Question 1

Your neighborhood dry cleaner or florist is likely to be categorized as an independent retailer.This means it is owned by a(n)__________.

Accepted Answer

A) individual 
B) conglomerate 
C) consortium 
D) chain 
E) cooperative 
A) individual 
B) conglomerate 
C) consortium 
D) chain 
E) cooperative

Question 2

Explain the difference between breadth of line and depth of line.Be sure to include the definition of scrambled merchandising in your explanation.

Accepted Answer

Breadth of line means the store carries

Question 3

Briefly describe the three levels of service offered by retail outlets.

Accepted Answer

Retail outlets generally offer three lev

Question 4

Savings to the consumer at off-price retailers are reported as high as __________ off the prices of a traditional department store.

Accepted Answer

A) 50% 
B) 60% 
C) 70% 
D) 80% 
E) 90% 
A) 50% 
B) 60% 
C) 70% 
D) 80% 
E) 90%

Question 5

At the Christmas Tree Shop,customers can shop for Christmas gifts at any time of year.What type of utility primarily does this store provide for its customers?

Accepted Answer

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

Question 6

Which of the following is an example of nonstore retailing?

Accepted Answer

A) hypermarkets 
B) supercenters 
C) shopping centers 
D) vending machines 
E) general merchandise stores 
A) hypermarkets 
B) supercenters 
C) shopping centers 
D) vending machines 
E) general merchandise stores

Question 7

Which type of store gives shoppers the greatest variety of merchandise?

Accepted Answer

A) a hypermarket 
B) a specialty clothing store 
C) a limited-line gift store 
D) a clothing outlet 
E) a discount store 
A) a hypermarket 
B) a specialty clothing store 
C) a limited-line gift store 
D) a clothing outlet 
E) a discount store

Question 8

The West Edmonton Mall in Alberta,Canada is a conglomerate of more than 800 stores,the world's largest indoor amusement park,more than 100 restaurants,a movie complex,and two hotels.This retail complex is the largest example of a(n)__________.

Accepted Answer

A) regional shopping center 
B) urban microcenter 
C) megaplex 
D) hypermarket 
E) supercenter 
A) regional shopping center 
B) urban microcenter 
C) megaplex 
D) hypermarket 
E) supercenter

Question 9

The major difference between an off-price retailer and a discount store is that off-price retailers purchase merchandise from manufacturers __________ and discount stores buy from wholesalers __________.

Accepted Answer

A) who are trying to offload returned or slightly irregular inventory;selling new but inexpensive merchandise 
B) at below wholesale prices;and charge a high initial price with the full intent of taking markdowns later 
C) at below wholesale prices;at full price but take a less of a markup 
D) at various price points;at the lowest price points possible 
E) who are part of a retailing cooperative;who are part of a wholesaling cooperative 
A) who are trying to offload returned or slightly irregular inventory;selling new but inexpensive merchandise 
B) at below wholesale prices;and charge a high initial price with the full intent of taking markdowns later 
C) at below wholesale prices;at full price but take a less of a markup 
D) at various price points;at the lowest price points possible 
E) who are part of a retailing cooperative;who are part of a wholesaling cooperative

Question 10

Retailing's economic impact is represented by the __________.

Accepted Answer

A) the price asked for any one item for sale 
B) the cost of goods sold 
C) the people employed in retailing 
D) the net return on capital 
E) the elimination of global boundaries 
A) the price asked for any one item for sale 
B) the cost of goods sold 
C) the people employed in retailing 
D) the net return on capital 
E) the elimination of global boundaries

Question 11

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 specialty catalogs for market niches. 
D) the banning of "junk" mail by a growing number of environmentally-concerned communities. 
E) a resurgence in non-automated 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 specialty catalogs for market niches. 
D) the banning of "junk" mail by a growing number of environmentally-concerned communities. 
E) a resurgence in non-automated telemarketing.

Question 12

Because consumers often use price as an indicator of product quality,what decision factor becomes important in this situation?

Accepted Answer

A) store image 
B) value 
C) convenience 
D) product benefits 
E) maintained price 
A) store image 
B) value 
C) convenience 
D) product benefits 
E) maintained price

Question 13

According to Figure 16-9 above,where would you find the highest prices,margins,and status?

Accepted Answer

A) "A" 
B) "B" 
C) "C" 
D) "D" 
E) "A" and "D" 
A) "A" 
B) "B" 
C) "C" 
D) "D" 
E) "A" and "D"

Question 14

Merchants such as the Burlington Coat Factory sell brand-name merchandise at lower than regular prices.This means that they are 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 15

The wholesalers that perform all channel functions and are found in the health foods,automotive parts,and seafood industries would be __________.

