Question 1

As part of their regular retail pricing strategy,some retailers will emphasize consistently low prices and eliminate most markdowns.This practice is referred to as

Accepted Answer

A) everyday low pricing. 
B) low-margin pricing. 
C) everyday fair pricing. 
D) value-based pricing. 
E) maintained pricing. 
A) everyday low pricing. 
B) low-margin pricing. 
C) everyday fair pricing. 
D) value-based pricing. 
E) maintained pricing.

Question 2

Retail outlets vary by their merchandise lines,the key distinction being the ________ of the items offered to customers.

Accepted Answer

A) scope and span 
B) breadth and depth 
C) breadth and inventory 
D) scope and inventory 
E) range and span 
A) scope and span 
B) breadth and depth 
C) breadth and inventory 
D) scope and inventory 
E) range and span

Question 3

Prices in vending machines tend to be higher because

Accepted Answer

A) machines are placed in low-demand traffic areas. 
B) maintenance,operating,and leasing costs are high. 
C) only small unit volume items are sold. 
D) customary pricing requires certain coin and currency amounts regardless of the normal retailer markup. 
E) few people buy from vending machines. 
A) machines are placed in low-demand traffic areas. 
B) maintenance,operating,and leasing costs are high. 
C) only small unit volume items are sold. 
D) customary pricing requires certain coin and currency amounts regardless of the normal retailer markup. 
E) few people buy from vending machines.

Question 4

The key goal for retailers in the accelerated development phase of the retail life cycle is to

Accepted Answer

A) recover start-up costs. 
B) establish a dominant position in the fight for market share. 
C) delay entering the decline stage of the retail life cycle. 
D) find ways of discouraging customers from moving to low-margin,mass-volume outlets. 
E) establish a retail concept that is a sharp departure from existing competition. 
A) recover start-up costs. 
B) establish a dominant position in the fight for market share. 
C) delay entering the decline stage of the retail life cycle. 
D) find ways of discouraging customers from moving to low-margin,mass-volume outlets. 
E) establish a retail concept that is a sharp departure from existing competition.

Question 5

Loblaws,a Canadian supermarket,features fruits and vegetables piled high on tables that have umbrellas.The idea behind this arrangement was to give Loblaws "a market feel." In terms of the retailing mix,this tactic is related to

Accepted Answer

A) pricing. 
B) goods and services factor. 
C) communication. 
D) merchandise. 
E) location. 
A) pricing. 
B) goods and services factor. 
C) communication. 
D) merchandise. 
E) location.

Question 6

The marketing managers at Omaha Steaks used airlines' databases to mail a special offer to frequent flyers.Eight weeks after shipping the steaks to the frequent flyers who responded to the offer,the company's salespeople followed up by telephoning customers to ask for new orders.This is an example of which types of nonstore retailing?

Accepted Answer

A) direct selling and telemarketing 
B) direct mail and telemarketing 
C) telemarketing and online retailing 
D) online retailing and direct mail 
E) direct mail and direct selling 
A) direct selling and telemarketing 
B) direct mail and telemarketing 
C) telemarketing and online retailing 
D) online retailing and direct mail 
E) direct mail and direct selling

Question 7

Merchants such as Burlington Coat Factory sell brand-name merchandise at lower than regular prices.This means that it is using a(n)

Accepted Answer

A)  off-price retailing strategy. 
B)  markdown pricing strategy. 
C)  everyday fair pricing strategy. 
D)  everyday low pricing strategy. 
E)  maintained markdown pricing strategy. 
A)  off-price retailing strategy. 
B)  markdown pricing strategy. 
C)  everyday fair pricing strategy. 
D)  everyday low pricing strategy. 
E)  maintained markdown pricing strategy.

Question 8

The three basic types of contractual systems are

Accepted Answer

A) retailer-sponsored cooperatives,wholesaler-sponsored voluntary chains,and franchises. 
B) dual ownership agreements,industry consortiums,and nonbinding cooperatives. 
C) wholesaler-sponsored voluntary chains,nonbinding cooperatives,and franchises. 
D) dual ownership agreements,industry consortiums,and multinational cartels. 
E) nonbinding,binding,and in perpetuity. 
A) retailer-sponsored cooperatives,wholesaler-sponsored voluntary chains,and franchises. 
B) dual ownership agreements,industry consortiums,and nonbinding cooperatives. 
C) wholesaler-sponsored voluntary chains,nonbinding cooperatives,and franchises. 
D) dual ownership agreements,industry consortiums,and multinational cartels. 
E) nonbinding,binding,and in perpetuity.

Question 9

Aeon,Carrefour,Tesco,and Metro Group are

Accepted Answer

A) sizable wholesalers that handle products for the world's largest retailers. 
B) new Internet start-ups that have the potential to impact the U.S.economy. 
C) large retailers outside of the United States. 
D) large distributors of business products. 
E) historic companies that developed consumer selling systems,though none of them exist today. 
A) sizable wholesalers that handle products for the world's largest retailers. 
B) new Internet start-ups that have the potential to impact the U.S.economy. 
C) large retailers outside of the United States. 
D) large distributors of business products. 
E) historic companies that developed consumer selling systems,though none of them exist today.

Question 10

The two general types of franchises are

Accepted Answer

A) product-format franchises and distribution franchises. 
B) business-format franchises and manufacturing franchises. 
C) venture franchises and general service franchises. 
D) manufacturing franchises and venture franchises. 
E) business-format franchises and product-distribution franchises. 
A) product-format franchises and distribution franchises. 
B) business-format franchises and manufacturing franchises. 
C) venture franchises and general service franchises. 
D) manufacturing franchises and venture franchises. 
E) business-format franchises and product-distribution franchises.

Question 11

Which of the following statements regarding retail pricing is most accurate?

