Question 1

Fresh-cut flowers that were only available from florists can now be purchased at neighborhood supermarkets. This is an example of

Accepted Answer

A)  dysfunctional competition.
B)  mixed-line merchandising.
C)  multi-product marketing.
D)  intertype competition.
E)  dual distribution.F) C) and E)
G) D) and E)

Question 2

Jane Westerlund owns a small retail picture frame store in a local strip mall. She just bought 10 picture frames from a promising woodworker for $36 each. Based on market conditions, she will sell these for $100 each. What is the percentage markup based on the selling price?

Accepted Answer

A)  156 percent
B)  36 percent
C)  64 percent
D)  100 percent
E)  0 percentF) All of the above
G) B) and E)

Question 3

Subway is a popular

Accepted Answer

A)  business-format franchise.
B)  product-distribution franchise.
C)  operations franchise venture.
D)  manufacturing franchise.
E)  general service franchise.F) B) and D)
G) A) and B)

Question 4

A restaurant that offers food made exactly to each customer's preference is providing __________ utility.

Accepted Answer

A)  time
B)  place
C)  possession
D)  form
E)  processF) C) and E)
G) None of the above

Question 5

New Balance offers shoes for men, women, and children in many sizes and widths. It offers running, cross training, walking, golf, and other types of shoes. This is an example of the __________ that New Balance offers to its customers through its own stores or other retailers such as Foot Locker or Sports Authority.

Accepted Answer

A)  product items
B)  depth of product line
C)  breadth of product line
D)  versatility of product family
E)  variety of product mixF) A) and B)
G) A) and E)

Question 6

Franchising is a type of

Accepted Answer

A)  administered system.
B)  contractual system.
C)  vertically integrated chain.
D)  retail-sponsored cooperative.
E)  corporate system.F) C) and D)
G) A) and E)

Question 7

Wholesalers that carry a broad assortment of merchandise and perform all channel functions are referred to as a

Accepted Answer

A)  limited-line wholesaler.
B)  drop shipper.
C)  rack jobber.
D)  specialty merchandise wholesaler.
E)  general merchandise wholesaler.F) None of the above
G) C) and D)

Question 8

In Europe, stores called __________ are based on the concept of one-stop shopping for consumers. Such retail stores, which use scrambled merchandising, typically encompass over 200,000 square feet of floor space and offer quality, variety, and low price for food and groceries and general merchandise.

Accepted Answer

A)  megamarkets
B)  hypermarkets
C)  one-stop markets
D)  euromarkets
E)  supercentersF) None of the above
G) B) and D)

Question 9

Outside the United States, large retailers include __________ in Japan, Carrefour in France, Metro Group in Germany, and Tesco in Britain.

Accepted Answer

A)  Aeon
B)  Toshei
C)  Seebi
D)  Goshen
E)  ToshiF) C) and D)
G) A) and E)

Question 10

The key goal for retailers in the accelerated development phase of the retail life cycle is to

Accepted Answer

A)  recover start-up costs.
B)  establish a dominant position in the fight for market share.
C)  delay entering the decline stage of the retail life cycle.
D)  find ways of discouraging customers from moving to low-margin, mass-volume outlets.
E)  establish a retail concept that is a sharp departure from existing competition.F) B) and D)
G) A) and B)

Question 11

Brokers are independent firms or individuals who

Accepted Answer

A)  represent a single producer and are responsible for the entire marketing function of that producer.
B)  work for several producers and carry noncompetitive, complementary merchandise in an exclusive territory.
C)  take title to merchandise but sell only to buyers that call on them, pay cash for merchandise, and furnish their own transportation for the merchandise.
D)  own the merchandise they sell but do not physically handle, stock, or deliver it.
E)  bring buyers and sellers together to make sales.F) None of the above
G) A) and B)

Question 12

A huge shopping strip with multiple anchor (or national)  stores is referred to as a

Accepted Answer

A)  central business district.
B)  regional shopping center.
C)  community shopping center.
D)  strip mall.
E)  power center.F) B) and C)
G) C) and D)

Question 13

The vertical dimension of the retail positioning matrix is

Accepted Answer

A)  depth of product line.
B)  relative market share.
C)  value added.
D)  breadth of product line.
E)  stage in the retail life cycle.F) A) and B)
G) B) and C)

Question 14

__________ retailers utilize and integrate a combination of traditional store formats and nonstore formats.

Accepted Answer

A)  Progressive
B)  Opportunistic
C)  Multichannel
D)  Cluster
E)  PowerF) B) and C)
G) A) and E)

Question 15

The wholesalers most prevalent in the hardware, drug, and clothing industries are

Accepted Answer

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

Question 16

A common financial indicator of how effectively retail space is used to generate revenue can be calculated by determining

Accepted Answer

A)  net sales.
B)  shareholders' equity.
C)  market share.
D)  sales per square foot.
E)  return on investment.F) B) and D)
G) B) and E)

Question 17

Which type of utility is created by online shopping?

