Question 1

A maintained markup refers to

Accepted Answer

A) the difference between the final selling price and the retailer's cost. 
B) the amount subtracted from the cost the retailer paid for a product to reach the initial selling price. 
C) the amount the manufacturer adds to achieve the desired suggested retail price. 
D) the net margin. 
E) the highest price listed for the product. 
A) the difference between the final selling price and the retailer's cost. 
B) the amount subtracted from the cost the retailer paid for a product to reach the initial selling price. 
C) the amount the manufacturer adds to achieve the desired suggested retail price. 
D) the net margin. 
E) the highest price listed for the product.

Question 2

Which method of classifying retail outlets would be most appropriate for describing franchise operations?

Accepted Answer

A) form of ownership 
B) level of service 
C) merchandise line 
D) method of operation 
E) revenues generated 
A) form of ownership 
B) level of service 
C) merchandise line 
D) method of operation 
E) revenues generated

Question 3

Most stores today are near several others in one of five settings: the central business district,the regional center,the community shopping center,the strip mall,or the __________.

Accepted Answer

A) rural micromall 
B) urban megacenter 
C) power center 
D) exurb value center 
E) suburban downtown 
A) rural micromall 
B) urban megacenter 
C) power center 
D) exurb value center 
E) suburban downtown

Question 4

All of the following are forms of nonstore retailing EXCEPT:

Accepted Answer

A) direct selling. 
B) television home shopping. 
C) factory outlets. 
D) online retailing. 
E) telemarketing. 
A) direct selling. 
B) television home shopping. 
C) factory outlets. 
D) online retailing. 
E) telemarketing.

Question 5

In response to the changes in the United States,many direct sellers are implementing a __________ strategy by expanding into other countries with their current product lines.

Accepted Answer

A) market development 
B) market penetration 
C) accelerated development 
D) product development 
E) diversification 
A) market development 
B) market penetration 
C) accelerated development 
D) product development 
E) diversification

Question 6

Currently,the three largest television home shopping programs in the United States are

Accepted Answer

A) QVC,HSN,and ShopNBC. 
B) Shop at Home,QVC,and HSN. 
C) Direct Shopper,Shop at Home,and ShopNBC. 
D) ValueVision,Shop at Home,and QVC. 
E) Shop America,Direct shopper,and J.S.Global. 
A) QVC,HSN,and ShopNBC. 
B) Shop at Home,QVC,and HSN. 
C) Direct Shopper,Shop at Home,and ShopNBC. 
D) ValueVision,Shop at Home,and QVC. 
E) Shop America,Direct shopper,and J.S.Global.

Question 7

Retailing is an important marketing activity.Not only do producers and consumers meet through retailing actions,but retailing also creates __________.

Accepted Answer

A) the nation's largest source of tax revenues 
B) the largest source of charitable contributions 
C) limited utilities for consumers 
D) customer value 
E) a sense of community 
A) the nation's largest source of tax revenues 
B) the largest source of charitable contributions 
C) limited utilities for consumers 
D) customer value 
E) a sense of community

Question 8

What is category management and when is it used?

Accepted Answer

Category management is used to manage th

Question 9

Which of the following retailers would best fit in "D" shown in Figure 16-8 above?

Accepted Answer

A) Kmart 
B) Payless ShoeSource 
C) Dillard's department store 
D) 7-Eleven 
E) Tiffany & Co. 
A) Kmart 
B) Payless ShoeSource 
C) Dillard's department store 
D) 7-Eleven 
E) Tiffany & Co.

Question 10

In a(n)__________,an individual or firm contracts with a parent company to set up a business or retail outlet.

Accepted Answer

A) administered system 
B) vertically integrated chain 
C) retail-sponsored cooperative 
D) franchise system 
E) corporate system 
A) administered system 
B) vertically integrated chain 
C) retail-sponsored cooperative 
D) franchise system 
E) corporate system

Question 11

The four major types of limited-service merchant wholesalers are rack jobbers,cash and carry wholesalers,truck jobbers,and __________.

Accepted Answer

A) machine vendors 
B) credit line wholesalers 
C) drop shippers 
D) transport vendors 
E) container transport vendors 
A) machine vendors 
B) credit line wholesalers 
C) drop shippers 
D) transport vendors 
E) container transport vendors

Question 12

The use of displays,coupons,product samples,and other brand communications to influence shopping behavior in a store is referred to as

Accepted Answer

A) functional qualities 
B) level of service 
C) shopper marketing 
D) lifestyle attributes 
E) psychographic elements 
A) functional qualities 
B) level of service 
C) shopper marketing 
D) lifestyle attributes 
E) psychographic elements

Question 13

The marketing metrics related to a retailer's customers include all of the following EXCEPT:

Accepted Answer

A) the number of customers per day or per hour. 
B) the average length of a store visit. 
C) the turnover of inventory. 
D) the average transaction size per customer. 
E) the number of transactions per customer. 
A) the number of customers per day or per hour. 
B) the average length of a store visit. 
C) the turnover of inventory. 
D) the average transaction size per customer. 
E) the number of transactions per customer.

