Question 1

A major difference between the sale of complementary goods/services versus the sale of substitute goods is that the sale of substitute goods may _____.

Accepted Answer

A) have little impact on total retail sales 
B) increase inventory turnover 
C) give a retailer a one-stop shopping environment 
D) provide a weak retail image 
A) have little impact on total retail sales 
B) increase inventory turnover 
C) give a retailer a one-stop shopping environment 
D) provide a weak retail image A

Question 2

Sheets,towels,and bedding for a department store are most accurately characterized as _____ merchandise.

Accepted Answer

A) seasonal 
B) fashion 
C) staple 
D) fad 
A) seasonal 
B) fashion 
C) staple 
D) fad C

Question 3

For staple merchandise,assortment planning is conducted with the use of a basic stock list.

Accepted Answer

A) True 
 B)False  True

Question 4

Informal buying organizations are generally found in _____.

Accepted Answer

A) chains 
B) department stores 
C) independents 
D) variety stores 
A) chains 
B) department stores 
C) independents 
D) variety stores

Question 5

The major difference between the descriptions of goods in a basic stock list and in a model stock plan is the _____.

Accepted Answer

A) size distribution 
B) amount of goods purchased 
C) extent to which descriptions change period to period 
D) seasonality inherent in a basic stock list 
A) size distribution 
B) amount of goods purchased 
C) extent to which descriptions change period to period 
D) seasonality inherent in a basic stock list

Question 6

Scrambled merchandising is an extension of cross-merchandising.

Accepted Answer

A) True 
 B)False

Question 7

Direct product profitability equals an item's _____.

Accepted Answer

A) annual sales divided by the total linear footage devoted to a product category 
B) gross profit less its direct retailing costs 
C) annual gross profit divided by the total linear footage devoted to the item 
D) number of days' supply that is on the shelf 
A) annual sales divided by the total linear footage devoted to a product category 
B) gross profit less its direct retailing costs 
C) annual gross profit divided by the total linear footage devoted to the item 
D) number of days' supply that is on the shelf

Question 8

The battle of the brands refers to the _____.

Accepted Answer

A) competition that occurs among manufacturer,private,and generic brands 
B) price competition between domestic and foreign goods 
C) increased competition for shelf space between private and generic brands 
D) increased competition within a brand due to product line extensions 
A) competition that occurs among manufacturer,private,and generic brands 
B) price competition between domestic and foreign goods 
C) increased competition for shelf space between private and generic brands 
D) increased competition within a brand due to product line extensions

Question 9

On average,a retailer keeps 15 days worth of average sales in inventory on hand.It takes the supplier 10 days to deliver merchandise;therefore,the retailer has up to 5 days to process and order (or risk being out-of-stock).

Accepted Answer

A) True 
 B)False

Question 10

A vertical fashion trend assumes that _____.

Accepted Answer

A) a fashion is passed from the upscale customers to the mass market 
B) New York is the fashion capital of the world 
C) innovative customers may come from any social class 
D) merchandise must be sold across the social class spectrum 
A) a fashion is passed from the upscale customers to the mass market 
B) New York is the fashion capital of the world 
C) innovative customers may come from any social class 
D) merchandise must be sold across the social class spectrum

Question 11

While a fad generates sales for only a short time period,an extended fad's residual sales can continue for a long time (but at a fraction of early sales).

Accepted Answer

A) True 
 B)False

Question 12

In which product life-cycle stage do product sales reach their maximum?

Accepted Answer

A) growth 
B) introduction 
C) maturity 
D) decline 
A) growth 
B) introduction 
C) maturity 
D) decline

Question 13

What type of products sell well over nonconsecutive time periods?

Accepted Answer

A) fashion merchandise 
B) seasonal merchandise 
C) assortment merchandise 
D) fad merchandise 
A) fashion merchandise 
B) seasonal merchandise 
C) assortment merchandise 
D) fad merchandise

Question 14

The major difference between vertical and horizontal fashion trends is based on _____.

Accepted Answer

A) the initial group which accepts the trend 
B) whether the product changes form 
C) the initial group which accepts the trend and whether the product changes form 
D) the degree of fashion innovativeness 
A) the initial group which accepts the trend 
B) whether the product changes form 
C) the initial group which accepts the trend and whether the product changes form 
D) the degree of fashion innovativeness

Question 15

A limited target market consisting of high-income and innovative consumers exists in which stage of the product life cycle?

Accepted Answer

A) decline 
B) growth 
C) maturity 
D) introduction 
A) decline 
B) growth 
C) maturity 
D) introduction

Question 16

Strong private (dealer)brands enable retailers to exercise greater channel control over manufacturers and wholesalers.

Accepted Answer

A) True 
 B)False

Question 17

Variations of a basic product first appear and width and depth of assortment expand in which product life-cycle stage?

Accepted Answer

A) introduction 
B) growth 
C) maturity 
D) decline 
A) introduction 
B) growth 
C) maturity 
D) decline

Question 18

According to a category management classification,a product with high profitability but low unit sales would be classified as a _____.

