Question 1

Level of service is used to describe the degree of service provided to the customer.Three levels of service are provided by self-,________,and full-service retailers.

Accepted Answer

A)  limited-
B)  total-
C)  involvement-
D)  obligation-
E)  fixed-F) B) and C)
G) A) and E)

Question 2

Wholly owned extensions of the producer that perform wholesaling activities are referred to as

Accepted Answer

A)  general merchandise wholesalers.
B)  cash and carry wholesalers.
C)  agents and brokers.
D)  manufacturer's branch or sales offices.
E)  merchant wholesalers.F) C) and D)
G) All of the above

Question 3

The difference between the retailer's cost and the initial selling price is referred to as the

Accepted Answer

A)  net margin.
B)  maintained markup.
C)  markdown
D)  differential markup.
E)  original markup.F) D) and E)
G) All of the above

Question 4

Experts suggest that online retailers should think of their websites as ________ if they are to attract and retain customers.

Accepted Answer

A)  cash cows
B)  dynamic billboards
C)  virtual reality stores
D)  traditional retail stores
E)  online entertainmentF) C) and D)
G) None of the above

Question 5

A 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 then multiplied by 100.F) C) and D)
G) B) and D)

Question 6

According to the text,________ provides third-party certification and offers guidance for retailers implementing new environmentally sound practices.

Accepted Answer

A)  the Environmental Protection Agency
B)  the U.S.Chamber of Commerce-Environmental Division
C)  Green Cross International
D)  the U.S.Green Retail Association
E)  Leadership in Energy and Environmental Design (LEE
D)  F) A) and B)
G) A) and C)

Question 7

Your neighborhood dry cleaner or florist is likely to be categorized as an independent retailer.This means it is owned by a(n)

Accepted Answer

A)  individual.
B)  conglomerate.
C)  consortium.
D)  corporate chain.
E)  cooperative.F) A) and E)
G) None of the above

Question 8

At the Christmas Tree Shop,customers can shop for Christmas gifts and decor at any time of the year.What type of utility does this store provide for its customers?

Accepted Answer

A)  place and conformance
B)  possession and form
C)  form
D)  performance
E)  timeF) A) and E)
G) B) and E)

Question 9

Retailers that advocate an everyday fair pricing strategy may not offer the lowest prices but try to create value for customers using which of these?

Accepted Answer

A)  customer service
B)  product benefits
C)  convenience
D)  perceived quality
E)  maintained priceF) All of the above
G) B) and D)

Question 10

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

Accepted Answer

A)  administered system
B)  conglomerate system
C)  franchise system
D)  vertical integrated system
E)  retail-sponsored cooperativeF) C) and D)
G) A) and E)

Question 11

A central business district refers to

Accepted Answer

A)  a suburban mall that contains up to 100 stores and draws customer from 5 to 10 miles away.
B)  the oldest retailing setting,located in a community's downtown area.
C)  a retail location that typically has one primary store and about 20 to 40 smaller outlets,and serves a population base of about 100,000.
D)  a cluster of stores that serves people who are within a 5- to 10-minute drive and serves a population base of under 30,000.
E)  a collection of large stores over 100,000 square feet that offers a mix of about 40 percent food products and 60 percent general merchandise items.F) A) and E)
G) A) and B)

Question 12

A retailer bought a collectible Precious Moments figurine for $26.She sets the initial selling price at $60.The final selling price was $52.What was the maintained markup?

Accepted Answer

A)  $112
B)  $52
C)  $26
D)  $34
E)  $86F) B) and D)
G) All of the above

Question 13

The description of how new forms of retail outlets enter the market is referred to as the

Accepted Answer

A)  retail life cycle.
B)  product life cycle.
C)  wheel of retailing.
D)  retail life matrix.
E)  retail continuum.F) All of the above
G) B) and C)

Question 14

One way neighborhood grocers can take advantage of volume discounts commonly available to corporate chains is to

Accepted Answer

A)  purchase a franchise membership.
B)  become a subsidiary of a larger supermarket chain such as Kroger.
C)  join a professional merchant association and hire food brokers to negotiate lower prices for produce and dry goods.
D)  create a grocery networking system to exchange coupon vouchers.
E)  participate in a retailer-sponsored cooperative with other independent grocers.F) A) and B)
G) A) and C)

Question 15

In response to the changes in the United States,many direct sellers are implementing a ________ strategy by expanding into other countries with their current product lines.

Accepted Answer

A)  market development
B)  market penetration
C)  accelerated development
D)  product development
E)  diversificationF) None of the above
G) A) and B)

Question 16

Many fast-food retailers,including McDonald's and Burger King,have followed a predictable pattern of how new forms of retail outlets enter the marketplace.McDonald's has evolved from a relatively simple restaurant with low margins,low prices,limited product offerings,and low institutional status to a worldwide chain with higher margins,high status,and a diverse menu of products.This evolution of McDonald's restaurants is consistent with the

Accepted Answer

A)  slow to fast-food restaurant evolutionary cycle.
B)  revolution of retailing.
C)  retail life cycle.
D)  fast-food retail sequence.
E)  wheel of retailing.F) B) and D)
G) D) and E)

Question 17

All of the following are forms of nonstore retailing except which?

Accepted Answer

A)  direct selling
B)  television home shopping
C)  factory outlets
D)  online retailing
E)  telemarketingF) A) and D)
G) A) and E)

Question 18

The wholesalers that perform all channel functions and are found in the health foods,automotive parts,and seafood industries would be

Accepted Answer

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

Question 19

Which type of store gives shoppers the greatest variety of merchandise?

