Question 1

markup refers to

Accepted Answer

A)   the difference between the final selling price and how the customer values the product.
B)   selling brand name merchandise at lower than regular prices.
C)   the amount added to the cost the retailer paid for a product to reach the final selling price.
D)   the difference between the retail cost and initial selling price.
E)   the reduction in retail price, usually expressed as a percentage equal to the amount reduced, divided by the original price, and multiplied by 100.F) C) and E)
G) A) and E)

Question 2

number of U.S.-based retail chains have begun using lines and terminals that do not use clerks.This is an example of what level of retail service?

Accepted Answer

A)   full-service
B)   self-service
C)   limited-service
D)   customized-service
E)   functional-serviceF) A) and C)
G) C) and D)

Question 3

Home Depot switched its in-store light fixture displays to compact fluorescent light bulbs it saved __________ per year.

Accepted Answer

A)   $16 million
B)   $24 million
C)   $29 million
D)   $31 million
E)   $42 millionF) All of the above
G) C) and D)

Question 4

Off-price retailing refers to the

Accepted Answer

A)   differences between the final selling price and the retailer's cost.
B)   sale of brand name merchandise at lower than regular prices.
C)   sales of merchandise at maintained markups.
D)   amount added by the manufacturer to achieve the desired suggested retail price.
E)   reduction in retail price usually expressed as the gross margin.F) B) and D)
G) B) and E)

Question 5

Large strip malls that often have two to five anchor stores,a supermarket,and are designed to bring shoppers on a weekly basis are referred to as

Accepted Answer

A)   suburban malls.
B)   warehouse malls.
C)   power centers.
D)   retail malls.
E)   cluster malls.F) A) and C)
G) C) and D)

Question 6

Three common forms of off-price retailers are

Accepted Answer

A)   warehouse clubs, factory outlet stores, and hypermarkets.
B)   warehouse clubs, factory outlets, and 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) D) and E)
G) A) and E)

Question 7

local Target retailer carries a variety of different items.You can find everything ranging from socks and DVDs to baby items and groceries.This is an example of the __________ carried by Target.

Accepted Answer

A)   breadth of product line
B)   depth of product line
C)   variety of product line
D)   versatility of product line
E)   product mixF) All of the above
G) B) and C)

Question 8

Figure 16-10
-According to Figure 16-10 above,"B" represents which stage of the retail life cycle?

Accepted Answer

A)   introduction
B)   early growth
C)   accelerated development
D)   maturity
E)   declineF) B) and D)
G) B) and E)

Question 9

Retailing refers to all activities involved in the

Accepted Answer

A)   selling, renting, and providing of products and services to ultimate consumers for personal, family, or household use.
B)   selling of tangible products to ultimate consumers for personal, family, or household use.
C)   selling of tangible products to ultimate consumers for personal, household, or industrial use.
D)   selling, renting, leasing, or reselling of products and services to ultimate consumers or small industrial users.
E)   selling, renting, and providing of products and services without retaining the title to these offerings.F) None of the above
G) D) and E)

Question 10

Target has taken the "green" concept to its advertising agency and requires

Accepted Answer

A)   the use of the Green Certified Retail Operations Guide.
B)   that all vehicles produce no emissions.
C)   a "green" logo appears at the end of the ad.
D)   that waste from shooting new commercials be recycled or composted.
E)   an environmental impact report each month.F) C) and E)
G) B) and E)

Question 11

increase the demand for complementary products,the price of a product often is

Accepted Answer

A)   marked up
B)   marked down
C)   off-priced
D)   value-subtracted
E)   maintainedF) B) and E)
G) C) and D)

Question 12

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

Accepted Answer

A)   Hannah's Hardware uses a rack jobber for its hammers.
B)   Fiona's Floral uses a truck jobber for its cut roses.
C)   Sam's Coal Country uses a truck jobber for its subway cars.
D)   Shayna's Superior Supplies uses a desk jobber for its staplers.
E)   Josh's Jackhammers uses a rack jobber for its hard hats.F) A) and C)
G) None of the above

Question 13

Retailers that utilize and integrate a combination of traditional store formats and nonstore formats are referred to as __________.

Accepted Answer

A)   multichannel retailers
B)   scrambled merchandisers
C)   mixed-brand retailers
D)   dual distribution retailers
E)   mixed-channel retailersF) A) and B)
G) A) and C)

Question 14

Sam's Club and Costco are examples of __________.