Question 14

Kitchen Window is a is a one-stop treasure trove for cooks.The locally-owned gourmet specialty store carries more than 14,000 items in stock.Its knowledgeable staff offers personalized service that will even gift-wrap your purchases free of charge.It also offers a shop for repairs should your appliances need maintenance.Kitchen Window is a __________ retailer.

Accepted Answer

A) exclusive-service 
B) upscale-service 
C) self-service 
D) limited-service 
E) full-service 
A) exclusive-service 
B) upscale-service 
C) self-service 
D) limited-service 
E) full-service

Question 15

Emphasizing consistently low prices and eliminating most markdowns is referred to as __________.

Accepted Answer

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

Question 16

There are three general forms of retail ownership: contractual system,corporate chain,and __________.

Accepted Answer

A) dual ownership 
B) industry consortium 
C) retailing cooperative 
D) independent retailer 
E) multi-national cartel 
A) dual ownership 
B) industry consortium 
C) retailing cooperative 
D) independent retailer 
E) multi-national cartel

Question 17

The National Retail Federation estimates that about __________ of retail sales is due to shrinkage.

Accepted Answer

A) 1.4% 
B) 2.0% 
C) 2.4% 
D) 3.0% 
E) 5.0% 
A) 1.4% 
B) 2.0% 
C) 2.4% 
D) 3.0% 
E) 5.0%

Question 18

Located predominately in Europe,these large stores (more than 200,000 square feet),which offer thousands of different food,grocery,and general merchandise products,are referred to as

Accepted Answer

A) discount wholesalers. 
B) discount retailers. 
C) supermarkets. 
D) hypermarkets. 
E) retail cooperatives. 
A) discount wholesalers. 
B) discount retailers. 
C) supermarkets. 
D) hypermarkets. 
E) retail cooperatives.

Question 19

A hypermarket refers to

Accepted Answer

A) category killers that specialize in electronics. 
B) a form of intertype competition consisting of general merchandise stores. 
C) shopping malls anchored by four or more department stores such as Sears or Nordstrom's. 
D) a form of limited-service outlets focusing on general merchandise like that offered in department stores. 
E) a form of scrambled merchandising,which consists of large stores with (more than 200,000 square feet)that offers everything in a single outlet,eliminating the need for consumers to shop at more than one location. 
A) category killers that specialize in electronics. 
B) a form of intertype competition consisting of general merchandise stores. 
C) shopping malls anchored by four or more department stores such as Sears or Nordstrom's. 
D) a form of limited-service outlets focusing on general merchandise like that offered in department stores. 
E) a form of scrambled merchandising,which consists of large stores with (more than 200,000 square feet)that offers everything in a single outlet,eliminating the need for consumers to shop at more than one location.

Question 20

Loehmann's is an upscale,off-price specialty retailer that sells name-brand designer fashions.A few salespeople are available for selected departments,but customers are responsible for most of their shopping activities.Loehmann's provides its consumers with

Accepted Answer

A) full-service. 
B) limited service. 
C) self- service. 
D) restricted service. 
E) functional service. 
A) full-service. 
B) limited service. 
C) self- service. 
D) restricted service. 
E) functional service.

Exam 16: Retailing and Wholesaling

A maintained markup refers to

Which method of classifying retail outlets would be most appropriate for describing franchise operations?

Most stores today are near several others in one of five settings: the central business district,the regional center,the community shopping center,the strip mall,or the __________.

All of the following are forms of nonstore retailing EXCEPT:

In response to the changes in the United States,many direct sellers are implementing a __________ strategy by expanding into other countries with their current product lines.

Currently,the three largest television home shopping programs in the United States are

Retailing is an important marketing activity.Not only do producers and consumers meet through retailing actions,but retailing also creates __________.

What is category management and when is it used?

Which of the following retailers would best fit in "D" shown in Figure 16-8 above?

In a(n)__________,an individual or firm contracts with a parent company to set up a business or retail outlet.

The four major types of limited-service merchant wholesalers are rack jobbers,cash and carry wholesalers,truck jobbers,and __________.

The use of displays,coupons,product samples,and other brand communications to influence shopping behavior in a store is referred to as

The marketing metrics related to a retailer's customers include all of the following EXCEPT:

Emphasizing consistently low prices and eliminating most markdowns is referred to as __________.

There are three general forms of retail ownership: contractual system,corporate chain,and __________.

The National Retail Federation estimates that about __________ of retail sales is due to shrinkage.

Located predominately in Europe,these large stores (more than 200,000 square feet),which offer thousands of different food,grocery,and general merchandise products,are referred to as

A hypermarket refers to

Loehmann's is an upscale,off-price specialty retailer that sells name-brand designer fashions.A few salespeople are available for selected departments,but customers are responsible for most of their shopping activities.Loehmann's provides its consumers with

Creating Customer Relationships and Value Through Marketing

Developing Successful Organizational and Marketing Strategies

Scanning the Marketing Environment

Ethical and Social Responsibility in 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 to Connect With Consumers

Personal Selling and Sales Management

Implementing Interactive and Multichannel Marketing

Pulling It All Together: the Strategic Marketing Process

Building an Effective Marketing Plan

Financial Aspects of Marketing

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