Accepted Answer

A) specialty wholesalers 
B) full-line wholesalers 
C) limited-wholesalers 
D) universal wholesalers 
E) cash and carry wholesalers 
A) specialty wholesalers 
B) full-line wholesalers 
C) limited-wholesalers 
D) universal wholesalers 
E) cash and carry wholesalers

Question 16

Experts suggest that online retailers should think of their websites as __________ if they are to attract and retain customers.

Accepted Answer

A) cash cows 
B) dynamic billboards 
C) virtual reality stores 
D) traditional retail stores 
E) online entertainment 
A) cash cows 
B) dynamic billboards 
C) virtual reality stores 
D) traditional retail stores 
E) online entertainment

Question 17

Briefly describe the three ways retail outlets can be classified.

Accepted Answer

Retail outlets can be classified in thre

Question 18

Direct selling is likely to continue to have strong growth in markets

Accepted Answer

A) in which people prefer not to have to a social shopping experience. 
B) where convenience is not especially important. 
C) in which consumers are knowledgeable shoppers. 
D) where there is a lack of effective distribution channels. 
E) that have an excellent infrastructure. 
A) in which people prefer not to have to a social shopping experience. 
B) where convenience is not especially important. 
C) in which consumers are knowledgeable shoppers. 
D) where there is a lack of effective distribution channels. 
E) that have an excellent infrastructure.

Question 19

The analytical tool that positions retail outlets in terms of the breadth of their product line and value added,such as location,product reliability,or prestige,is referred to as the __________.

Accepted Answer

A) growth share matrix 
B) MAC framework 
C) market-product grid 
D) retail positioning matrix 
E) wheel of retailing 
A) growth share matrix 
B) MAC framework 
C) market-product grid 
D) retail positioning matrix 
E) wheel of retailing

Question 20

Which of the following firms has made the wisest wholesaler choice for its product?

Accepted Answer

A) Sam's Coal Country uses a cash and carry wholesaler for its coal. 
B) Amy's Amazing Appetizers uses a rack jobber for its frozen apricot aperitifs. 
C) Raisha's Retros uses a rack jobber for its replica racecar radios in travel plazas on interstate highways. 
D) Shayna's Superior Supplies uses a desk jobber for its staplers. 
E) Nova's Novelties uses a truck jobber for its never-needs-a-battery night lights. 
A) Sam's Coal Country uses a cash and carry wholesaler for its coal. 
B) Amy's Amazing Appetizers uses a rack jobber for its frozen apricot aperitifs. 
C) Raisha's Retros uses a rack jobber for its replica racecar radios in travel plazas on interstate highways. 
D) Shayna's Superior Supplies uses a desk jobber for its staplers. 
E) Nova's Novelties uses a truck jobber for its never-needs-a-battery night lights.

Exam 16: Retailing and Wholesaling

Your neighborhood dry cleaner or florist is likely to be categorized as an independent retailer.This means it is owned by a(n)__________.

Explain the difference between breadth of line and depth of line.Be sure to include the definition of scrambled merchandising in your explanation.

Briefly describe the three levels of service offered by retail outlets.

Savings to the consumer at off-price retailers are reported as high as __________ off the prices of a traditional department store.

At the Christmas Tree Shop,customers can shop for Christmas gifts at any time of year.What type of utility primarily does this store provide for its customers?

Which of the following is an example of nonstore retailing?

Which type of store gives shoppers the greatest variety of merchandise?

The West Edmonton Mall in Alberta,Canada is a conglomerate of more than 800 stores,the world's largest indoor amusement park,more than 100 restaurants,a movie complex,and two hotels.This retail complex is the largest example of a(n)__________.

The major difference between an off-price retailer and a discount store is that off-price retailers purchase merchandise from manufacturers __________ and discount stores buy from wholesalers __________.

Retailing's economic impact is represented by the __________.

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

Because consumers often use price as an indicator of product quality,what decision factor becomes important in this situation?

According to Figure 16-9 above,where would you find the highest prices,margins,and status?

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

The wholesalers that perform all channel functions and are found in the health foods,automotive parts,and seafood industries would be __________.

Experts suggest that online retailers should think of their websites as __________ if they are to attract and retain customers.

Briefly describe the three ways retail outlets can be classified.

Direct selling is likely to continue to have strong growth in markets

The analytical tool that positions retail outlets in terms of the breadth of their product line and value added,such as location,product reliability,or prestige,is referred to as the __________.

Which of the following firms has made the wisest wholesaler choice for its product?

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

Filters

The major difference between an off-price retailer and a discount store is that off-price retailers purchase merchandise from manufacturers and discount stores buy from wholesalers .