Question 1

Scrambled merchandising refers to

Accepted Answer

A)  displaying merchandise in the form of a scenario, highlighting complementary products, rather than keeping all similar items together in rows on a shelf.
B)  offering of several unrelated product lines in a single store.
C)  changing where items are displayed in a store both to create interest and expose customers to alternative product choices.
D)  retailers that purchase odd-lots of overstocks or discontinued items for resale.
E)  strip malls that house a seemingly mismatched assortment of retail outlets but that in actuality create more customer traffic for each other.F) A) and E)
G) D) and E)

Question 2

The Mall of America is an example of which type of setting for a store location?

Accepted Answer

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

Question 3

Texas-based Whole Foods supermarkets target people who want to eat healthy.The stores use placards throughout, which tell shoppers about the farmers who grew and harvested various products.This use of signage to provide consumer information is a part of which element of the retailing mix?

Accepted Answer

A)  communications mix
B)  discounts and allowances
C)  variety and assortment
D)  goods and services mix
E)  physical distribution mixF) A) and B)
G) A) and E)

Question 4

There are three key methods of classifying retail operations:

Accepted Answer

A)  method of operation, revenue generated, and merchandise line.
B)  form of ownership, method of operation, and merchandise line.
C)  form of ownership, level of service, and merchandise line.
D)  level of service, merchandise line, and revenue generated.
E)  merchandise line, form of ownership, and revenue generated.F) A) and D)
G) A) and E)

Question 5

Briefly describe the advantages to the retailer and to the customer of the independent retailer.

Accepted Answer

Advantages to the retailer inc...

Question 6

Sales per square foot is calculated by taking

Accepted Answer

A)  total sales divided by selling area in square feet.
B)  profit margin divided by selling area in square feet.
C)  gross profit divided by selling area in square feet.
D)  return on investment divided by selling area in square feet.
E)  net sales divided by selling area in square feet.F) B) and E)
G) D) and E)

Question 7

When a store carries a large assortment of each product item it is referred to as

Accepted Answer

A)  product span.
B)  depth of product line.
C)  breadth of product line.
D)  scope of inventory.
E)  range and span of inventory.F) A) and D)
G) C) and D)

Question 8

Cash and carry wholesalers

Accepted Answer

A)  handle bulky items like lumber, bricks, and telephone poles.
B)  typically handle office supplies, electrical supplies, hardware products, and groceries.
C)  handle perishable items like flowers, baked goods, and deli meats.
D)  are a kind of full-service wholesaler.
E)  lease vending machines to merchants and refill them as needed on a cash only basis.F) A) and B)
G) D) and E)

Question 9

Vending machines are no longer limited by the necessity to use coins, in fact in Japan, Korea, and the Philippines consumers use cell phones that transmit payments to vending machines via an infrared beam or a radio wave.This is an example of how vending machines can provide which type of utility?

Accepted Answer

A)  time
B)  place
C)  form
D)  product
E)  possessionF) A) and C)
G) A) and B)

Question 10

The Direct Marketing Association estimates that direct-mail and catalog retailing creates __________ jobs and __________ in sales.

Accepted Answer

A)  1.1 million; $100 million
B)  1.5 million; $1.8 billion
C)  1.2 billion; $26.1 billion
D)  1.7 million; $1.9 trillion
E)  1 billion; $99 trillionF) B) and E)
G) A) and B)

Question 11

Why are vending machine prices often higher than those in a retail store?

Accepted Answer

Vending machine maintenance, o...

Question 12

List the five store locations, or settings.How has the location of stores changed over the years?

Accepted Answer

Department stores started downtown in mo...

Question 13

Retailing mix refers to

Accepted Answer

A)  the activities related to managing the store and the merchandise in the store, which includes retail pricing, store location, retail communication, and merchandise.
B)  the activities related to managing the store and the merchandise in the store, which includes product, price, promotion, and place.
C)  the activities related to managing the store and the merchandise in the store, which includes the four utilities time, form, possession, and place.
D)  the activities related to managing the store and the merchandise in the store, which includes the colors, sizes, shapes, and perceived value of the store's products.
E)  the activities related to managing the store and the merchandise in the store, which includes selection of store location, selection of merchandise, hiring and training of employees, and promotion of both the store and products.F) C) and D)
G) A) and B)

Question 14

What type of contractual system describes a situation where assistance in selecting the location, setting up the store or facility, advertising, and training personnel is provided?

Accepted Answer

A)  administered system
B)  franchising system
C)  conglomerate system
D)  vertical integrated system
E)  retail-sponsored cooperativeF) None of the above
G) C) and E)

Question 15

Victoria's Secret, a nationwide chain, carries great depth in women's lingerie.Victoria's Secret is an example of a(n)  _________.