Accepted Answer

A) Consumers are unable to base their perceptions of a store's prices on a price of a benchmark item in the store. 
B) Consumers are influenced more by a store's ambience than its prices. 
C) Stores that offer rebates with long processing times may create negative consumer perceptions. 
D) New technology has almost made shoplifting a thing of the past. 
E) The only difference between everyday low pricing and everyday fair pricing is whether the store uses markups. 
A) Consumers are unable to base their perceptions of a store's prices on a price of a benchmark item in the store. 
B) Consumers are influenced more by a store's ambience than its prices. 
C) Stores that offer rebates with long processing times may create negative consumer perceptions. 
D) New technology has almost made shoplifting a thing of the past. 
E) The only difference between everyday low pricing and everyday fair pricing is whether the store uses markups.

Question 12

When considering the use of everyday low pricing,one should consider the impact on ________ because of EDLP's potential to affect product quality assessments.

Accepted Answer

A) competitors' promotional strategies 
B) product benefits 
C) convenience 
D) maintained price 
E) brand name and store image 
A) competitors' promotional strategies 
B) product benefits 
C) convenience 
D) maintained price 
E) brand name and store image

Question 13

The battle for market share is usually fought directly before the ________ stage,and some competitors drop out of the market.

Accepted Answer

A) decline 
B) growth 
C) maturity 
D) harvest 
E) introduction phase 
A) decline 
B) growth 
C) maturity 
D) harvest 
E) introduction phase

Question 14

What is the retailing mix?

Accepted Answer

In developing retailing strategy,manager

Question 15

Wells Fargo is one of the best-run banks in the United States.It reaches retail customers through 8,600 stores,a worldwide network of 13,000 ATMs,and its online banking service.Which utility does Wells Fargo best provide?

Accepted Answer

A) time 
B) possession 
C) place 
D) form 
E) performance 
A) time 
B) possession 
C) place 
D) form 
E) performance

Question 16

A ________ most likely would use truck jobbers to distribute its products.

Accepted Answer

A) clothing manufacturer 
B) manufacturer of electric generators 
C) leather goods importer 
D) pharmaceutical company 
E) meat processing plant 
A) clothing manufacturer 
B) manufacturer of electric generators 
C) leather goods importer 
D) pharmaceutical company 
E) meat processing plant

Question 17

A wholesaler that carries a narrow range of products and performs all channel functions is referred to as a

Accepted Answer

A) general merchandise wholesaler. 
B) truck jobber. 
C) specialty merchandise wholesaler. 
D) rack jobber. 
E) drop shipper. 
A) general merchandise wholesaler. 
B) truck jobber. 
C) specialty merchandise wholesaler. 
D) rack jobber. 
E) drop shipper.

Question 18

All of the following are characteristics of warehouse clubs except which?

Accepted Answer

A) Customers are attracted by the ultra-low prices and surprise deals on selected merchandise. 
B) The stores are used to clear excess merchandise. 
C) Customers must pay an annual membership fee. 
D) The stores carry 3,700 to 8,000 items. 
E) The stores are rather stark outlets with no elaborate displays. 
A) Customers are attracted by the ultra-low prices and surprise deals on selected merchandise. 
B) The stores are used to clear excess merchandise. 
C) Customers must pay an annual membership fee. 
D) The stores carry 3,700 to 8,000 items. 
E) The stores are rather stark outlets with no elaborate displays.

Question 19

Markdowns can be used to

Accepted Answer

A) increase competition with other retailers in the immediate vicinity. 
B) placate dissatisfied customers. 
C) enhance customer perceptions of product quality. 
D) increase demand for complementary products. 
E) create a sense of urgency among repeat buyers. 
A) increase competition with other retailers in the immediate vicinity. 
B) placate dissatisfied customers. 
C) enhance customer perceptions of product quality. 
D) increase demand for complementary products. 
E) create a sense of urgency among repeat buyers.

Question 20

Which of the following is one of the largest retailers in the United States?

Accepted Answer

A) Hallmark 
B) Procter & Gamble 
C) Merck 
D) Target 
E) Johnson and Johnson 
A) Hallmark 
B) Procter & Gamble 
C) Merck 
D) Target 
E) Johnson and Johnson

Exam 16: Retailing and Wholesaling

As part of their regular retail pricing strategy,some retailers will emphasize consistently low prices and eliminate most markdowns.This practice is referred to as

Retail outlets vary by their merchandise lines,the key distinction being the ________ of the items offered to customers.

Prices in vending machines tend to be higher because

The key goal for retailers in the accelerated development phase of the retail life cycle is to

Loblaws,a Canadian supermarket,features fruits and vegetables piled high on tables that have umbrellas.The idea behind this arrangement was to give Loblaws "a market feel." In terms of the retailing mix,this tactic is related to

Merchants such as Burlington Coat Factory sell brand-name merchandise at lower than regular prices.This means that it is using a(n)

The three basic types of contractual systems are

Aeon,Carrefour,Tesco,and Metro Group are

The two general types of franchises are

Which of the following statements regarding retail pricing is most accurate?

When considering the use of everyday low pricing,one should consider the impact on ________ because of EDLP's potential to affect product quality assessments.

The battle for market share is usually fought directly before the ________ stage,and some competitors drop out of the market.

What is the retailing mix?

Wells Fargo is one of the best-run banks in the United States.It reaches retail customers through 8,600 stores,a worldwide network of 13,000 ATMs,and its online banking service.Which utility does Wells Fargo best provide?

A ________ most likely would use truck jobbers to distribute its products.

A wholesaler that carries a narrow range of products and performs all channel functions is referred to as a

All of the following are characteristics of warehouse clubs except which?

Markdowns can be used to

Which of the following is one of the largest retailers in the United States?

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

Filters