MKG 300 CH 12

181. (p. 336) A limited-line store is to a single-line store as A. a tennis shop is to a sporting goods store. B. a paint store is to a drugstore. C. quality is to price. D. a CD and tape store is to a movie theater. E. full service is to self-service.

A

219. (p. 339) Supercenters are also known as A. hypermarkets. B. mass-merchandisers. C. discount houses. D. supermarkets. E. single-line mass merchandisers.

A

310. (p. 351) Which of the following is NOT a full-service merchant wholesaler? A. Broker B. Single-line wholesaler C. General-line wholesaler D. General merchandise wholesaler E. Specialty wholesaler

A

356. (p. 353-354) Which of the following is NOT an agent wholesaler? A. A drop-shipper B. An auction company C. A selling agent D. A broker E. A manufacturers' agent

A

169. (p. 334-335) When a department store manager decides to make a personal shopper available to its career-oriented female shoppers, this is a decision about: A. Product B. Place C. Promotion D. Price

A`

171. (p. 334-335) When a supermarket manager decides to offer online ordering at the store's Web site, this is a decision about: A. Product B. Place C. Promotion D. Price

B

202. (p. 337) Compared to conventional retailers, which of the following types of retailers offer a wider product assortment but less service? A. Convenience stores. B. Supermarkets. C. Telephone order retailers. D. Department stores. E. Limited-line stores.

B

239. (p. 340) Identify the characteristics of vending machines and door-to-door retailing. A. Expanded assortment, reduced margins, and more information. B. Added convenience and higher than conventional margins, usually reduced assortment. C. Expanded assortment and/or reduced margins and service. D. Expanded assortment and service. E. Expanded assortment and service, and more information.

B

324. (p. 352) Which of the following is NOT a limited function merchant wholesaler? A. A truck wholesaler B. A general-line wholesaler C. A rack jobber D. A drop-shipper E. A catalog wholesaler

B

343. (p. 353) A grocery store or mass-merchandiser might rely on a _____ to decide which paperback books or magazines it sells. A. catalog wholesaler B. rack jobber C. truck wholesaler D. drop-shipper E. specialty wholesaler

B

352. (p. 353) The main difference between agent wholesalers and merchant wholesalers is: A. the kind of selling they do. B. that agent wholesalers do not own the products they sell--while merchant wholesalers do. C. that no agent wholesalers physically handle products--while all merchant wholesalers do. D. their attitudes regarding the marketing concept. E. There is no difference--an agent wholesaler IS a merchant wholesaler.

B

378. (p. 354) Sandi Barefoot sells the entire output of several small companies based in Silicon Valley. Each of the companies designs and produces remote control devices. Sandi has almost complete control of pricing and selling--because the engineers who started the companies are mainly interested in inventing things. In addition, Sandi often provides working capital to the producers, who have very limited financial resources. Sandi is paid a substantial commission on all sales. Sandi is a: A. broker. B. selling agent. C. field warehouser. D. manufacturers' agent. E. factor.

B

173. (p. 334-335) When a department store manager decides to offer its female shoppers a free trial of Clinique's new skin cream, this is a decision about: A. Product B. Place C. Promotion D. Price

C

178. (p. 336) Most conventional retailers in the U.S. are: A. supermarkets. B. mass-merchandisers. C. limited-line stores. D. specialty stores. E. department stores.

C

186. (p. 337) A _________ aims at a carefully defined target market by offering a unique product assortment, knowledgeable salesclerks, and better service. A. general store B. mass-merchandising shop C. specialty shop D. department store E. convenience store

C

261. (p. 344) "Scrambled merchandising" refers to: A. retailers shifting from one product-market to another (e.g., a food retailer shifting to clothing). B. limited-line retailers carrying wide assortments. C. retailers carrying any product lines they can sell profitably. D. displays of impulse products in supermarkets. E. incompatible price and promotion policies.

