Question 1

Nordstrom Rack and the Gap Factory Store allow retailers to sell excess merchandise and still maintain an image of offering merchandise at full price in their primary stores. These are referred to as

Accepted Answer

A)   extreme value retailers.
B)   warehouse clubs.
C)   discount houses.
D)   outlet stores.
E)   community shopping centers.F) All of the above
G) None of the above

Question 2

During which stage of the retail life cycle do companies establish multiple outlets?

Accepted Answer

A)   decline
B)   maturity
C)   accelerated development
D)   introduction
E)   early growthF) B) and E)
G) A) and E)

Question 3

The horizontal dimension of the retail positioning matrix is

Accepted Answer

A)   market growth.
B)   value added.
C)   relative market share.
D)   retail sales.
E)   stage in the retail life cycle.F) C) and D)
G) All of the above

Question 4

A business in Kansas City, Missouri, looking to rent office space should use ________ to help it locate the most suitable space at the best possible rate.

Accepted Answer

A)   a selling agent
B)   a manufacturer's representative
C)   a manufacturer's agent
D)   an administrator
E)   a brokerF) A) and D)
G) B) and C)

Question 5

Briefly describe the three ways retail outlets can be classified.

Accepted Answer

Retail outlets can be classified in thre...

Question 6

Explain the difference between full-service and limited-service merchant wholesalers. List and describe the types of wholesalers that belong in each category.

Accepted Answer

Merchant wholesalers are classified eith...

Question 7

Store layout, colors, lighting, and music are all considered part of a store's retail

Accepted Answer

A)   sensory management plan.
B)   measurable attributes.
C)   antecedent attributes.
D)   emotive appeal.
E)   atmosphere.F) A) and B)
G) B) and E)

Question 8

What is off-price retailing? Identify and give an example of the three variations of off-price retailing.

Accepted Answer

Off-price retailing involves selling bra...

Question 9

Explain how the wheel of retailing works.

Accepted Answer

The wheel of retailing describes how new...

Question 10

The four stages of the retail life cycle are

Accepted Answer

A)   introduction, growth, maturity, and decline.
B)   awareness, inquiry, alternative evaluation, and purchase.
C)   early growth, accelerated development, maturity, and decline.
D)   innovation, standardization, adaptation, and obsolescence.
E)   innovation, adaptation, imitation, and obsolescence.F) None of the above
G) C) and E)

Question 11

________ can benefit retailers by helping them to predict shopping behavior, provide personalized, real-time messaging and promotions, and track customer needs.

Accepted Answer

A)   Data analytics
B)   Brokers
C)   Telemarketing
D)   Multichannel retailing
E)   Shopper marketingF) B) and D)
G) A) and E)

Question 12

An approach to managing the assortment of merchandise in which a manager is assigned the responsibility for selecting all products that consumers in a market segment might view as substitutes for each other, with the objective of maximizing sales and profits in the category, is referred to as

Accepted Answer

A)   category capacity.
B)   product management.
C)   retail inventory category.
D)   category management.
E)   automated inventory control.F) D) and E)
G) C) and E)

Question 13

Another name for an extreme-value retailer is

Accepted Answer

A)   specialty outlet.
B)   single-price retailer.
C)   hypermarket.
D)   outlet store.
E)   warehouse club.F) C) and D)
G) A) and D)

Question 14

Discounting a product when the product does not sell at the original price is referred to as

Accepted Answer

A)   an inverse markup.
B)   a markdown.
C)   price sensitivity.
D)   concession pricing.
E)   a rebate.F) All of the above
G) D) and E) B

Question 15

Which of the following stores are most likely to be anchor stores at a regional shopping center?