Accepted Answer

A)  a hypermarket
B)  a specialty clothing store
C)  a limited-line gift store
D)  a clothing outlet
E)  a discount storeF) None of the above
G) C) and D)

Question 20

Saks Fifth Avenue is an upscale retailer that offers designer brand women's apparel,fragrances,jewelry,and leather accessories.The retailer relies on superior service to sell its products and to retain its customers.Saks Fifth Avenue would be classified as a(n)

Accepted Answer

A)   exclusive-service retailer.
B)   limited-service retailer.
C)   full-service retailer.
D)   premium-service retailer.
E)   semi-service retailer.F) A) and C)
G) None of the above

Exam 16: Retailing and Wholesaling

Correct Answer
verified

In response to the changes in the United States,many direct sellers are implementing a ________ strategy by expanding into other countries with their current product lines.

Correct Answer
verified

The description of how new forms of retail outlets enter the market is referred to as the

Correct Answer
verified

A markup refers to

Correct Answer
verified

Your neighborhood dry cleaner or florist is likely to be categorized as an independent retailer.This means it is owned by a(n)

Correct Answer
verified

Experts suggest that online retailers should think of their websites as ________ if they are to attract and retain customers.

Correct Answer
verified

The difference between the retailer's cost and the initial selling price is referred to as the

Correct Answer
verified

At the Christmas Tree Shop,customers can shop for Christmas gifts and decor at any time of the year.What type of utility does this store provide for its customers?

Correct Answer
verified

According to the text,________ provides third-party certification and offers guidance for retailers implementing new environmentally sound practices.

Correct Answer
verified

One way neighborhood grocers can take advantage of volume discounts commonly available to corporate chains is to

Correct Answer
verified

Wholly owned extensions of the producer that perform wholesaling activities are referred to as

Correct Answer
verified

All of the following are forms of nonstore retailing except which?

Correct Answer
verified

Level of service is used to describe the degree of service provided to the customer.Three levels of service are provided by self-,________,and full-service retailers.

Correct Answer
verified

The wholesalers that perform all channel functions and are found in the health foods,automotive parts,and seafood industries would be

Correct Answer
verified

Which type of store gives shoppers the greatest variety of merchandise?

Correct Answer
verified

A central business district refers to

Correct Answer
verified

Saks Fifth Avenue is an upscale retailer that offers designer brand women's apparel,fragrances,jewelry,and leather accessories.The retailer relies on superior service to sell its products and to retain its customers.Saks Fifth Avenue would be classified as a(n)

Correct Answer
verified

Retailers that advocate an everyday fair pricing strategy may not offer the lowest prices but try to create value for customers using which of these?

Correct Answer
verified

A retailer bought a collectible Precious Moments figurine for $26.She sets the initial selling price at $60.The final selling price was $52.What was the maintained markup?

Correct Answer
verified

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

Correct Answer
verified

Exam 16: Retailing and Wholesaling

Correct AnswerverifiedShow Answer

In response to the changes in the United States,many direct sellers are implementing a ________ strategy by expanding into other countries with their current product lines.

Correct AnswerverifiedShow Answer

The description of how new forms of retail outlets enter the market is referred to as the

Correct AnswerverifiedShow Answer

A markup refers to

Correct AnswerverifiedShow Answer

Your neighborhood dry cleaner or florist is likely to be categorized as an independent retailer.This means it is owned by a(n)

Correct AnswerverifiedShow Answer

Experts suggest that online retailers should think of their websites as ________ if they are to attract and retain customers.

Correct AnswerverifiedShow Answer

The difference between the retailer's cost and the initial selling price is referred to as the

Correct AnswerverifiedShow Answer

At the Christmas Tree Shop,customers can shop for Christmas gifts and decor at any time of the year.What type of utility does this store provide for its customers?

Correct AnswerverifiedShow Answer

According to the text,________ provides third-party certification and offers guidance for retailers implementing new environmentally sound practices.

Correct AnswerverifiedShow Answer

One way neighborhood grocers can take advantage of volume discounts commonly available to corporate chains is to

Correct AnswerverifiedShow Answer

Wholly owned extensions of the producer that perform wholesaling activities are referred to as

Correct AnswerverifiedShow Answer

All of the following are forms of nonstore retailing except which?

Correct AnswerverifiedShow Answer

Level of service is used to describe the degree of service provided to the customer.Three levels of service are provided by self-,________,and full-service retailers.

Correct AnswerverifiedShow Answer

The wholesalers that perform all channel functions and are found in the health foods,automotive parts,and seafood industries would be

Correct AnswerverifiedShow Answer

Which type of store gives shoppers the greatest variety of merchandise?

Correct AnswerverifiedShow Answer

A central business district refers to

Correct AnswerverifiedShow Answer

Saks Fifth Avenue is an upscale retailer that offers designer brand women's apparel,fragrances,jewelry,and leather accessories.The retailer relies on superior service to sell its products and to retain its customers.Saks Fifth Avenue would be classified as a(n)

Correct AnswerverifiedShow Answer

Retailers that advocate an everyday fair pricing strategy may not offer the lowest prices but try to create value for customers using which of these?

Correct AnswerverifiedShow Answer

A retailer bought a collectible Precious Moments figurine for $26.She sets the initial selling price at $60.The final selling price was $52.What was the maintained markup?

Correct AnswerverifiedShow Answer

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

Correct AnswerverifiedShow Answer

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verified

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