Marketing chapter 12
A type of limited-line store that offers one type of product is known as which type of retailer?
Specialty shop
What are two characteristics of a manufacturers' agent? (Check all that apply.)
Receive commissions Sell goods from different manufacturers
In the United States, ____ of all retail operations are classified as small.
85%
What is the name for a company that owns and operates multiple stores?
A corporate chain
What is the term for the type of agents who assume all marketing responsibilities for manufacturers?
Selling agents
Why do some customers say they dislike supercenters?
They are too crowded.
What is the name for the theory that argues that conventional stores are threatened by low-end stores until they, too, become more conventional?
Wheel of retailing
What is the term for companies that sell to other companies, but not directly to consumers?
Wholesalers
Micah needs paper towels and stops at her local Walmart to pick some up. In this instance, Walmart is an example of a ____ store.
brick-and-mortar
A supermarket is a large store that specializes in selling _____.
groceries
Which of the following are common ways in which customers obtain information online about products for purchase? (Check all that apply.)
By reading posted reviews By viewing photos and videos By chatting with a virtual salesclerk
Which of these can be hidden costs customers encounter when shopping online? (Check all that apply.)
Concerns about fraud Handling costs
Which of the following is true?
Different consumers favor different kinds of retailers.
What is the name for warehouses that manufacturers establish that are distinct from their manufacturing facilities?
Manufacturers' sales branches
What is the term for wholesalers who own the goods they sell to others?
Merchant wholesalers
Which two items are most commonly purchased online? (Check all that apply.)
Music Books
Richard told the marketing team that it was imperative for the company to provide a seamless shopping experience within every shopping channel -- online, physical store, and mobile devices. What selling approach is Richard advocating?
Omnichannel
What type of wholesalers change their marketing approaches and focus on their channels?
Progressive
______ wholesalers need to be efficient, but that does mean that their costs will be low.
Progressive
As a demonstration of their innovation in the grocery industry, in a typical year, Frieda's wholesale introduces about ______ new products.
40
Large retail stores that sell more than $5 million annually account for almost ______ of all retail sales in the United States.
75%
What is the term for places where goods are offered and purchased through the use of bids?
Auction companies
Except for the payment required, the activities of service wholesalers resemble the activities of what other type of wholesaler?
Cash-and-carry
What type of wholesalers require their customers to pay for their purchases with cash only?
Cash-and-carry
If customers use booklets to study products and then place their orders online, by phone, or through the mail, they are using the services of what type of wholesalers?
Catalog wholesalers
What are two characteristics associated with warehouse clubs? (Check all that apply.)
Competitive prices Annual membership fee usually paid by customers
What kind of retailer makes it easy for customers to quickly buy products like milk and bread and avoid purchasing these items at a larger retail grocer?
Convenience stores
What is the general name for companies, such as Walmart and Target, that operate more than one retailing site?
Corporate chains
A person who travels to homes to sell Mary Kay cosmetics is engaging in what type of retailing?
Door-to-door
What type of retailing features a salesperson visiting a customer at the place where they live?
Door-to-door
Limited-function wholesalers who sell products but do not touch, store, or ship them are known as what type of wholesalers?
Drop-shippers
What kind of wholesalers do not carry stock, but take orders and give these orders to manufacturers?
Drop-shippers
If a global company needs help understanding the market in different areas of the world, the company can turn to what type of agent?
Export or import
True or false: Companies that collect and analyze big data and respond to an online customer "before the next click" are doing so in order to reach a vast and generalized audience.
False
True or false: The wheel of retailing theory provides accurate explanation for all major retailing developments.
False
Why have some retailers taken their business to other countries?
Limited expansion in their home countries
Wholesalers who engage in certain wholesaling activities (but not all wholesaling activities) are known as what kind of wholesalers?
Limited-function
Which type of retailers offer low prices to sell large quantities of goods quickly?
Mass-merchandisers
Tesco, Walmart, and Amazon.com are known as which type of retailers?
Mass-merchandising
Which of the following is true about retailer strategies?
Retailers have an almost unlimited number of ways to alert their offerings to appeal to a larger market.
Name one advantage of limited-line retailers.
They can focus on specific customers.
What is one advantage that truck wholesalers offer?
They can quickly provide goods before they spoil.
How do supermarkets cut costs?
They require customers to serve themselves.
Why does Amazon.com recommend similar shoes for people who have purchased shoes on its site?
To provide personalized service to consumers
Lawton Convenience stores orders its chips and salty snacks from Harrison Delivery. Harrison Delivery stocks its goods in its own trucks that make the deliveries, which makes it what type of wholesaler?
Truck wholesaler
True or false: Currently, online retail sales are growing at a pace of about 15% a year.
True
True or false: Department stores are usually strong in customer services.
True
True or false: In emerging markets, online sales are almost nonexistent
True
True or false: In emerging markets, online sales are almost nonexistent.
