Question 1

JP Wholesalers is one of the largest wholesalers of wooden furnishings in the country. Recently, the company opened a chain of stores called JP Designer Homes that has become popular due to the good reputation the company has as a wholesaler. The company has now started acquiring smaller retail chains and consolidating its position in the market. Which of the following trends is reflected in this scenario?

Accepted Answer

A)  the shift toward self-service retailing 
B)  the decline of superstores and megastores 
C)  the decline of the voluntary chain distribution method 
D)  the rise of franchise organizations and joint partnerships 
E)  the blurring of distinctions between retailers and wholesalers

Question 2

Venns is a chain of department stores that has become more focused in recent years and now stocks only exclusive labels of designer home accessories. Venns has transformed itself into a chain of pop-up stores.

Accepted Answer

A) True 
 B)False

Question 3

The retailer's product assortment should be distinguishable and also match target shoppers' expectations.

Accepted Answer

A) True 
 B)False

Question 4

A group of independent retailers that bands together to set up a jointly owned, central wholesale operation and conduct joint merchandising and promotion efforts is referred to as a ________.

Accepted Answer

A)  factory outlet mall 
B)  retailer cooperative 
C)  corporate chain 
D)  warehouse club 
E)  voluntary chain

Question 5

Amex Retail, the country's largest and oldest retail chain, was recently recognized as one of the most influential companies in the United States. The company aims to capitalize on this opportunity by implementing major marketing activities to capture the attention of consumers, politicians, and environmentalists. The company was one of the first to do away with plastic bags, and the public relations division is contemplating the adoption of additional green retailing practices. Would this move reflect sound business tactics? What other measures can Amex Retail take in this direction?

Accepted Answer

The answer of Amex Retail, the country's largest and oldest...

Question 6

The three types of off-price retailers are: independents, factory outlets, and corporate chains.

Accepted Answer

A) True 
 B)False

Question 7

________ includes all the activities involved in selling goods and services to those buying them for resale or business use.

Accepted Answer

A)  Wholesaling 
B)  Sole sourcing 
C)  Franchising 
D)  Crowdsourcing 
E)  Showrooming

Question 8

Pricing decisions of specialty stores are typically based on low markups on a high volume of products.

Accepted Answer

A) True 
 B)False

Question 9

Differentiate between power centers and lifestyle centers.

Accepted Answer

The answer of Differentiate between power centers and lifestyle centers....

Question 10

Dina loves branded apparel and accessories but cannot afford to buy them too often. Fortunately, Dina lives close to an off-price retail store that is owned and operated by a famous brand. The company utilizes this store to sell its surplus, discontinued, or irregular goods at significantly lower costs. The retail store is best referred to as a ________.

Accepted Answer

A)  category killer 
B)  factory outlet 
C)  specialty store 
D)  superstore 
E)  power center

Question 11

Merchant wholesalers are the largest single group of wholesalers, accounting for roughly 50 percent of all wholesaling.

Accepted Answer

A) True 
 B)False

Question 12

The Toby's chain of first-class department stores carries a wide range of product lines, including clothing, jewelry, kitchenware, and home furnishings. Toby's typically charges higher prices on an everyday basis and then holds frequent sales and price promotions to increase store traffic. Toby's most likely uses ________.

Accepted Answer

A)  self-service retailing 
B)  experiential retailing 
C)  high-low pricing 
D)  everyday low pricing 
E)  franchise retailing

Question 13

Jones & Company, a major retail chain across the United States, offers a wide range of consumer goods such as clothing, furniture, home appliances, cosmetics, jewelry, and food. Jones & Company is best described as a ________.

Accepted Answer

A)  supermarket 
B)  department store 
C)  specialty store 
D)  pop-up store 
E)  category killer

Question 14

Electronics Storage is a wholesaler that holds inventories, thereby reducing carrying costs and risks for both suppliers and customers. Which channel function does Electronics Storage primarily provide?

Accepted Answer

A)  showrooming 
B)  assortment building 
C)  warehousing 
D)  financing 
E)  transporting

Question 15

Which type of retailer typically carries deep product assortments of narrow product lines?

Accepted Answer

A)  self-service retailers 
B)  specialty stores 
C)  warehouse clubs 
D)  discount stores 
E)  factory outlets

Question 16

Posco, a limited-service retail chain with 130 stores across the country, is seeking to improve its standing in the market. Since its operations are widespread, altering the store atmosphere significantly is not feasible because of the costs involved. Similarly, upgrading the stores to full-service retail chains would require a large investment of time, effort, and employee training. Assuming that many of Posco's private-label brands are bringing in large revenues, what strategy could Posco Retail use to differentiate itself while matching target shoppers' expectations?

Accepted Answer

The answer of Posco, a limited-service retail chain with 130...

Question 17

Carleese, a leading fashion brand, sets up small temporary boutiques across numerous locations during its year-end sale, promoting its outdated products at half the price. These temporary boutiques are referred to as ________.

Accepted Answer

A)  power centers 
B)  franchises 
C)  shopping centers 
D)  pop-up stores 
E)  category killers

Question 18

Explain how wholesalers have been able to use technology to cut costs.

Accepted Answer

The answer of Explain how wholesalers have been able to...

Question 19

________ represent buyers or sellers on a more permanent basis than brokers.

Accepted Answer

A)  Distributors 
B)  Franchisees 
C)  Agents 
D)  Retailers 
E)  Manufacturers

Question 20

Which of the following is a type of off-price retailer?

Accepted Answer

A)  specialty store 
B)  full-service retailer 
C)  discount store 
D)  warehouse club 
E)  supermarket

Exam 11: Retailing and Wholesaling

Venns is a chain of department stores that has become more focused in recent years and now stocks only exclusive labels of designer home accessories. Venns has transformed itself into a chain of pop-up stores.

The retailer's product assortment should be distinguishable and also match target shoppers' expectations.

A group of independent retailers that bands together to set up a jointly owned, central wholesale operation and conduct joint merchandising and promotion efforts is referred to as a ________.

The three types of off-price retailers are: independents, factory outlets, and corporate chains.

________ includes all the activities involved in selling goods and services to those buying them for resale or business use.

Pricing decisions of specialty stores are typically based on low markups on a high volume of products.

Differentiate between power centers and lifestyle centers.

Merchant wholesalers are the largest single group of wholesalers, accounting for roughly 50 percent of all wholesaling.

Jones & Company, a major retail chain across the United States, offers a wide range of consumer goods such as clothing, furniture, home appliances, cosmetics, jewelry, and food. Jones & Company is best described as a ________.

Electronics Storage is a wholesaler that holds inventories, thereby reducing carrying costs and risks for both suppliers and customers. Which channel function does Electronics Storage primarily provide?

Which type of retailer typically carries deep product assortments of narrow product lines?

Carleese, a leading fashion brand, sets up small temporary boutiques across numerous locations during its year-end sale, promoting its outdated products at half the price. These temporary boutiques are referred to as ________.

Explain how wholesalers have been able to use technology to cut costs.

________ represent buyers or sellers on a more permanent basis than brokers.

Which of the following is a type of off-price retailer?