Accepted Answer

A)  limited line store
B)  single-line store
C)  intertype outlet
D)  general merchandise store
E)  single distributionF) B) and D)
G) B) and C)

Question 16

Saks Fifth Avenue an upscale retailer that offers designer brand women's apparel, fragrances, jewellery, and leather accessories.Saks Fifth Avenue would be classified as a(n)  _________.

Accepted Answer

A)  exclusive service retailers
B)  limited service retailers
C)  full-service retailers
D)  full-domain retailers
E)  limited-domain retailersF) A) and E)
G) B) and E)

Question 17

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

Accepted Answer

A)  form of ownership
B)  level of service
C)  merchandise line
D)  method of operation
E)  revenue generatedF) B) and E)
G) B) and C)

Question 18

A drug store that sells pharmaceuticals, beauty aids, camera equipment, nonperishable grocery items, and automobile motor oil is an example of a retailer using

Accepted Answer

A)  cross-docking.
B)  full-service.
C)  scrambled merchandising.
D)  disintermediation.
E)  dual channel marketing.F) None of the above
G) A) and B)

Question 19

Vending machines are popular with consumers; recent consumer satisfaction research indicates that __________ percent of consumers believe purchasing from a vending machine is equal to or superior to a store purchase.

Accepted Answer

A)  15
B)  27
C)  49
D)  63
E)  82F) D) and E)
G) A) and E)

Question 20

Stores that carry a considerable assortment (depth)  of a related line of items are referred to as

Accepted Answer

A)  limited-line stores.
B)  general merchandise stores.
C)  scrambled merchandise stores.
D)  hypermarkets.
E)  intertype outlet.F) B) and E)
G) A) and B)

Exam 14: Retailing and Wholesaling

Scrambled merchandising refers to

Correct AnswerverifiedShow Answer

Briefly describe the advantages to the retailer and to the customer of the independent retailer.

Correct AnswerverifiedAdvantages to the retailer inc...View AnswerShow Answer

Sales per square foot is calculated by taking

Correct AnswerverifiedShow Answer

What type of contractual system describes a situation where assistance in selecting the location, setting up the store or facility, advertising, and training personnel is provided?

Correct AnswerverifiedShow Answer

List the five store locations, or settings.How has the location of stores changed over the years?

Correct AnswerverifiedDepartment stores started downtown in mo...View AnswerShow Answer

Why are vending machine prices often higher than those in a retail store?

Correct AnswerverifiedVending machine maintenance, o...View AnswerShow Answer

There are three key methods of classifying retail operations:

Correct AnswerverifiedShow Answer

Saks Fifth Avenue an upscale retailer that offers designer brand women's apparel, fragrances, jewellery, and leather accessories.Saks Fifth Avenue would be classified as a(n) _________.

Correct AnswerverifiedShow Answer

Retailing mix refers to

Correct AnswerverifiedShow Answer

Stores that carry a considerable assortment (depth) of a related line of items are referred to as

Correct AnswerverifiedShow Answer

Texas-based Whole Foods supermarkets target people who want to eat healthy.The stores use placards throughout, which tell shoppers about the farmers who grew and harvested various products.This use of signage to provide consumer information is a part of which element of the retailing mix?

Correct AnswerverifiedShow Answer

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

Correct AnswerverifiedShow Answer

Vending machines are popular with consumers; recent consumer satisfaction research indicates that __________ percent of consumers believe purchasing from a vending machine is equal to or superior to a store purchase.

Correct AnswerverifiedShow Answer

Cash and carry wholesalers

Correct AnswerverifiedShow Answer

Vending machines are no longer limited by the necessity to use coins, in fact in Japan, Korea, and the Philippines consumers use cell phones that transmit payments to vending machines via an infrared beam or a radio wave.This is an example of how vending machines can provide which type of utility?

Correct AnswerverifiedShow Answer

The Mall of America is an example of which type of setting for a store location?

Correct AnswerverifiedShow Answer

When a store carries a large assortment of each product item it is referred to as

Correct AnswerverifiedShow Answer

A drug store that sells pharmaceuticals, beauty aids, camera equipment, nonperishable grocery items, and automobile motor oil is an example of a retailer using

Correct AnswerverifiedShow Answer

Victoria's Secret, a nationwide chain, carries great depth in women's lingerie.Victoria's Secret is an example of a(n) _________.

Correct AnswerverifiedShow Answer

The Direct Marketing Association estimates that direct-mail and catalog retailing creates __________ jobs and __________ in sales.

Correct AnswerverifiedShow Answer

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Advantages to the retailer inc...
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Department stores started downtown in mo...
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Vending machine maintenance, o...
View Answer

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The Direct Marketing Association estimates that direct-mail and catalog retailing creates jobs and in sales.

Correct Answer
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