Question 1

The four major types of limited-service merchant wholesalers are drop shippers, rack jobbers, truck jobbers, and _________.

Accepted Answer

A)  machine vendors
B)  credit line wholesalers
C)  transport vendors
D)  cash and carry wholesalers
E)  container transport vendorsF) All of the above
G) A) and B)

Question 2

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

Accepted Answer

A)  atmosphere.
B)  image.
C)  psychological attributes.
D)  antecedent attributes.
E)  synergistic format.F) B) and D)
G) A) and D)

Question 3

Which of the following statements regarding direct selling is most accurate?

Accepted Answer

A)  Unlike other forms of nonstore retailing, direct selling only takes place in the business market.
B)  Direct selling is found exclusively in the United States.
C)  Direct selling succeeds because it provides customers with convenience and personalized service.
D)  Direct sales have been declining rapidly in the United States since the 1980s.
E)  By definition, direct selling can only take place in a home.F) C) and D)
G) A) and E)

Question 4

Walmart has developed a sophisticated inventory management and cost control system that allows rapid price changes for each product in the store.They also use technologies such as __________ to improve the quality of information available about products.

Accepted Answer

A)  radio frequency identification
B)  encapsulation techniques
C)  bar code scanners
D)  nanotechnology
E)  cookiesF) A) and E)
G) B) and E)

Question 5

Retailing refers to

Accepted Answer

A)  all activities involved in the selling of tangible goods to ultimate consumers for personal, family, or household use.
B)  all activities involved in the selling of tangible goods to ultimate consumers for personal, household, or industrial use.
C)  all activities involved in the selling, renting, leasing, or reselling of goods and services to ultimate consumers or small industrial users.
D)  all activities involved in selling, renting, and providing goods and services to ultimate consumers for personal, family, or household use.
E)  all activities involved in selling, renting, and providing goods and services without taking direct title to the goods.F) A) and B)
G) None of the above

Question 6

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 hamburger joint with low margins, low prices, limited product offerings, and low institutional status to a worldwide chain with higher margins, high status, and a diverse list of products.This evolution of McDonald's restaurants is consistent with the

Accepted Answer

A)  retail cycle.
B)  wheel of retailing.
C)  fast food retail cycle.
D)  evolution of retailing.
E)  restaurant evolutionary cycle.F) D) and E)
G) B) and D)

Question 7

FIGURE 14-11 
-According to Figure 14-11 above, segment "B" represents which stage in the retail life cycle?

Accepted Answer

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

Question 8

The __________ provided by retailers create value for consumers.

Accepted Answer

A)  utilities
B)  logistics
C)  synergies
D)  format
E)  service functionsF) C) and E)
G) B) and D)

Question 9

Savings to the consumer at off-price retailers are reported as high as __________ off the prices of a traditional department store.

Accepted Answer

A)  50%
B)  60%
C)  70%
D)  80%
E)  90%F) All of the above
G) B) and C)

Question 10

FIGURE 14-3 
-Prices in vending machines (see Figure 14-3 above)  tend to be higher because

Accepted Answer

A)  machines are placed in high demand areas.
B)  maintenance and operating costs are high.
C)  only small unit volume items are sold.
D)  customary pricing requires certain coin amounts regardless of markup.
E)  most people do not buy from vending machines.F) C) and D)
G) A) and C)

Question 11

A method of classification that describes retail outlets based on whether individuals, corporate chains, or contractual systems possess the outlet is referred to as _________.

Accepted Answer

A)  product involvement
B)  service level
C)  merchandise line
D)  product assortment
E)  form of ownershipF) B) and E)
G) All of the above

Question 12

A manufacturer's branch office

Accepted Answer

A)  performs a sales function as an option to agents and brokers.
B)  works for several producers and carries noncompetitive, complementary merchandise in an exclusive territory.
C)  takes title to merchandise but sells only to buyers who call on them, pays cash for merchandise, and furnishes their own transportation for the merchandise.
D)  carries a producer's inventory and performs the functions of a full-service wholesaler.
E)  brings buyers and sellers together to make sales.F) A) and C)
G) A) and B)

Question 13

According to the Marketing Dashboard shown in Figure 14-8 above which retailer is growing fastest?

