Question 1

The broker's primary function is to bring the buyer and seller together and assist in negotiating an exchange.

Accepted Answer

A) True 
 B)False

Question 2

Commission merchants tend to have relatively broad powers concerning prices and terms of sales.

Accepted Answer

A) True 
 B)False

Question 3

Intermediaries owned by manufacturers that sell products and provide support services to the manufacturers' sales forces are known as

Accepted Answer

A) manufacturers' agents. 
B) sales branches. 
C) selling agents. 
D) sales offices. 
E) commission merchants. 
A) manufacturers' agents. 
B) sales branches. 
C) selling agents. 
D) sales offices. 
E) commission merchants.

Question 4

New store formats and technological advances are making the retail environment highly dynamic and competitive.

Accepted Answer

A) True 
 B)False

Question 5

Most manufacturers' agents prefer to work for one manufacturer at a time to avoid conflicts of interest.

Accepted Answer

A) True 
 B)False

Question 6

All of the following are types of limited-service merchant wholesalers except

Accepted Answer

A) cash-and-carry wholesalers. 
B) truck wholesalers. 
C) mail-order wholesalers. 
D) specialty-line wholesalers. 
E) drop shippers. 
A) cash-and-carry wholesalers. 
B) truck wholesalers. 
C) mail-order wholesalers. 
D) specialty-line wholesalers. 
E) drop shippers.

Question 7

Which of the following is not a common feature of a warehouse club?

Accepted Answer

A) Concrete floors 
B) Wide aisles 
C) Good customer service 
D) Large packages 
E) Low price per unit 
A) Concrete floors 
B) Wide aisles 
C) Good customer service 
D) Large packages 
E) Low price per unit

Question 8

Michael's, PetSmart, and Staples are all examples of

Accepted Answer

A) discount stores. 
B) off-price retailers. 
C) category killers. 
D) traditional specialty retailers. 
E) superstores. 
A) discount stores. 
B) off-price retailers. 
C) category killers. 
D) traditional specialty retailers. 
E) superstores.

Question 9

Mark Bradley's company takes orders from its collection of retail customers and arranges the shipment of goods directly from manufacturers or other wholesalers to its customers' businesses. Mark is operating as a

Accepted Answer

A) mail-order wholesaler. 
B) drop shipper. 
C) desk wholesaler. 
D) truck jobber. 
E) specialty-line wholesaler. 
A) mail-order wholesaler. 
B) drop shipper. 
C) desk wholesaler. 
D) truck jobber. 
E) specialty-line wholesaler.

Question 10

Retailing is best characterized as

Accepted Answer

A) large organizations that carry wide and deep product mixes. 
B) transactions in which the buyer intends to consume the product through personal, family, or household use. 
C) arrangements whereby a supplier grants a dealer the right to sell its products. 
D) transactions in which the purchaser intends to use the product for resale or for business operations. 
E) exchanges that take place only in a store or service establishment. 
A) large organizations that carry wide and deep product mixes. 
B) transactions in which the buyer intends to consume the product through personal, family, or household use. 
C) arrangements whereby a supplier grants a dealer the right to sell its products. 
D) transactions in which the purchaser intends to use the product for resale or for business operations. 
E) exchanges that take place only in a store or service establishment.

Question 11

Karen has been a buyer for Ocean Mist, a large cranberry processor, for several years. Believing that she knows a great deal about cranberries, their growers, and processors, she decides to go into business for herself. Karen wants to assume no risks of spoilage or price fluctuations. She sees herself as simply bringing the growers and processors together. Her new company would be a

Accepted Answer

A) sales agent. 
B) commission merchant. 
C) broker. 
D) sales branch. 
E) sales office. 
A) sales agent. 
B) commission merchant. 
C) broker. 
D) sales branch. 
E) sales office.

Question 12

Department stores are characterized by wide product mixes.

Accepted Answer

A) True 
 B)False

Question 13

Off-price retailers feature

Accepted Answer

A) deep discounts, few customer services, and central checkouts. 
B) sales expertise, wide selections, and low prices. 
C) overstocks, designer brands, and moderate prices. 
D) a narrow product range and enormous product availability. 
E) cash only sales and few customer services. 
A) deep discounts, few customer services, and central checkouts. 
B) sales expertise, wide selections, and low prices. 
C) overstocks, designer brands, and moderate prices. 
D) a narrow product range and enormous product availability. 
E) cash only sales and few customer services.

Question 14

A retail strategy of managing groups of similar, often substitutable products produced by different manufacturers is called

Accepted Answer

A) category management. 
B) scrambled merchandising. 
C) line extensions. 
D) aggregate management. 
E) wheel of retailing. 
A) category management. 
B) scrambled merchandising. 
C) line extensions. 
D) aggregate management. 
E) wheel of retailing.

Question 15

Kevin is talking with Peter about purchasing a Wendy's franchise. Peter tells Kevin that one of the major advantages of franchising for him to consider is the

Accepted Answer

A) higher start-up costs. 
B) greater freedom it provides. 
C) individuality it offers. 
D) higher success rate for franchises. 
E) gross margin it provides. 
A) higher start-up costs. 
B) greater freedom it provides. 
C) individuality it offers. 
D) higher success rate for franchises. 
E) gross margin it provides.

Question 16

Hickory Village Shopping Center has two department stores and some specialty and convenience stores. It serves a large geographic area and holds special events to stimulate consumer traffic. Hickory is a ____ shopping center.

Accepted Answer

A) community 
B) regional 
C) nontraditional 
D) neighborhood 
E) power 
A) community 
B) regional 
C) nontraditional 
D) neighborhood 
E) power

Question 17

Scenario 15.2 Use the following to answer the questions.Lands' End offers clothing and accessories for all members of the typical household. For many years, the products were sold only through catalogs. Later, they were available through the company on its Internet website. In the past few years, Lands' End has partnered with Sears to offer selected Lands' End products inside of Sears retail stores. This move by Lands' End has been criticized by some marketers because it was thought that the Lands' End products were superior in quality to those that are available in Sears stores. Additionally, the products available in Sears stores include Craftsman tools, lawn care equipment, and household appliances, which are not Lands' End types of product lines. This may create mixed messages about Lands' End to prospective customers.
-Refer to Scenario 15.2. When Lands' End sells its products through a catalog or the Internet, it is most likely a(an) ____, selling through ____.

Accepted Answer

A) off-price retailer; direct marketing 
B) mass merchandiser; retail outlets 
C) retailer; direct marketing 
D) specialty retailer; retail outlets 
E) category killer; direct marketing 
A) off-price retailer; direct marketing 
B) mass merchandiser; retail outlets 
C) retailer; direct marketing 
D) specialty retailer; retail outlets 
E) category killer; direct marketing

Question 18

Franchised outlets are generally less successful than independently owned businesses.

Accepted Answer

A) True 
 B)False

Question 19

An example of an emerging type of power shopping center might contain

Accepted Answer

A) JC Penney, Sears, some specialty shops, McDonald's, and Dairy Queen. 
B) Michael's, Office Depot, T.J. Maxx, and Best Buy. 
C) Liz Claiborne, Van Heusen, Corning Ware, and Mikasa outlets. 
D) Safeway, CVS, and Subway. 
E) a Supercenter Walmart. 
A) JC Penney, Sears, some specialty shops, McDonald's, and Dairy Queen. 
B) Michael's, Office Depot, T.J. Maxx, and Best Buy. 
C) Liz Claiborne, Van Heusen, Corning Ware, and Mikasa outlets. 
D) Safeway, CVS, and Subway. 
E) a Supercenter Walmart.

Question 20

Redbox, ProActiv, and Clinique all sell their products through automatic vending, which is

Accepted Answer

A) a type of nonstore retailing. 
B) a specialty line retailer. 
C) not considered a form of retailing. 
D) a type of direct selling. 
E) a form of franchising. 
A) a type of nonstore retailing. 
B) a specialty line retailer. 
C) not considered a form of retailing. 
D) a type of direct selling. 
E) a form of franchising.

The broker's primary function is to bring the buyer and seller together and assist in negotiating an exchange.

