Question 1

_____ occurs when a manufacturer undertakes retailing and wholesaling activities.

Accepted Answer

A)  Merchandising 
B)  Exclusive dealing 
C)  Backward integration 
D)  Horizontal integration 
E)  Forward integration 
A)  Merchandising 
B)  Exclusive dealing 
C)  Backward integration 
D)  Horizontal integration 
E)  Forward integration

Question 2

Samson's is a large clothing retailer.The store offers over 1,000 brands and 50,000 different products.Which of the following value-creating activities can be seen in the given example?

Accepted Answer

A)  Breaking bulk 
B)  Scrambled merchandising 
C)  Vertical integration 
D)  Offering assortments 
E)  Add-on selling 
A)  Breaking bulk 
B)  Scrambled merchandising 
C)  Vertical integration 
D)  Offering assortments 
E)  Add-on selling

Question 3

Which of the following is NOT TRUE of distribution systems of the major international markets?

Accepted Answer

A)  The U.S.distribution system has the greatest retail density and the greatest concentration of large retail firms. 
B)  The Indian distribution systems are characterized by small stores operated by small firms and a large independent wholesale industry. 
C)  In the Chinese distribution system,the merchandise often passes through several levels of distribution to make the daily deliveries to the small retailers efficient. 
D)  Northern European retailing is similar to efficient distribution systems in the U.S. 
E)  Indian and European economic policies are aimed at merging small independent neighborhood retailers with large retail chains. 
A)  The U.S.distribution system has the greatest retail density and the greatest concentration of large retail firms. 
B)  The Indian distribution systems are characterized by small stores operated by small firms and a large independent wholesale industry. 
C)  In the Chinese distribution system,the merchandise often passes through several levels of distribution to make the daily deliveries to the small retailers efficient. 
D)  Northern European retailing is similar to efficient distribution systems in the U.S. 
E)  Indian and European economic policies are aimed at merging small independent neighborhood retailers with large retail chains.

Question 4

Scrambled merchandising increases:

Accepted Answer

A)  vertical integration. 
B)  intertype competition. 
C)  concentric diversification. 
D)  horizontal integration. 
E)  intratype competition. 
A)  vertical integration. 
B)  intertype competition. 
C)  concentric diversification. 
D)  horizontal integration. 
E)  intratype competition.

Question 5

Jenson's is a large retail store in Chicago.It offers credit so that consumers can buy a product and pay for it later.Which of the following value-creating activities is Jenson's undertaking in the given example?

Accepted Answer

A)  Exclusive dealing 
B)  Breaking bulk 
C)  Holding inventory 
D)  Offering assortments 
E)  Providing services 
A)  Exclusive dealing 
B)  Breaking bulk 
C)  Holding inventory 
D)  Offering assortments 
E)  Providing services

Question 6

A _____ is a business that sells products and/or services to consumers for their personal or family use.

Accepted Answer

A)  manufacturer 
B)  wholesaler 
C)  retailer 
D)  distributor 
E)  none of these 
A)  manufacturer 
B)  wholesaler 
C)  retailer 
D)  distributor 
E)  none of these

Question 7

What is the retailer's role in a supply chain?

Accepted Answer

A retailer is a business that sells prod

Question 8

Retailers do not perform traditional business activities.

Accepted Answer

A) True 
 B)False

Question 9

_____ form a part of the microenvironment that influences retail management decisions.

Accepted Answer

A)  Competitors 
B)  Technologies 
C)  Politics 
D)  Legal aspects 
E)  Ethics 
A)  Competitors 
B)  Technologies 
C)  Politics 
D)  Legal aspects 
E)  Ethics

Question 10

The value-creating retail activity that is particularly important to consumers with small living quarters who cannot store a large quantity of products is:

Accepted Answer

A)  providing assortments. 
B)  breaking bulk. 
C)  holding inventory. 
D)  providing services. 
A)  providing assortments. 
B)  breaking bulk. 
C)  holding inventory. 
D)  providing services.

Question 11

Retailers use customer transaction data to:

Accepted Answer

A)  identify their best customers. 
B)  match the needs of a store's local market. 
C)  create customized promotions. 
D)  tailor product assortments. 
E)  all of these. 
A)  identify their best customers. 
B)  match the needs of a store's local market. 
C)  create customized promotions. 
D)  tailor product assortments. 
E)  all of these.

Question 12

Explain the importance of breaking bulk.

Accepted Answer

To reduce transportation costs,manufactu

Question 13

Why is it imperative that manufacturers like HP and Procter and Gamble understand the operations of retailers?

Accepted Answer

A)  To sell directly on-line 
B)  To encourage retailers to offer and promote their products 
C)  To develop strategies for selling without retailers 
D)  Retailers can expect fewer buyouts to occur 
E)  To have a wide assortment of products for customers to choose from 
A)  To sell directly on-line 
B)  To encourage retailers to offer and promote their products 
C)  To develop strategies for selling without retailers 
D)  Retailers can expect fewer buyouts to occur 
E)  To have a wide assortment of products for customers to choose from

Question 14

A retailer's primary competitors are other retailers that:

Accepted Answer

A)  are more vertically integrated. 
B)  use the same type of store format. 
C)  have the same target market. 
D)  sell online. 
A)  are more vertically integrated. 
B)  use the same type of store format. 
C)  have the same target market. 
D)  sell online.

Question 15

Fresh n Fragrant is a chain of flower shops offering a variety of flowers and ornamental plants.It recently opened a distribution center to supply ornamental plants and cut flowers to all its stores within a 300-mile radius.From the given scenario,it can be seen that Fresh n Fragrant is practicing _____.