Accepted Answer

A)  Saks
B)  Neiman Marcus
C)  Best Buy
D)  Tiffany
E)  AppleF) A) and E)
G) B) and C)

Question 14

FIGURE 14-4 
-Usage of specialty catalogs, like those from firms like IKEA, Office Depot, and L.L.Bean (see Figure 14-4 above)  have been affected by all of the following factors except:

Accepted Answer

A)  influence of larger retailers has been positive as their marketing activities have increased the number and variety of products consumers purchase through direct mail and catalogs.
B)  higher paper costs, increase in postage rates, and the possibility of the U.S.Postal Service reducing delivery to five days a week.
C)  growing interest in do-not-mail legislation.
D)  concern for "green" mailings and catalogs.
E)  growing influence of television home shopping where consumers order over the telephone.F) A) and B)
G) C) and D)

Question 15

Which of the following statements regarding QVC is most accurate?

Accepted Answer

A)  QVC broadcasts 12 hours a day 365 days a year.
B)  QVC never offers the same product two days in a row.
C)  QVC sells all its items by dropping the price to $1.00 regardless of the product value, if it is not sold in one day.
D)  QVC reaches approximately 166 million households in the U.S., U.K., Germany, Japan, and Italy.
E)  QVC entices customers to "stay tuned" by offering free products to random numbered callers.F) B) and C)
G) A) and E)

Question 16

The battle for market share is usually fought before the __________ stage, and some competitors drop out of the market.

Accepted Answer

A)  decline
B)  growth
C)  maturity
D)  harvest
E)  introduction phaseF) B) and C)
G) A) and E)

Question 17

Vending machines are an example of _________.

Accepted Answer

A)  hypermarkets
B)  direct mail
C)  scrambled merchandising
D)  nonstore retailing
E)  intertype competitionF) B) and C)
G) A) and E)

Question 18

Growth in the direct-selling industry is the result of two trends.First, many direct selling retailers are expanding into markets outside the United States.The second trend is

Accepted Answer

A)  increased gas prices and traffic congestion are causing people to want the store to come to them.
B)  the pendulum is beginning to swing back to more mothers (and fathers)  staying home during the day with children, making direct selling more convenient.
C)  the purchase or lease of real estate to build an actual "brick" retail store is becoming prohibitive.
D)  there are very few jobs for graduating business students; more than 40 percent have sought direct selling positions in the past five years.
E)  there are a growing number of companies that are using direct selling to reach consumers who prefer one-on-one customer service and a social shopping experience rather than online shopping or big discount stores.F) C) and D)
G) A) and B)

Question 19

Wholesalers who own the merchandise they sell but do not physically handle, stock, or deliver it are referred to as _________.

Accepted Answer

A)  cash and carry wholesalers
B)  rack jobbers
C)  drop shippers
D)  truck jobbers
E)  manufacturer's representativesF) C) and E)
G) A) and B)

Question 20

Briefly describe the two general types of franchises.

Accepted Answer

Franchises can be classified in two gene...

Exam 14: Retailing and Wholesaling

Which of the following statements regarding QVC is most accurate?

Correct Answer
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FIGURE 14-11 -According to Figure 14-11 above, segment "B" represents which stage in the retail life cycle?

Correct Answer
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Growth in the direct-selling industry is the result of two trends.First, many direct selling retailers are expanding into markets outside the United States.The second trend is

Correct Answer
verified

The __________ provided by retailers create value for consumers.

Correct Answer
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Wholesalers who own the merchandise they sell but do not physically handle, stock, or deliver it are referred to as _________.

Correct Answer
verified

Correct Answer
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Briefly describe the two general types of franchises.