Accepted Answer

A)   supercenters
B)   hypermarkets
C)   warehouse clubs
D)   single-price retailers
E)   outlet storesF) A) and D)
G) B) and D)

Question 15

Walmart recently introduced "Pick Up Today" service that

Accepted Answer

A)   offers shoppers a virtual reality shopping experience from their home computers.
B)   allows customers to order online and receive free same-day pickup at a local store.
C)   allows customers to place lay-away orders online and keep them at the store until they are fully paid.
D)   allows customers to surf the Internet to compare prices; for those that find a better deal, they can e-mail Walmart and the retailer will honor competitors' lowest price.
E)   allows customers hold online auctions for Walmart overstock or seasonal items that are being discontinued to make room for new inventory.F) None of the above
G) B) and D)

Question 16

Location-based social networking apps such as Foursquare reward customers for

Accepted Answer

A)   using minutes on their mobile phones.
B)   shopping online.
C)   responding to TV ads.
D)   reporting their locations and visiting stores.
E)   answering customer service surveys on their mobile phones.F) A) and E)
G) B) and C)

Question 17

Franchising is a type of __________.

Accepted Answer

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

Question 18

Wholesalers who simply solicit orders from retailers and other wholesalers and have the merchandise shipped directly from a producer to a buyer are referred to as __________.

Accepted Answer

A)   cash and carry wholesalers
B)   rack jobbers
C)   drop shippers
D)   truck jobbers
E)   manufacturer's representativesF) None of the above
G) C) and D)

Question 19

four major types of limited-service merchant wholesalers are rack jobbers,cash and carry wholesalers,truck jobbers,and _________.

Accepted Answer

A)   machine vendors
B)   credit line wholesalers
C)   drop shippers
D)   transport vendors
E)   container transport vendorsF) C) and D)
G) A) and B)

Question 20

Depth of product line refers to

Accepted Answer

A)   the percentage of goods stored as inventory.
B)   the variety of different product a store carries
C)   variations in price and color on specific items in a store.
D)   the number of items available within a product line.
E)   the number of different product classes owned by a corporate chain.F) A) and B)
G) C) and D)

Exam 16: Retailing and Wholesaling

increase the demand for complementary products,the price of a product often is

Correct AnswerverifiedShow Answer

Off-price retailing refers to the

Correct AnswerverifiedShow Answer

Walmart recently introduced "Pick Up Today" service that

Correct AnswerverifiedShow Answer

Franchising is a type of __________.

Correct AnswerverifiedShow Answer

Wholesalers who simply solicit orders from retailers and other wholesalers and have the merchandise shipped directly from a producer to a buyer are referred to as __________.

Correct AnswerverifiedShow Answer

Large strip malls that often have two to five anchor stores,a supermarket,and are designed to bring shoppers on a weekly basis are referred to as

Correct AnswerverifiedShow Answer

four major types of limited-service merchant wholesalers are rack jobbers,cash and carry wholesalers,truck jobbers,and _________.

Correct AnswerverifiedShow Answer

Location-based social networking apps such as Foursquare reward customers for

Correct AnswerverifiedShow Answer

Target has taken the "green" concept to its advertising agency and requires

Correct AnswerverifiedShow Answer

markup refers to

Correct AnswerverifiedShow Answer

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

Correct AnswerverifiedShow Answer

number of U.S.-based retail chains have begun using lines and terminals that do not use clerks.This is an example of what level of retail service?

Correct AnswerverifiedShow Answer

Retailers that utilize and integrate a combination of traditional store formats and nonstore formats are referred to as __________.

Correct AnswerverifiedShow Answer

local Target retailer carries a variety of different items.You can find everything ranging from socks and DVDs to baby items and groceries.This is an example of the __________ carried by Target.

Correct AnswerverifiedShow Answer

Figure 16-10 -According to Figure 16-10 above,"B" represents which stage of the retail life cycle?

Correct AnswerverifiedShow Answer

Sam's Club and Costco are examples of __________.

Correct AnswerverifiedShow Answer

Three common forms of off-price retailers are

Correct AnswerverifiedShow Answer

Home Depot switched its in-store light fixture displays to compact fluorescent light bulbs it saved __________ per year.

Correct AnswerverifiedShow Answer

Depth of product line refers to

Correct AnswerverifiedShow Answer

Retailing refers to all activities involved in the

Correct AnswerverifiedShow Answer

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