Accepted Answer

A)   Old Navy, Abercrombie & Fitch, and Sephora
B)   Hickory Farms, a locally owned jewelry store, and McDonald's
C)   an antique store, Dollar General, and a bakery
D)   Dick's Sporting Goods, Macy's, and JCPenney
E)   a Hallmark shop, a sporting goods consignment store, and a Barnes & Noble bookstoreF) D) and E)
G) A) and C) D

Question 16

The acronym RFID stands for

Accepted Answer

A)   retail franchise identification designation.
B)   required financial identification.
C)   radar frequency identification.
D)   radio frequency identification.
E)   retail federation of independent department stores.F) A) and E)
G) C) and D)

Question 17

Stores that carry tremendous depth in one primary line of merchandise are referred to as

Accepted Answer

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

Question 18

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

Accepted Answer

Vending machine maintenance, o...

Question 19

Originally, filters for Mr. Coffee electric-drip coffeemakers were sold through appliance and mass merchandise stores. If the company decided to sell the filters in grocery stores where customers purchased their coffee, what type of intermediaries would the company most likely hire?

Accepted Answer

A)   a full-line wholesaler
B)   a drop shipper
C)   a food broker
D)   a truck jobber
E)   a manufacturer's representativeF) A) and D)
G) C) and D)

Question 20

Sam's Club and Costco are examples of

Accepted Answer

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

Exam 16: Retailing and Wholesaling

Nordstrom Rack and the Gap Factory Store allow retailers to sell excess merchandise and still maintain an image of offering merchandise at full price in their primary stores. These are referred to as

Correct AnswerverifiedShow Answer

During which stage of the retail life cycle do companies establish multiple outlets?

Correct AnswerverifiedShow Answer

The horizontal dimension of the retail positioning matrix is

Correct AnswerverifiedShow Answer

A business in Kansas City, Missouri, looking to rent office space should use ________ to help it locate the most suitable space at the best possible rate.

Correct AnswerverifiedShow Answer

Briefly describe the three ways retail outlets can be classified.

Correct AnswerverifiedRetail outlets can be classified in thre...View AnswerShow Answer

Explain the difference between full-service and limited-service merchant wholesalers. List and describe the types of wholesalers that belong in each category.

Correct AnswerverifiedMerchant wholesalers are classified eith...View AnswerShow Answer

Store layout, colors, lighting, and music are all considered part of a store's retail

Correct AnswerverifiedShow Answer

What is off-price retailing? Identify and give an example of the three variations of off-price retailing.

Correct AnswerverifiedOff-price retailing involves selling bra...View AnswerShow Answer

Explain how the wheel of retailing works.

Correct AnswerverifiedThe wheel of retailing describes how new...View AnswerShow Answer

The four stages of the retail life cycle are

Correct AnswerverifiedShow Answer

________ can benefit retailers by helping them to predict shopping behavior, provide personalized, real-time messaging and promotions, and track customer needs.

Correct AnswerverifiedShow Answer

An approach to managing the assortment of merchandise in which a manager is assigned the responsibility for selecting all products that consumers in a market segment might view as substitutes for each other, with the objective of maximizing sales and profits in the category, is referred to as

Correct AnswerverifiedShow Answer

Another name for an extreme-value retailer is

Correct AnswerverifiedShow Answer

Discounting a product when the product does not sell at the original price is referred to as

Correct AnswerverifiedB

Which of the following stores are most likely to be anchor stores at a regional shopping center?

Correct AnswerverifiedD

The acronym RFID stands for

Correct AnswerverifiedShow Answer

Stores that carry tremendous depth in one primary line of merchandise are referred to as

Correct AnswerverifiedE

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

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

Originally, filters for Mr. Coffee electric-drip coffeemakers were sold through appliance and mass merchandise stores. If the company decided to sell the filters in grocery stores where customers purchased their coffee, what type of intermediaries would the company most likely hire?

Correct AnswerverifiedShow Answer

Sam's Club and Costco are examples of

Correct AnswerverifiedShow Answer

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Retail outlets can be classified in thre...
View Answer

Correct Answer
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Merchant wholesalers are classified eith...
View Answer

Correct Answer
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Correct Answer
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Off-price retailing involves selling bra...
View Answer

Correct Answer
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The wheel of retailing describes how new...
View Answer

Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
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B

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D

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E

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Vending machine maintenance, o...
View Answer

Correct Answer
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Correct Answer
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