Question 1

Which of the following is not a factor used to classify wholesalers?

Accepted Answer

A) Whether the wholesaler is owned by the producer 
B) Whether the wholesaler takes title to the products it handles 
C) The range of services offered by the wholesaler 
D) The price range of the products carried by the wholesaler 
E) The breadth and depth of the product lines carried by the wholesaler

Question 2

Wholesalers frequently help retailers with developing a marketing strategy,especially as it relates to the ____ component of the marketing mix.

Accepted Answer

A) distribution 
B) promotion 
C) product 
D) price 
E) channel

Question 3

By buying in large quantities and delivering to customers in smaller lots,a wholesaler may perform all of the following physical distribution activities except

Accepted Answer

A) inventory planning. 
B) transportation. 
C) materials handling. 
D) unit pricing. 
E) communication.

Question 4

Merchant wholesalers can be divided into two basic categories:

Accepted Answer

A) general merchandise and general-line. 
B) rack jobbers and cash-and-carry. 
C) commission and fee-based. 
D) goods and services. 
E) full-service and limited service.

Question 5

____ provide an effective method of selling small items to customers in remote areas that other wholesalers might find unprofitable to serve.

Accepted Answer

A) Desk jobbers 
B) Specialty-line wholesalers 
C) Cash-and-carry wholesalers 
D) Truck wholesalers 
E) Mail-order wholesalers

Question 6

While on their family vacation,the Millers realize they left their camera at home.They purchase a disposable camera at an amusement park using their credit card,but never interact with a person.What type of retailing did this transaction most likely involve?

Accepted Answer

A) Franchising 
B) Online retailing 
C) Direct-response marketing 
D) Automatic vending 
E) Machine marketing

Question 7

Manufacturers' agents offer products that are both

Accepted Answer

A) noncompeting and complementary. 
B) competing and specialized. 
C) unrelated and noncompeting. 
D) complementary and competing. 
E) unrelated and competing.

Question 8

Under what conditions would a selling agent most likely be used?

Accepted Answer

The answer of Under what conditions would a selling agent...

Question 9

When a retailer advertises a product and makes it available for purchase through telephone or mail orders,the retailer is using

Accepted Answer

A) direct selling. 
B) television home shopping. 
C) telemarketing. 
D) automatic vending. 
E) direct-response marketing.

Question 10

Which retail store invests the most in atmospherics?

Accepted Answer

A) Target 
B) Sears 
C) Neiman Marcus 
D) Macy's 
E) Dick's Sporting Goods

Question 11

A shopping center containing a Macy's,Sears,and JC Penney's as well as dozens of specialty shops,restaurants,and entertainment is most likely a

Accepted Answer

A) regional shopping center. 
B) neighborhood shopping center. 
C) community shopping center. 
D) complete business district. 
E) lifestyle shopping center.

Question 12

If a store has areas for men's apparel,women's apparel,housewares,cosmetics,and jewelry and competes mostly on the basis of service,it is most likely a(n)

Accepted Answer

A) niche retailer. 
B) department store. 
C) specialty retailer. 
D) superstore. 
E) category killer.

Question 13

Josh tells the loan officer at First Bank and Trust that Clarksville really needs a store that offers high-quality fishing gear to enthusiasts and provides the service and advice that many people want.No other store in the area seems to provide this combination.Josh is trying to use ____ to support his request for a loan to start such a retail operation.

Accepted Answer

A) scrambled merchandising 
B) location analysis 
C) the wheel of retailing 
D) product mix width 
E) retail positioning

Question 14

Kate owns a refreshment-stand business at the community ballpark.She goes to a warehouse store like Sam's and purchases snacks and canned soda that she will sell at her refreshment stand.Kate is considered a(n)

Accepted Answer

A) wholesaler. 
B) broker. 
C) retailer. 
D) intermediary. 
E) agent.

Question 15

Which type of franchising is most popular in the soft-drink industry?

Accepted Answer

A) The manufacturer authorizes a number of retail stores to sell a certain brand name item. 
B) Several manufacturers authorize one retail chain to sell a variety of brand name items. 
C) A franchiser supplies techniques,brand names,or other services besides complete products. 
D) A manufacturer licenses distributors to sell a given product to retailers. 
E) A distributor provides a brand name product and marketing assistance to one retailer.

Question 16

A retailer is an organization that purchases products for the purpose of reselling them to

Accepted Answer

A) other retail organizations. 
B) the government. 
C) ultimate consumers. 
D) wholesalers. 
E) nonprofit organizations.

Question 17

Which of the following may include special attractions such as amusement parks or skating rinks

Accepted Answer

A) Convenience shopping centers 
B) Neighborhood shopping centers 
C) Community shopping centers 
D) Regional shopping centers 
E) Superregional shopping centers

Question 18

Walmart has its own fleet of trucks and works directly with producers to take care of the ordering,delivery,and handling of goods.In addition,Walmart works directly with suppliers through its advanced system of inventory control and data processing.Walmart is

Accepted Answer

A) able to eliminate many of the functions typically performed by wholesalers. 
B) performing many of the critical functions of wholesalers through its own system. 
C) successfully using wholesalers to run its venerable chain of discount stores. 
D) using information technology to eliminate the need to perform typical wholesale functions. 
E) vertically integrated in order to produce and distribute all products itself.

Question 19

Dawn is concerned that there are not enough avid quilters in Centerville to support her Quilts Unlimited store.Her business adviser suggests that she not limit her promotion to the Centerville population but also consider outshoppers.This approach is most likely to work if her store is located in a

Accepted Answer

A) free-standing location. 
B) traditional business district. 
C) strip center. 
D) community shopping center. 
E) regional shopping center.

Question 20

Kroger,Safeway,and Publix are all considered

Accepted Answer

A) superstores. 
B) groceries. 
C) department stores. 
D) supermarkets. 
E) food stores.

Exam 16: Retailing, direct Marketing, and Wholesaling