maxx,where prices are low but selection is unpredictable,uses a(n)________ pricing practice.

Accepted Answer

A)  markdown 
B)  maintained markup 
C)  gross margin 
D)  manufactured suggested retail 
E)  off-price retail 
A)  markdown 
B)  maintained markup 
C)  gross margin 
D)  manufactured suggested retail 
E)  off-price retail

Question 18

All of the following are reasons direct-mail and catalog retailing are attractive except which?

Accepted Answer

A) They can create customer value by providing a fast and convenient means of making a purchase. 
B) They can serve as an element of a multichannel strategy designed to encourage consumers to visit a website,a social media page,or even a store. 
C) Their paper costs and postal rates have declined,making them less expensive to send. 
D) They can eliminate the cost of a store and clerks. 
E) They can improve marketing efficiency through segmentation and targeting. 
A) They can create customer value by providing a fast and convenient means of making a purchase. 
B) They can serve as an element of a multichannel strategy designed to encourage consumers to visit a website,a social media page,or even a store. 
C) Their paper costs and postal rates have declined,making them less expensive to send. 
D) They can eliminate the cost of a store and clerks. 
E) They can improve marketing efficiency through segmentation and targeting.

Question 19

Figure 16-10
  
-According to Figure 16-10 above,D represents which stage of the retail life cycle?

Accepted Answer

A) decline 
B) stabilization 
C) obsolescence 
D) maturity 
E) accelerated development 
A) decline 
B) stabilization 
C) obsolescence 
D) maturity 
E) accelerated development

Question 20

When setting prices for merchandise,retailers must decide on the markup,the markdown,and the ________ for markdowns.

Accepted Answer

A) relevance 
B) necessity 
C) percentage 
D) timing 
E) consequence 
A) relevance 
B) necessity 
C) percentage 
D) timing 
E) consequence

Exam 16: Retailing and Wholesaling

Briefly describe the advantages of being an independent retailer and the benefits an independent retailer can offer customers.

Another name for an extreme-value retailer is

The acronym RFID stands for

Independent firms or individuals whose principal function is to bring buyers and sellers together to make sales are referred to as

Bloomingdale's stores are part of the Macy's

QVC is a television home shopping network.It generates sales of more than $8 billion from its 60 million customers by

Stores that carry tremendous depth in one primary line of merchandise are referred to as

A retailer bought a collectible Precious Moments figurine for $26.She sets the initial selling price at $60.The final selling price was $52.What was the original markup?

Truck jobbers are wholesalers that

Which of the following is a type of full-service merchant wholesaler?

Explain the relationship between a franchisee and a franchisor.

Fresh-cut flowers that were once only available from florists can now be purchased at neighborhood supermarkets.This is an example of

Nike offers shoes for men,women,and children in many sizes and widths.It offers running,cross training,walking,golf,and other types of shoes.This is an example of the ________ that Nike offers to its customers through its own stores or other retailers such as Foot Locker.

Figure 16-8 -Which of the following retailers would best fit in quadrant B shown in the retail positioning matrix,Figure 16-8 above?

Higher paper costs,increased postage rates,the growing interest in do-not-mail legislation,and concern for "green" mailings have resulted in

While a large percentage of the losses from retail shrinkage come from shoplifting,an almost equal amount is due to

T.J.Maxx,where prices are low but selection is unpredictable,uses a(n)________ pricing practice.

All of the following are reasons direct-mail and catalog retailing are attractive except which?

Figure 16-10 -According to Figure 16-10 above,D represents which stage of the retail life cycle?

When setting prices for merchandise,retailers must decide on the markup,the markdown,and the ________ for markdowns.

Creating Customer Relationships and Value Through Marketing

Developing Successful Organizational and Marketing Strategies

Scanning the Marketing Environment

Ethical and Social Responsibility for Sustainable Marketing

Understanding Consumer Behavior

Understanding Organizations As Customers

Understanding and Reaching Global Consumers and Markets

Marketing Research: From Customer Insights to Actions

Market Segmentation, targeting, and Positioning

Developing New Products and Services

Managing Successful Products, services, and Brands

Services Marketing

Building the Price Foundation

Arriving at the Final Price

Managing Marketing Channels and Supply Chains

Integrated Marketing Communications and Direct Marketing

Advertising,sales Promotion,and Public Relations

Using Social Media and Mobile Marketing to Connect With Consumers

Personal Selling and Sales Management

Implementing Interactive and Multichannel Marketing

Pulling It All Together: the Strategic Marketing Process

Writing Successful Marketing and Business Plans: Tips and Guidelines

Financial Statements and Ratios

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