Correct Answer
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Franchises can be classified in two gene...
View Answer

A manufacturer's branch office

Correct Answer
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A method of classification that describes retail outlets based on whether individuals, corporate chains, or contractual systems possess the outlet is referred to as _________.

Correct Answer
verified

Walmart has developed a sophisticated inventory management and cost control system that allows rapid price changes for each product in the store.They also use technologies such as __________ to improve the quality of information available about products.

Correct Answer
verified

Savings to the consumer at off-price retailers are reported as high as __________ off the prices of a traditional department store.

Correct Answer
verified

Retailing refers to

Correct Answer
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The battle for market share is usually fought before the __________ stage, and some competitors drop out of the market.

Correct Answer
verified

Which of the following statements regarding direct selling is most accurate?

Correct Answer
verified

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

Correct Answer
verified

FIGURE 14-4 -Usage of specialty catalogs, like those from firms like IKEA, Office Depot, and L.L.Bean (see Figure 14-4 above) have been affected by all of the following factors except:

Correct Answer
verified

According to the Marketing Dashboard shown in Figure 14-8 above which retailer is growing fastest?

Correct Answer
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The four major types of limited-service merchant wholesalers are drop shippers, rack jobbers, truck jobbers, and _________.

Correct Answer
verified

Vending machines are an example of _________.

Correct Answer
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FIGURE 14-3 -Prices in vending machines (see Figure 14-3 above) tend to be higher because

Correct Answer
verified

Exam 14: Retailing and Wholesaling

Which of the following statements regarding QVC is most accurate?

Correct AnswerverifiedShow Answer

FIGURE 14-11 -According to Figure 14-11 above, segment "B" represents which stage in the retail life cycle?

Correct AnswerverifiedShow Answer

Growth in the direct-selling industry is the result of two trends.First, many direct selling retailers are expanding into markets outside the United States.The second trend is

Correct AnswerverifiedShow Answer

The __________ provided by retailers create value for consumers.

Correct AnswerverifiedShow Answer

Wholesalers who own the merchandise they sell but do not physically handle, stock, or deliver it are referred to as _________.

Correct AnswerverifiedShow Answer

Correct AnswerverifiedShow Answer

Briefly describe the two general types of franchises.

Correct AnswerverifiedFranchises can be classified in two gene...View AnswerShow Answer

A manufacturer's branch office

Correct AnswerverifiedShow Answer

A method of classification that describes retail outlets based on whether individuals, corporate chains, or contractual systems possess the outlet is referred to as _________.

Correct AnswerverifiedShow Answer

Walmart has developed a sophisticated inventory management and cost control system that allows rapid price changes for each product in the store.They also use technologies such as __________ to improve the quality of information available about products.

Correct AnswerverifiedShow Answer

Savings to the consumer at off-price retailers are reported as high as __________ off the prices of a traditional department store.

Correct AnswerverifiedShow Answer

Retailing refers to

Correct AnswerverifiedShow Answer

The battle for market share is usually fought before the __________ stage, and some competitors drop out of the market.

Correct AnswerverifiedShow Answer

Which of the following statements regarding direct selling is most accurate?

Correct AnswerverifiedShow Answer

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

Correct AnswerverifiedShow Answer

FIGURE 14-4 -Usage of specialty catalogs, like those from firms like IKEA, Office Depot, and L.L.Bean (see Figure 14-4 above) have been affected by all of the following factors except:

Correct AnswerverifiedShow Answer

According to the Marketing Dashboard shown in Figure 14-8 above which retailer is growing fastest?

Correct AnswerverifiedShow Answer

The four major types of limited-service merchant wholesalers are drop shippers, rack jobbers, truck jobbers, and _________.

Correct AnswerverifiedShow Answer

Vending machines are an example of _________.

Correct AnswerverifiedShow Answer

FIGURE 14-3 -Prices in vending machines (see Figure 14-3 above) tend to be higher because

Correct AnswerverifiedShow Answer

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Franchises can be classified in two gene...
View Answer

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