Question 1

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 her markup in dollar terms?

Accepted Answer

A)  $136
B)  $64
C)  $72
D)  $360
E)  $10F) B) and E)
G) A) and B)

Question 2

There are three general forms of retail ownership: contractual system,independent retailer,and

Accepted Answer

A)  dual ownership.
B)  industry consortium.
C)  retailing cooperative.
D)  multinational cartel.
E)  corporate chain.F) C) and E)
G) A) and D)

Question 3

What is category management and when is it used?

Accepted Answer

Category management is used to manage th...

Question 4

A strip mall is a

Accepted Answer

A)  suburban mall containing up to 100 stores that draws customer from a 5- to 10-mile radius.
B)  cluster of stores in a downtown area.
C)  retail location that typically has one primary store (usually a department store branch) with 20 to 40 smaller outlets serving a population of consumers who are within a 10- to 20-minute drive.
D)  cluster of neighborhood stores designed to serve people within a 5- to 10-minute drive.
E)  collection of category killers usually located outside a major amusement park or attraction.F) None of the above
G) A) and B)

Question 5

Family Dollar,Dollar General,and the Dollar Tree are examples of which type of retailer?

Accepted Answer

A)  warehouse club
B)  hypermarket
C)  outlet store
D)  everyday value retailer
E)  extreme-value retailerF) A) and D)
G) A) and E)

Question 6

Figure 16-9
 
-According to Figure 16-9 above,Box A represents the stage in the wheel of retailing when a retail outlet starts with

Accepted Answer

A)  low prices,high margins,and high status.
B)  mixed prices,mixed margins,and mixed status.
C)  low prices,low margins,and low status.
D)  moderate prices,high margins,and high status.
E)  high prices,low margins,and mixed status.F) C) and D)
G) D) and E)

Question 7

Which type of wholesaler traditionally sells hosiery,toys,and health and beauty items?

Accepted Answer

A)  cash and carry wholesalers
B)  truck jobbers
C)  general merchandise wholesalers
D)  rack jobbers
E)  drop shippersF) C) and E)
G) B) and E)

Question 8

The major difference between an off-price retailer and a discount store is that off-price retailers purchase merchandise from manufacturers ________ and discount stores buy from wholesalers

Accepted Answer

A)  that are trying to offload returned or slightly irregular inventory;selling new but inexpensive merchandise.
B)  at below wholesale prices;and charge a high initial price with the full intent of taking markdowns later.
C)  at below wholesale prices;at full price but take less of a markup.
D)  at various price points;at the lowest price points possible.
E)  that are part of a retailing cooperative;that are part of a wholesaling cooperative.F) D) and E)
G) B) and D)

Question 9

Costco requires customers to perform many shopping functions during the purchasing process and all nonessential customer services have been eliminated.What level of service does Costco offer?

Accepted Answer

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

Question 10

Accelerated development in the retail life cycle is similar to which stage in the product life cycle?

Accepted Answer

A)  introduction
B)  maturity
C)  decline
D)  growth
E)  harvestF) A) and D)
G) None of the above

Question 11

General merchandise stores such as Walmart,Kmart,and Target are usually considered ________ retailers.

Accepted Answer

A)  exclusive-service
B)  minimal-service
C)  self-service
D)  full-service
E)  limited-serviceF) B) and D)
G) B) and C)

Question 12

Figure 16-10
 
-According to Figure 16-10 above,market share reaches its highest level during which stage of the retail life cycle?

Accepted Answer

A)  early growth
B)  accelerated development
C)  decline
D)  maturity
E)  either early growth or maturityF) B) and D)
G) A) and E)

Question 13

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) B) and D)

Question 14

Companies such as Avon,Fuller Brush,Mary Kay,and World Book are examples of firms that use

Accepted Answer

A)  interface marketing.
B)  flex marketing.
C)  direct selling.
D)  interactive selling.
E)  responsive selling.F) A) and B)
G) A) and C)

Question 15

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 E)
G) A) and B)

Question 16

Which of the following retailers is one of the largest hypermarkets in the world?

Accepted Answer

A)  Alibaba
B)  Kroger
C)  Carrefour
D)  Kmart
E)  Home DepotF) B) and E)
G) A) and D)

Question 17

Dick's Sporting Goods is most likely classified as which retail variation based on its considerable assortment (depth) of a related line of items?

Accepted Answer

A)  single-line
B)  full-service
C)  full-line
D)  limited-service
E)  limited-lineF) B) and C)
G) C) and E)

Question 18

One variation of off-price retailing is

Accepted Answer

A)  discount wholesalers.
B)  outlet stores.
C)  discount retailers.
D)  supercenters.
E)  hypermarkets.F) C) and D)
G) B) and E)

Question 19

Which type of outlet is most likely in its early growth stage of the retail life cycle?

Accepted Answer

A)  single-price stores
B)  online retailers
C)  supermarkets
D)  general storesE) B) and C)
F) C) and D)

Question 20

Which method of retail outlet classification is most appropriate for describing franchise operations?

Accepted Answer

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

Exam 16: Retailing and Wholesaling

Accelerated development in the retail life cycle is similar to which stage in the product life cycle?

Correct AnswerverifiedShow Answer

Figure 16-9 -According to Figure 16-9 above,Box A represents the stage in the wheel of retailing when a retail outlet starts with

Correct AnswerverifiedShow Answer

What is category management and when is it used?

Correct AnswerverifiedCategory management is used to manage th...View AnswerShow Answer

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 her markup in dollar terms?

Correct AnswerverifiedShow Answer

Figure 16-10 -According to Figure 16-10 above,market share reaches its highest level during which stage of the retail life cycle?

Correct AnswerverifiedShow Answer

Which type of wholesaler traditionally sells hosiery,toys,and health and beauty items?

Correct AnswerverifiedShow Answer

One variation of off-price retailing is

Correct AnswerverifiedShow Answer

Costco requires customers to perform many shopping functions during the purchasing process and all nonessential customer services have been eliminated.What level of service does Costco offer?

Correct AnswerverifiedShow Answer

Which of the following retailers is one of the largest hypermarkets in the world?

Correct AnswerverifiedShow Answer

The major difference between an off-price retailer and a discount store is that off-price retailers purchase merchandise from manufacturers ________ and discount stores buy from wholesalers

Correct AnswerverifiedShow Answer

Three common forms of off-price retailers are

Correct AnswerverifiedShow Answer

General merchandise stores such as Walmart,Kmart,and Target are usually considered ________ retailers.

Correct AnswerverifiedShow Answer

Companies such as Avon,Fuller Brush,Mary Kay,and World Book are examples of firms that use

Correct AnswerverifiedShow Answer

Which method of retail outlet classification is most appropriate for describing franchise operations?

Correct AnswerverifiedShow Answer

Which type of outlet is most likely in its early growth stage of the retail life cycle?

Correct AnswerverifiedShow Answer

The vertical dimension of the retail positioning matrix is

Correct AnswerverifiedShow Answer

Family Dollar,Dollar General,and the Dollar Tree are examples of which type of retailer?

Correct AnswerverifiedShow Answer

A strip mall is a

Correct AnswerverifiedShow Answer

Dick's Sporting Goods is most likely classified as which retail variation based on its considerable assortment (depth) of a related line of items?

Correct AnswerverifiedShow Answer

There are three general forms of retail ownership: contractual system,independent retailer,and

Correct AnswerverifiedShow Answer

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified
Category management is used to manage th...
View Answer

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified