Exam 4: Retail Institutions by Ownership

Which vertical marketing system allows a firm to utilize different wholesale and retail channels of distribution?

Specialization of personnel by functional area and/or geographic region is most likely to occur in what type of retail institution?

Data for the Census of Retail Trade is collected and published twice in each decade.

Leased departments generally occur in product categories involving substantial retailer investments.

Chain store efficiency in multiple-store operations can be significantly reduced by ________.

The major difference in the role of a franchisee between a product/trademark and a business format franchise is that in a product/trademark franchise,the franchisee has ________.

A manufacturer with low company resources which seeks intensive distribution should utilize which vertical marketing system?

The type of retailer with the largest percent of total retail franchise sales is ________.

An independent can increase its bargaining power with a supplier by ________.

Approximately 70 percent of all retail stores are operated by independents.

a.Under what conditions would you recommend that a department store lease space to a leased department operator such as a fur salon? b.How can the department store safeguard its interests? Explain your answer.

Cancellation provisions,requirements that purchases be made from approved vendors,and standard operating procedures contribute to ________ for franchisees.

A major competitive advantage of independent retailers is ________.

Fair practice laws have been designed to protect franchisees from unreasonable ________ from franchisors.

Decision making is usually centralized and the levels of management personnel are minimized in which retail institution?

a.Under what conditions would you recommend that a manufacturer utilize an independent vertical marketing system? b.Under what conditions would you recommend that a manufacturer utilize dual marketing?

While retailing is dominated by independents in terms of percent of retail units,it is dominated by chains in terms of retail sales dollars.Explain this statement through the concepts of ease of entry and the competitive advantages and disadvantages of chains versus independents.

A franchisee operating at two retail locations can be classified as either a chain or as a franchise,but not both.

Three types of structural arrangements involving retail franchises exist: manufacturer-retailer,wholesaler-retailer,and service sponsor-retailer.

The overall process whereby one member of a channel dominates the decisions made in the channel due to the power it possesses is referred to as ________.