Accepted Answer

A) traffic builder 
B) problem child 
C) sleeper 
D) dog 
A) traffic builder 
B) problem child 
C) sleeper 
D) dog

Question 19

Personnel in a retail chain are specialists overseeing either buying or selling.This firm has a _____ philosophy.

Accepted Answer

A) decentralized 
B) centralized 
C) merchandising 
D) buying 
A) decentralized 
B) centralized 
C) merchandising 
D) buying

Question 20

Retail price competition is generally greatest in which stage of the traditional product life cycle?

Accepted Answer

A) introduction 
B) competition 
C) growth 
D) maturity 
A) introduction 
B) competition 
C) growth 
D) maturity

A major difference between the sale of complementary goods/services versus the sale of substitute goods is that the sale of substitute goods may _____.

Sheets,towels,and bedding for a department store are most accurately characterized as _____ merchandise.

For staple merchandise,assortment planning is conducted with the use of a basic stock list.

Informal buying organizations are generally found in _____.

The major difference between the descriptions of goods in a basic stock list and in a model stock plan is the _____.

Scrambled merchandising is an extension of cross-merchandising.

Direct product profitability equals an item's _____.

The battle of the brands refers to the _____.

On average,a retailer keeps 15 days worth of average sales in inventory on hand.It takes the supplier 10 days to deliver merchandise;therefore,the retailer has up to 5 days to process and order (or risk being out-of-stock).

A vertical fashion trend assumes that _____.

While a fad generates sales for only a short time period,an extended fad's residual sales can continue for a long time (but at a fraction of early sales).

In which product life-cycle stage do product sales reach their maximum?

What type of products sell well over nonconsecutive time periods?

The major difference between vertical and horizontal fashion trends is based on _____.

A limited target market consisting of high-income and innovative consumers exists in which stage of the product life cycle?

Strong private (dealer)brands enable retailers to exercise greater channel control over manufacturers and wholesalers.

Variations of a basic product first appear and width and depth of assortment expand in which product life-cycle stage?

According to a category management classification,a product with high profitability but low unit sales would be classified as a _____.

Personnel in a retail chain are specialists overseeing either buying or selling.This firm has a _____ philosophy.

Retail price competition is generally greatest in which stage of the traditional product life cycle?

An Introduction to Retailing

Building and Sustaining Relationships in Retailing

Strategic Planning in Retailing

Retail Institutions by Ownership

Retail Institutions by Store-Based Strategy

Web, Nonstore-Based, and Other Forms of Nontraditional Retailing

Identifying and Understanding Consumers

Information Gathering and Processing in Retailing

Trading-Area Analysis

Site Selection

Retail Organization and Human Resource Management

Operations Management: Financial Dimensions

Operations Management: Operational Dimensions

Implementing Merchandise

Financial Merchandise Management

Pricing in Retailing

Establishing and Maintaining a Retail Image

Promotional Strategy

Integrating and Controlling the Retail Strategy

Filters

Exam 14: Developing Merchandise Plans

A major difference between the sale of complementary goods/services versus the sale of substitute goods is that the sale of substitute goods may _____.

Sheets,towels,and bedding for a department store are most accurately characterized as _____ merchandise.

For staple merchandise,assortment planning is conducted with the use of a basic stock list.

Informal buying organizations are generally found in _____.

The major difference between the descriptions of goods in a basic stock list and in a model stock plan is the _____.

Scrambled merchandising is an extension of cross-merchandising.

Direct product profitability equals an item's _____.

The battle of the brands refers to the _____.

On average,a retailer keeps 15 days worth of average sales in inventory on hand.It takes the supplier 10 days to deliver merchandise;therefore,the retailer has up to 5 days to process and order (or risk being out-of-stock).

A vertical fashion trend assumes that _____.

While a fad generates sales for only a short time period,an extended fad's residual sales can continue for a long time (but at a fraction of early sales).

In which product life-cycle stage do product sales reach their maximum?

What type of products sell well over nonconsecutive time periods?

The major difference between vertical and horizontal fashion trends is based on _____.

A limited target market consisting of high-income and innovative consumers exists in which stage of the product life cycle?

Strong private (dealer)brands enable retailers to exercise greater channel control over manufacturers and wholesalers.

Variations of a basic product first appear and width and depth of assortment expand in which product life-cycle stage?

According to a category management classification,a product with high profitability but low unit sales would be classified as a _____.

Personnel in a retail chain are specialists overseeing either buying or selling.This firm has a _____ philosophy.

Retail price competition is generally greatest in which stage of the traditional product life cycle?

An Introduction to Retailing

Building and Sustaining Relationships in Retailing

Strategic Planning in Retailing

Retail Institutions by Ownership

Retail Institutions by Store-Based Strategy

Web, Nonstore-Based, and Other Forms of Nontraditional Retailing

Identifying and Understanding Consumers

Information Gathering and Processing in Retailing

Trading-Area Analysis

Site Selection

Retail Organization and Human Resource Management

Operations Management: Financial Dimensions

Operations Management: Operational Dimensions

Implementing Merchandise

Financial Merchandise Management

Pricing in Retailing

Establishing and Maintaining a Retail Image

Promotional Strategy

Integrating and Controlling the Retail Strategy

Filters