Commission merchants tend to have relatively broad powers concerning prices and terms of sales.

Intermediaries owned by manufacturers that sell products and provide support services to the manufacturers' sales forces are known as

New store formats and technological advances are making the retail environment highly dynamic and competitive.

Most manufacturers' agents prefer to work for one manufacturer at a time to avoid conflicts of interest.

All of the following are types of limited-service merchant wholesalers except

Which of the following is not a common feature of a warehouse club?

Michael's, PetSmart, and Staples are all examples of

Mark Bradley's company takes orders from its collection of retail customers and arranges the shipment of goods directly from manufacturers or other wholesalers to its customers' businesses. Mark is operating as a

Retailing is best characterized as

Department stores are characterized by wide product mixes.

Off-price retailers feature

A retail strategy of managing groups of similar, often substitutable products produced by different manufacturers is called

Kevin is talking with Peter about purchasing a Wendy's franchise. Peter tells Kevin that one of the major advantages of franchising for him to consider is the

Hickory Village Shopping Center has two department stores and some specialty and convenience stores. It serves a large geographic area and holds special events to stimulate consumer traffic. Hickory is a ____ shopping center.

Franchised outlets are generally less successful than independently owned businesses.

An example of an emerging type of power shopping center might contain

Redbox, ProActiv, and Clinique all sell their products through automatic vending, which is

An Overview of Strategic Marketing

Planning, Implementing, and Evaluating Marketing Strategies

The Marketing Environment

Social Responsibility and Ethics in Marketing

Marketing Research and Information Systems

Target Markets Segmentation and Evaluation

Consumer Buying Behavior

Business Markets and Buying Behavior

Reaching Global Markets

Digital Marketing and Social Networking

Product Concepts, Branding and Packaging

Developing and Managing Products

Services Marketing

Marketing Channels and Supply-Chain Management

Integrated Marketing Communications

Advertising and Public Relations

Personal Selling and Sales Promotion

Pricing Concepts

Setting Prices

Filters

Exam 15: Retailing, Direct Marketing and Wholesaling

The broker's primary function is to bring the buyer and seller together and assist in negotiating an exchange.

Commission merchants tend to have relatively broad powers concerning prices and terms of sales.

Intermediaries owned by manufacturers that sell products and provide support services to the manufacturers' sales forces are known as

New store formats and technological advances are making the retail environment highly dynamic and competitive.

Most manufacturers' agents prefer to work for one manufacturer at a time to avoid conflicts of interest.

All of the following are types of limited-service merchant wholesalers except

Which of the following is not a common feature of a warehouse club?

Michael's, PetSmart, and Staples are all examples of

Mark Bradley's company takes orders from its collection of retail customers and arranges the shipment of goods directly from manufacturers or other wholesalers to its customers' businesses. Mark is operating as a

Retailing is best characterized as

Department stores are characterized by wide product mixes.

Off-price retailers feature

A retail strategy of managing groups of similar, often substitutable products produced by different manufacturers is called

Kevin is talking with Peter about purchasing a Wendy's franchise. Peter tells Kevin that one of the major advantages of franchising for him to consider is the

Hickory Village Shopping Center has two department stores and some specialty and convenience stores. It serves a large geographic area and holds special events to stimulate consumer traffic. Hickory is a ____ shopping center.

Franchised outlets are generally less successful than independently owned businesses.

An example of an emerging type of power shopping center might contain

Redbox, ProActiv, and Clinique all sell their products through automatic vending, which is

An Overview of Strategic Marketing

Planning, Implementing, and Evaluating Marketing Strategies

The Marketing Environment

Social Responsibility and Ethics in Marketing

Marketing Research and Information Systems

Target Markets Segmentation and Evaluation

Consumer Buying Behavior

Business Markets and Buying Behavior

Reaching Global Markets

Digital Marketing and Social Networking

Product Concepts, Branding and Packaging

Developing and Managing Products

Services Marketing

Marketing Channels and Supply-Chain Management

Integrated Marketing Communications

Advertising and Public Relations

Personal Selling and Sales Promotion

Pricing Concepts

Setting Prices

Filters