Ch 13

Off-price retailers pay regular wholesale prices for their merchandise but maintain low prices by accepting lower margins and selling higher volume.

false

Retailers first must position themselves in a market and then decide how they will define the target customers in these markets.

false

Wholesaling includes all the activities involved in selling products or services directly to final consumers for their personal, nonbusiness use.

false

McDonald's, Subway, and Jiffy Lube are all examples of ________.

franchises

At Neiman Marcus, a first-class department store, customers shop for high-end products and they are assisted in every phase of the shopping process. What type of retailer is Neiman Marcus?

full-service retailer

In a retailer cooperative, independent retailers band together to set up a jointly owned, central wholesale operation and conduct joint merchandising and promotion efforts.

true

Marketing channel design calls for analyzing consumer needs, setting channel objectives, identifying major channel alternatives, and evaluating those alternatives.

true

Home Depot and PetSmart are examples of ________.

category killers

In most cases, what is the most expensive promotion tool to utilize?

personal selling

Daizy's is a shop that carries only plus-size clothing. According to this information, Daizy's differentiates itself from its competitors based on ________.

product assortment

Suppose Amazon.com has offered you free shipping on your next purchase of more than $35. This offer is an example of ________.

sales promotion

Which term refers to looking at merchandise at a traditional store and then purchasing the merchandise online?

showrooming

GameStop sells only video games and systems, offering a narrow product line with a deep assortment within that line. What type of retail store is GameStop?

specialty store

What types of retailers can be said to be flourishing today due to the increased use of market segmentation and market targeting?

specialty stores

Which type of store is much larger than regular supermarkets and offers a large assortment of routinely purchased food products, nonfood items, and services?

superstore