Accepted Answer

A)  time
B)  price
C)  product
D)  process
E)  promotionF) D) and E)
G) C) and D)

Question 18

Three common forms of off-price retailers are

Accepted Answer

A)  warehouse clubs, factory outlet stores, and hypermarkets.
B)  warehouse clubs, factory outlets, and single-price or extreme-value retailer.
C)  factory outlets, single-price retailers, online auction services.
D)  factory outlets, supercenters, hypermarkets.
E)  extreme value retailers, buying clubs, online auction services.F) B) and E)
G) A) and B)

Question 19

Consumers often use the prices of __________ items, such as a can of Coke, to form an overall impression of the store's prices.

Accepted Answer

A)  benchmark
B)  stoplight
C)  point-of-purchase
D)  value-based
E)  loss-leaderF) A) and D)
G) C) and D)

Question 20

The __________ provided by retailers create value for consumers.

Accepted Answer

A)  utilities
B)  wholesaling functions
C)  outsourcing functions
D)  profits
E)  synergiesF) B) and D)
G) A) and C)

Exam 16: Retailing and Wholesaling

Jane Westerlund owns a small retail picture frame store in a local strip mall. She just bought 10 picture frames from a promising woodworker for $36 each. Based on market conditions, she will sell these for $100 each. What is the percentage markup based on the selling price?

Correct Answer
verified

The key goal for retailers in the accelerated development phase of the retail life cycle is to

Correct Answer
verified

Which type of utility is created by online shopping?

Correct Answer
verified

The wholesalers most prevalent in the hardware, drug, and clothing industries are

Correct Answer
verified

Fresh-cut flowers that were only available from florists can now be purchased at neighborhood supermarkets. This is an example of

Correct Answer
verified

Brokers are independent firms or individuals who

Correct Answer
verified

The __________ provided by retailers create value for consumers.

Correct Answer
verified

Correct Answer
verified

Consumers often use the prices of __________ items, such as a can of Coke, to form an overall impression of the store's prices.

Correct Answer
verified

A restaurant that offers food made exactly to each customer's preference is providing __________ utility.

Correct Answer
verified

The vertical dimension of the retail positioning matrix is

Correct Answer
verified

A common financial indicator of how effectively retail space is used to generate revenue can be calculated by determining

Correct Answer
verified

Three common forms of off-price retailers are

Correct Answer
verified

__________ retailers utilize and integrate a combination of traditional store formats and nonstore formats.

Correct Answer
verified

Outside the United States, large retailers include __________ in Japan, Carrefour in France, Metro Group in Germany, and Tesco in Britain.

Correct Answer
verified

Franchising is a type of

Correct Answer
verified

Subway is a popular

Correct Answer
verified

A huge shopping strip with multiple anchor (or national) stores is referred to as a

Correct Answer
verified

Wholesalers that carry a broad assortment of merchandise and perform all channel functions are referred to as a

Correct Answer
verified

Correct Answer
verified

Exam 16: Retailing and Wholesaling

Jane Westerlund owns a small retail picture frame store in a local strip mall. She just bought 10 picture frames from a promising woodworker for $36 each. Based on market conditions, she will sell these for $100 each. What is the percentage markup based on the selling price?

Correct AnswerverifiedShow Answer

The key goal for retailers in the accelerated development phase of the retail life cycle is to

Correct AnswerverifiedShow Answer

Which type of utility is created by online shopping?

Correct AnswerverifiedShow Answer

The wholesalers most prevalent in the hardware, drug, and clothing industries are

Correct AnswerverifiedShow Answer

Fresh-cut flowers that were only available from florists can now be purchased at neighborhood supermarkets. This is an example of

Correct AnswerverifiedShow Answer

Brokers are independent firms or individuals who

Correct AnswerverifiedShow Answer

The __________ provided by retailers create value for consumers.

Correct AnswerverifiedShow Answer

Correct AnswerverifiedShow Answer

Consumers often use the prices of __________ items, such as a can of Coke, to form an overall impression of the store's prices.

Correct AnswerverifiedShow Answer

A restaurant that offers food made exactly to each customer's preference is providing __________ utility.

Correct AnswerverifiedShow Answer

The vertical dimension of the retail positioning matrix is

Correct AnswerverifiedShow Answer

A common financial indicator of how effectively retail space is used to generate revenue can be calculated by determining

Correct AnswerverifiedShow Answer

Three common forms of off-price retailers are

Correct AnswerverifiedShow Answer

__________ retailers utilize and integrate a combination of traditional store formats and nonstore formats.

Correct AnswerverifiedShow Answer

Outside the United States, large retailers include __________ in Japan, Carrefour in France, Metro Group in Germany, and Tesco in Britain.

Correct AnswerverifiedShow Answer

Franchising is a type of

Correct AnswerverifiedShow Answer

Subway is a popular

Correct AnswerverifiedShow Answer

A huge shopping strip with multiple anchor (or national) stores is referred to as a

Correct AnswerverifiedShow Answer

Wholesalers that carry a broad assortment of merchandise and perform all channel functions are referred to as a

Correct AnswerverifiedShow Answer

Correct AnswerverifiedShow Answer

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