C

331. (p. 353) __________ are a type of limited-function wholesaler that owns products they sell, but do not actually handle, stock, or deliver them. A. Rack jobbers B. Catalog wholesalers C. Drop-shippers D. Truck wholesalers E. Cash-and-carry wholesalers

C

370. (p. 354) All of the following are true of brokers except A. they bring buyers and sellers together. B. they are especially useful when buyers and sellers do not come into the market very often. C. they usually have a permanent relationship with the buyer and seller. D. the broker's product is information about what buyers need and what supplies are available. E. they earn commissions based on completion of transactions between buyers and sellers

C

175. (p. 334-335) When the manager of a Radio Shack electronics store decides to accept American Express credit cards from its customers, this is a decision about: A. Product B. Place C. Promotion D. Price

D

195. (p. 337) Department stores: A. are basically a group of limited-line stores under one roof. B. are decreasing in number, average sales per store, and share of retail business. C. usually aim at customers seeking shopping products. D. All of the above are true. E. Only B and C are true.

D

227. (p. 339) Which of the following would be considered a retailing "category killer"? A. Petsmart (pet supplies) B. Circuit City (electronics) C. Home Depot (home improvements) D. All of the above E. None of the above

D

233. (p. 340) Vending machine A. sales now account for almost 20 percent of consumer spending. B. retailing requires a lower margin to cover costs than for comparable products sold in stores. C. retailing has been declining. D. sales now include higher-margin products like digital cameras and bathing suits. E. None of the above is true.

D

245. (p. 341) Most catalog retailers, like Macy's and L.L. Bean, now use a multichannel approach but when they mail catalogs to potential customers' homes, they are using ___________ retailing. A. online B. virtual C. door-to-door D. direct-mail E. e-commerce

D

246. (p. 341-343) Expanded assortment, reduced margins, and more information are characteristics of A. club stores. B. specialty shops. C. mail order. D. Internet. E. department stores.

D

252. (p. 341-343) Which of the following statements about retailing on the Internet is(are) true? A. More product information is readily available. B. Product assortments available are not limited by the customer's location. C. Price comparisons are easy. D. All of the above are true. E. None of the above is true.

D

257. (p. 344) The "Wheel of Retailing" theory suggests that: A. retail stores do not have life cycles. B. retailing profits tend to be cyclical. C. only the largest retailers have a chance to survive in a fast-moving economy. D. new types of retailers enter as low-price operators and eventually begin to offer more services and charge higher prices. E. only discounters can survive in the long run.

D

291. (p. 348) Business firms that sell to retailers and other merchants, and/or to industrial, institutional, and commercial users--but which do not sell in large amounts to final consumers--are: A. retailers. B. collaborators. C. producers. D. wholesalers. E. intermediaries.

D

305. (p. 351) The main difference between merchant wholesalers and other wholesalers is that they: A. are more aggressive at selling than agent wholesalers. B. offer fewer wholesaling functions. C. have the lowest operating expenses as a percent of sales. D. own (take title to) the products they handle. E. are willing to perform retailing functions also.

D

307. (p. 351) The two basic types of merchant wholesalers are: A. single-line and limited function. B. agents and merchants. C. service and general line. D. service and limited function. E. single-line and general line.

D

210. (p. 337-338) Regarding supermarkets, which of the following statements is TRUE? A. They average less than $5 million a year in sales. B. Net profits after taxes usually amount to about 3 percent of sales. C. Compared to super warehouse stores, they offer lower prices and more service. D. All of the above are true. E. None of the above is true.

E

213. (p. 338) Regarding discount houses, which of the following statements is TRUE? A. The early discount houses emphasized hard goods. B. While some conventional retailers cut price on competitive items, discount houses regularly sell all of their products at smaller markups. C. As early discounters were able to offer full assortments, they also sought "respectability" and moved to better locations. D. Discount houses are fast-turnover, price-cutting operations. E. All of the above are true.

E

286. (p. 346) Franchisors: A. leave it to franchisees to carry out the strategy in their own units. B. often help franchisees by providing purchasing power and promotion support. C. usually receive fees and commissions from the franchise holder. D. reduce the risk of starting a new retailing business because a good strategy has already been developed and tested. E. All of the above are true statements.

E

300. (p. 350) Regarding wholesalers, which of the following is the most numerous? A. Service wholesalers. B. Agent wholesalers. C. Limited-function wholesalers. D. Manufacturers' sales branches. E. Merchant wholesalers.

E

358. (p. 353-354) A manufacturers' agent: A. sells noncompeting products for several manufacturers in a limited territory. B. is often replaced by a manufacturer's own sales force when sales rise. C. is paid a commission on sales. D. can be especially useful to a small manufacturer with a narrow line of new products. E. All of the above.

E