True
Wholesalers who do not possess products themselves but help others with their retail transactions are known as________ wholesalers.
agent
Products that experience quick shifts in supply and demand, such as livestock, are often sold through ______ companies.
auction
Workers known as ______ unite businesses offering goods with businesses purchasing goods.
brokers
Consumers tend to research products before making an online purchase especially when the customer is _____.
buying an item for the first time
A _____ carries a limited stock of items and focuses on making things easy for their customers.
convenience store
The number of wholesalers in the U.S. has ______ in the last 20 years.
declined
Jenna likes to shop at Carson's because it is a big store that has a shoe department, home decor department, women's and men's clothing and more. Carson's is an example of a ______.
department store
After Kroger installed a system to track when more than two customers are waiting in line, it managed to reduce checkout line wait times to _____.
less than 30 seconds
Retailers known as ______-function wholesalers participate in select (but not all) wholesaling activities.
limited
A retailer may be ______, or even declining, in the United States, but only beginning to grow in other countries.
mature
What do service wholesalers do?
perform every wholesaling activity
Place, price, promotion, and _____ are the four components of the marketing mix.
product
Burton's, Inc., is a wholesaler that supplies local sporting goods stores with clothing and footwear. Burton's constantly stays aware of when products are becoming popular in youth sports. Burton's customers are always able to purchase these goods before competing stores sell them. Burton's can be described as a(n) _____ wholesaler.
progressive
It is the job of a ______ to specialize in hard-to-handle product assortments that a retailer doesn't want to manage.
rack jobber
Academy Sports + Outdoors' primary target market is families looking for moderately-priced sports, outdoor, and lifestyle offerings. The company has a website and brick-and-mortar stores in several states. The stores have a self-service design that encourages customers to select products without the help of a salesperson. These traits all represent the ______ of Academy Sports + Outdoors.
retailer strategy
Tom's Bakery sells donuts, cupcakes, and bread—but recently the store began to sell plush toys and bubbles because so many of their customers are children and they felt these items would sell easily. Tom's Bakery is using ______ merchandising.
scrambled
A wholesaler known as a(n) ______ wholesaler participates in every wholesaling function.
service
COncerns about unexpected shipping costs, the quality of the merchandise, rerun policy and personal information security are issues with ______.
shopping online
A broker usually has a _____ relationship with the buyer and seller in a transaction.
temporary
Consumers like to use vending machines because _____.
they are convenient
What are some of the advantages of limited-line retailers? (Check all that apply.)
they can change to adapt to the needs of individual customers They interact with their customers.
Limited-function wholesalers that provide goods that they store in their vehicles are known as ______ wholesalers.
truck
A retailer is more likely to be successful when they ______.
understand why people buy where they do
Kroger has installed special infrared cameras to notify the manager when more than two people are waiting in line. This is an example of ______.
using technology to improve customer service
In the United States, manufacturers' sales branches are classified as _____.
wholesalers
What are two examples of "soft goods" sold by mass-merchandisers? (Check all that apply.)
Housewares Clothing
What is another name for supercenters?
Hypermarkets
What is often one characteristic of new retailing approaches?
If they succeed, other countries will adapt them.
What is the most obvious prerequisite for a consumer to shop online?
Internet access
What type of retailers are still in the market growth stage?
Internet merchants
Kent posts events and activities on the store's Facebook page as a way to draw in customers. Which of the 4 Ps is Kent using?
Promotion
What is the term for retailers, such as Costco and Sam's Club, that offer a limited number of items in their simple yet large stores?
Warehouse club
Smith Electrical Supplies sells primarily to electrical contractors and manufacturing firms with no sales to consumers. What type of function is Smith Electrical Supply practicing?
Wholesaling
What are some common responsibilities of selling agents? (Check all that apply.)
Promoting goods Selling goods
Music Unlimited manages all of the music items for Klein's retail stores. Klein's relies on Music Unlimited to decide which titles to place in the local retail stores and applies that knowledge in other stores. What type of wholesaler is Music Unlimited?
Rack jobber
How has the rise of carriers such as FedEx and UPS affected wholesalers?
It has hurt their business, since manufacturers can send items to customers.
What kind of wholesalers receive commissions for selling multiple manufacturers' goods?
Manufacturers' agents
What two things does a franchise holder receive from a franchise operation?
Marketing help Purchasing strength
What is the name for retailers, such as Target and Walmart, that offer stores with several departments but little customer service?
Mass-merchandisers
Why are stores such as Toys R Us and IKEA known as category killers?
Their focus on certain products hurts their competitors.
Why did general stores decline after the U.S. Civil War?
They did not offer variety within product lines.
What is the status of smaller retail stores in the United States?
They do less business collectively than the larger stores.
What is a characteristic of merchant wholesalers?
They focus on offering specific types of goods.
Which two of the following statements about online retailers are true? (Check all that apply.)
They offer a wide variety of products. They offer low prices to customers who compare prices.
Agents who focus on retail transactions in different countries are known as _____ agents.
export or import
Dunkin' Donuts is an example of a _____.
franchise operation
You would find a wider assortment of products to choose from when shopping at a(n) ____ store.
online
What is the name for the collection of activities in which businesses sell things to buyers?
Retailing
Customers who buy and receive products from vending machines are participating in what type of retailing?
Automatic vending
Which of the following are characteristics of category killers? (Check all that apply.)
Below average prices A focus on specific product types
True or false: Frieda's Wholesale knows that tradition is the key to success and relies on traditional food items to meet the demands of its retail clients.
False
True or false: When using the omnichannel approach, stores focus on service within a single retail channel. True false question.
False
Why do Internet retailers have lower operating costs than brick-and-mortar stores?
Fewer salesclerks
What name was given to retailers who stocked a wide range of products and were the main retailers in the U.S. about 150 years ago?
General stores
Jake's pastry shop sells baked goods and coffee to customers. What process is the company engaged in during these activities?
Retailing
What is the name for merchandisers that carry any goods that they think they can sell profitably?
Scrambled
Anna's Antique Emporium is a small business that sells only mid-century antique furniture. Which type of store is this?
Specialty shop
Which of the following is a reason that some wholesalers have increased operating costs?
They provide specialized attention to some consumers.
True or false: When companies decide to move into an international market, they must adapt their strategy to meet local needs.
True
New retail approaches that succeed in one part of the world are often quickly adapted to other ___________.
countries