Accepted Answer

A)  vertical integration 
B)  channel expansion 
C)  horizontal expansion 
D)  horizontal integration 
E)  channel diversification 
A)  vertical integration 
B)  channel expansion 
C)  horizontal expansion 
D)  horizontal integration 
E)  channel diversification

Question 16

A retail mix is developed to:

Accepted Answer

A)  promote scrambled merchandising. 
B)  implement a retail strategy. 
C)  understand the retail market. 
D)  implement vertical integration. 
E)  formulate a retail strategy. 
A)  promote scrambled merchandising. 
B)  implement a retail strategy. 
C)  understand the retail market. 
D)  implement vertical integration. 
E)  formulate a retail strategy.

Question 17

Karen's is a popular clothing store in Boston.The store recently started selling designer watches.Thus,Karen's is practicing _____.

Accepted Answer

A)  channel expansion 
B)  intertype competition 
C)  product diversification 
D)  scrambled merchandising 
E)  vertical differentiation 
A)  channel expansion 
B)  intertype competition 
C)  product diversification 
D)  scrambled merchandising 
E)  vertical differentiation

Question 18

_____ are the most concentrated sector of the retail industry in the U.S.

Accepted Answer

A)  Fitness centers 
B)  Drugstore chains 
C)  Apparel stores 
D)  Home improvement centers 
E)  Food and beverage services 
A)  Fitness centers 
B)  Drugstore chains 
C)  Apparel stores 
D)  Home improvement centers 
E)  Food and beverage services

Question 19

Ethical principles can change over time.

Accepted Answer

A) True 
 B)False

Question 20

Students often view retailing as part of marketing because:

Accepted Answer

A)  retailing does not involve traditional business activities. 
B)  retailing involves the management of distribution systems. 
C)  retailing requires only people with expertise in marketing. 
D)  activities in retailing are confined to advertising and promotion. 
A)  retailing does not involve traditional business activities. 
B)  retailing involves the management of distribution systems. 
C)  retailing requires only people with expertise in marketing. 
D)  activities in retailing are confined to advertising and promotion.

_____ occurs when a manufacturer undertakes retailing and wholesaling activities.

Samson's is a large clothing retailer.The store offers over 1,000 brands and 50,000 different products.Which of the following value-creating activities can be seen in the given example?

Which of the following is NOT TRUE of distribution systems of the major international markets?

Scrambled merchandising increases:

Jenson's is a large retail store in Chicago.It offers credit so that consumers can buy a product and pay for it later.Which of the following value-creating activities is Jenson's undertaking in the given example?

A _____ is a business that sells products and/or services to consumers for their personal or family use.

What is the retailer's role in a supply chain?

Retailers do not perform traditional business activities.

_____ form a part of the microenvironment that influences retail management decisions.

The value-creating retail activity that is particularly important to consumers with small living quarters who cannot store a large quantity of products is:

Retailers use customer transaction data to:

Explain the importance of breaking bulk.

Why is it imperative that manufacturers like HP and Procter and Gamble understand the operations of retailers?

A retailer's primary competitors are other retailers that:

A retail mix is developed to:

Karen's is a popular clothing store in Boston.The store recently started selling designer watches.Thus,Karen's is practicing _____.

_____ are the most concentrated sector of the retail industry in the U.S.

Ethical principles can change over time.

Students often view retailing as part of marketing because:

Types of Retailers

Multichannel Retailing

Customer Buying Behavior

Retail Market Strategy

Financial Strategy

Retail Locations

Retail Site Location

Human Resource Management

Information Systems and Supply Chain Management

Customer Relationship Management

Managing the Merchandise Planning Process

Buying Merchandise

Retail Pricing

Retail Communication Mix

Managing the Store

Store Layout, Design, and Visual Merchandising

Customer Service

Filters

Exam 1: Introduction to the World of Retailing

_____ occurs when a manufacturer undertakes retailing and wholesaling activities.

Samson's is a large clothing retailer.The store offers over 1,000 brands and 50,000 different products.Which of the following value-creating activities can be seen in the given example?

Which of the following is NOT TRUE of distribution systems of the major international markets?

Scrambled merchandising increases:

Jenson's is a large retail store in Chicago.It offers credit so that consumers can buy a product and pay for it later.Which of the following value-creating activities is Jenson's undertaking in the given example?

A _____ is a business that sells products and/or services to consumers for their personal or family use.

What is the retailer's role in a supply chain?

Retailers do not perform traditional business activities.

_____ form a part of the microenvironment that influences retail management decisions.

The value-creating retail activity that is particularly important to consumers with small living quarters who cannot store a large quantity of products is:

Retailers use customer transaction data to:

Explain the importance of breaking bulk.

Why is it imperative that manufacturers like HP and Procter and Gamble understand the operations of retailers?

A retailer's primary competitors are other retailers that:

A retail mix is developed to:

Karen's is a popular clothing store in Boston.The store recently started selling designer watches.Thus,Karen's is practicing _____.

_____ are the most concentrated sector of the retail industry in the U.S.

Ethical principles can change over time.

Students often view retailing as part of marketing because:

Types of Retailers

Multichannel Retailing

Customer Buying Behavior

Retail Market Strategy

Financial Strategy

Retail Locations

Retail Site Location

Human Resource Management

Information Systems and Supply Chain Management

Customer Relationship Management

Managing the Merchandise Planning Process

Buying Merchandise

Retail Pricing

Retail Communication Mix

Managing the Store

Store Layout, Design, and Visual Merchandising

Customer Service

Filters