Question 1

Which of the following is most likely gained by stores that cluster together?

Accepted Answer

A)  decreased competition 
B)  increased customer pulling power 
C)  compliance with franchise agreements 
D)  creation of retailer cooperatives 
E)  standardization of the service mix

Question 2

A(n) ________ brings buyers and sellers together and assists in negotiations.

Accepted Answer

A)  agent 
B)  broker 
C)  retailer 
D)  wholesaler 
E)  industrial distributor

Question 3

________ were the main form of retail clusters until the 1950s.

Accepted Answer

A)  Strip malls 
B)  Discount stores 
C)  Independent off-price retailers 
D)  Central business districts 
E)  Regional shopping malls

Question 4

Today's large, progressive wholesalers have successfully reacted to rising costs by ________.

Accepted Answer

A)  relocating to low-rent, low-tax areas 
B)  investing in information technology systems 
C)  investing less money in expensive machinery 
D)  reducing their markup rates 
E)  reducing promotional activities

Question 5

Green retailing yields both top- and bottom-line benefits.

Accepted Answer

A) True 
 B)False

Question 6

Today, ________ are flourishing due to the increased use of market segmentation and market targeting.

Accepted Answer

A)  chain stores 
B)  specialty stores 
C)  superstores 
D)  discount stores 
E)  off-price stores

Question 7

The early ________ cut expenses by offering few services and operating in warehouse-like facilities in low-rent, heavily traveled districts.

Accepted Answer

A)  department stores 
B)  hypermarkets 
C)  discount stores 
D)  supermarkets 
E)  full-service retailers

Question 8

Explain how wholesalers have been able to use technology to cut costs.

Accepted Answer

The answer of Explain how wholesalers have been able to...

Question 9

Which type of wholesaler sells to manufacturers rather than to retailers?

Accepted Answer

A)  industrial distributor 
B)  full-service wholesaler 
C)  cash-and-carry wholesaler 
D)  wholesale merchant 
E)  limited-service wholesaler

Question 10

Supermarkets are located near residential areas and are open long hours, seven days a week; they carry a limited line of high-turnover goods.

Accepted Answer

A) True 
 B)False

Question 11

Megaretailers have shifted the balance of power between retailers and producers, giving retailers more power.

Accepted Answer

A) True 
 B)False

Question 12

A large retailer of home improvement and construction products offers "how-to" classes for do-it-yourselfers, featuring instructions on how to complete home improvement projects using products sold at its stores. This is an example of how the retailer has differentiated itself through its ________.

Accepted Answer

A)  product assortment 
B)  services mix 
C)  segmentation 
D)  atmosphere 
E)  pricing

Question 13

Which type of retailer usually carries more specialty goods at high prices and is more likely to provide customers with assistance in every phase of the shopping process?

Accepted Answer

A)  self-service retailer 
B)  limited-service retailer 
C)  full-service retailer 
D)  independent retailer 
E)  off-price retailer

Question 14

Overstock.com, a Web seller that buys furniture, clothing, electronics, and more from a variety of producers at less-than-regular wholesale prices and then charges customers less than retail, is a(n) ________.

Accepted Answer

A)  specialty store 
B)  off-price retailer 
C)  factory outlet 
D)  wholesale club 
E)  category killer

Question 15

A ________ generally contains between 5 and 15 stores. It is close and convenient for consumers, usually contains a supermarket, perhaps a discount store, and several service stores such as dry cleaner, drugstore, and hardware store.

Accepted Answer

A)  regional shopping center 
B)  community shopping center 
C)  neighborhood shopping center 
D)  warehouse club 
E)  factory outlet

Question 16

________ are agents who take physical possession of products and negotiate sales. They deal mostly with agricultural marketing.

Accepted Answer

A)  Industrial distributors 
B)  Cash-and-carry wholesalers 
C)  Purchasing officers 
D)  Rack jobbers 
E)  Commission merchants

Question 17

What are pop-up stores? Provide an example to illustrate your answer.

Accepted Answer

The answer of What are pop-up stores? Provide an example...

Question 18

Refer to the scenario below to answer the following questions.
In the 1970s, Shipshewana was only a small town with a hardware store, a grain mill, a shoe store, a small restaurant, and a grocery store. Over the next two decades, the small town transformed into an international tourist attraction, attracting thousands of tourists who were intrigued by the lifestyle of Shipshewana's largest population-the Amish.
Ben and Mary Miller, having grown up within the Amish faith, decided to capitalize on their town's popularity and their woodworking skills. Their shop, Indiana Wood, began with a small display of handmade hickory rocking chairs, Ben Miller's specialty. But within a few months, the display at Indiana Wood included picnic tables, flower boxes, and small handmade novelty items. No other shop offers the same.
Mary Miller decorated the shop's display room with authentic Amish décor and eventually hired three Amish friends to sew and embroider napkins and other textiles as per customer requests. In addition, two women from the Amish community sought permission from the Millers to display home-baked pastries and jellies on Tuesdays and Wednesdays, when Shipshewana attracts swarms of visitors to its flea market on the south edge of town. The Millers also hired four more people to help customers throughout the purchasing process and to provide the required product related information to the customers.
"Shipshewana is full of specialty shops," Mary Miller stated. "People don't come here to buy things made in China or Taiwan. They want real, Amish-made goods."
-Indiana Wood can be best classified as a(n) ________.

Accepted Answer

A)  full-service retailer 
B)  industrial distributor 
C)  truck jobber 
D)  warehouse club 
E)  drop shipper

Question 19

________ includes all activities involved in selling goods and services to those buying for resale or business use.

Accepted Answer

A)  Wholesaling 
B)  Retailing 
C)  Franchising 
D)  Discounting 
E)  Showrooming

Question 20

Explain the marketing decisions faced by wholesalers.

Accepted Answer

The answer of Explain the marketing decisions faced by wholesalers....

Exam 13: Retailing and Wholesaling

Which of the following is most likely gained by stores that cluster together?

A(n) ________ brings buyers and sellers together and assists in negotiations.

________ were the main form of retail clusters until the 1950s.

Today's large, progressive wholesalers have successfully reacted to rising costs by ________.

Green retailing yields both top- and bottom-line benefits.

Today, ________ are flourishing due to the increased use of market segmentation and market targeting.

The early ________ cut expenses by offering few services and operating in warehouse-like facilities in low-rent, heavily traveled districts.

Explain how wholesalers have been able to use technology to cut costs.

Which type of wholesaler sells to manufacturers rather than to retailers?

Supermarkets are located near residential areas and are open long hours, seven days a week; they carry a limited line of high-turnover goods.

Megaretailers have shifted the balance of power between retailers and producers, giving retailers more power.

A large retailer of home improvement and construction products offers "how-to" classes for do-it-yourselfers, featuring instructions on how to complete home improvement projects using products sold at its stores. This is an example of how the retailer has differentiated itself through its ________.

Which type of retailer usually carries more specialty goods at high prices and is more likely to provide customers with assistance in every phase of the shopping process?

Overstock.com, a Web seller that buys furniture, clothing, electronics, and more from a variety of producers at less-than-regular wholesale prices and then charges customers less than retail, is a(n) ________.

A ________ generally contains between 5 and 15 stores. It is close and convenient for consumers, usually contains a supermarket, perhaps a discount store, and several service stores such as dry cleaner, drugstore, and hardware store.

________ are agents who take physical possession of products and negotiate sales. They deal mostly with agricultural marketing.

What are pop-up stores? Provide an example to illustrate your answer.

________ includes all activities involved in selling goods and services to those buying for resale or business use.

Explain the marketing decisions faced by wholesalers.