Marketing Ch. 11 - two

A ________ contains between 15 and 50 retail stores, including a department or variety store, a supermarket, specialty stores, professional offices, and sometimes a bank. A) community shopping center B) warehouse club C) superstore D) neighborhood shopping center E) regional shopping mall

A

Retail convergence most likely leads to ________. A) reduced differentiation B) reduced competition C) increased sales D) increased profit margins E) reduced advertising costs

A

________ includes all the activities involved in selling goods and services to those buying them for resale or business use. A) Wholesaling B) Sole sourcing C) Franchising D) Crowdsourcing E) Showrooming

A

A ________ is a small open-air mall with upscale stores, convenient locations, and nonretail activities such as a playground, hotel, dining establishments, and a movie theater. A) regional shopping center B) lifestyle center C) community shopping center D) power center E) warehouse club

B

A ________ refers to a group of retail businesses built on a site that is planned, developed, owned, and managed as a unit. A) pop-up store B) shopping center C) warehouse D) category killer E) convenience store

B

According to the text, today's large and progressive wholesalers have successfully reacted to rising costs by ________. A) relocating to low-rent, low-tax areas B) investing in information technology systems C) eliminating the need for brokers and agents D) increasing customer service responsibilities E) reducing promotional and personal selling activities

B

C & G Retail, a chain of local supermarkets, procures all its goods directly from the producers' factories. This type of wholesaling is usually done in ________. A) corporate broker branches B) manufacturers' offices C) value-retail centers D) warehouse clubs E) factory outlet malls

B

Hamilton Wholesaling, an electronics wholesaling firm, provides many services to customers including buying, storing, and transporting expensive and delicate electronics equipment. Hamilton takes title of ownership to all goods that the firm handles. Hamilton is most likely a(n) ________. A) wholesaling broker B) merchant wholesaler C) agent wholesaler D) manufacturer's agent E) manufacturer's representative

B

Solutions Inc. negotiates the sale of materials between lumberyards and commercial construction companies, receiving a 15 percent commission on all transactions. Solutions Inc. is considered a ________. A) distributor B) broker C) retailer D) manufacturer E) supplier

B

When compared to merchant wholesalers, brokers and agents ________. A) perform more extensive functions B) do not take title to goods C) deal only in services and not products D) do not engage in any negotiation of wholesale deals E) rarely specialize in one product category or customer type

B

Which wholesaler channel function is demonstrated when a wholesaler's sales force helps a manufacturer reach many small customers at a low cost? A) bulk breaking B) selling and promoting C) buying and assortment building D) warehousing E) risk bearing

B

As with other types of marketers, a primary goal in wholesaling is to ________. A) match competitors' strategies B) establish a greater number of locations C) build value-adding customer relationships D) hold prices constant E) maintain the status quo

C

Charging higher prices on an everyday basis, coupled with frequent sales and other price promotions to increase store traffic, create a low-price image, or attract customers who will buy other goods at full prices is referred to as ________ pricing. A) category killer B) discount C) high-low D) every day low E) predatory

C

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

C

Power centers are characterized by the ________. A) lack of an anchor store B) sale of exclusive brands only C) provision of individual entrances to each store D) provision for nonretail activities, such as playgrounds E) absence of any pricing strategies for differentiation

C

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

C

Which of the following channel functions of wholesalers is demonstrated when a buyer receives quicker delivery because wholesalers are located closer than are producers? A) buying and assortment building B) financing C) transportation D) risk bearing E) warehousing

C

Which of the following is an impact of the Great Recession on retailing trends? A) economic shift toward higher prices B) lower costs for retailers C) tighter consumer spending patterns D) longer retail life cycles E) prohibition on new retail forms

C

Which of the following statements is true of shopping centers? A) Most shopping centers function at the regional level rather than at the neighborhood level. B) Shopping centers typically contain only those stores that target a niche market segment of high income groups. C) Shopping centers are groups of retail businesses built on a site that is planned, developed, owned, and managed as a unit. D) Shopping centers usually contain exclusive brands and specialty stores rather than convenience stores or department stores. E) Shopping centers are huge superstores that offer a deep assortment of a particular product line.

C

________ represent buyers or sellers on a more permanent basis than brokers. A) Distributors B) Franchisees C) Agents D) Retailers E) Manufacturers

C

Bikers and non-bikers alike enjoy dining at the Harley Davidson Café in Las Vegas. Several Harley Davidson models are on display as well as a very large, uniquely crafted American flag. Menu items include the Easy Rider, the Choppers Cobb salad, and the Harley Hog sandwich. The Harley Davidson Café most likely uses ________. A) everyday low pricing B) predatory pricing C) self-service retailing D) experiential retailing E) franchising

D

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

D

Retailers must decide on three major product variables: product assortment, services mix, and ________. A) store location B) store layout C) self-service offerings D) store atmosphere E) store ambience

D

Which of the following is true about trends in wholesaling? A) New laws prevent wholesalers from having their own retailing operations. B) Value-added customer relationships have been replaced by control systems. C) Merchant wholesalers are decreasing in number and relevance. D) The demand for lower prices and higher quality has increased. E) Bulk breaking is increasingly popular and necessary.

D

Wholesalers most likely discourage less-profitable customers by ________. A) increasing product promotions B) carrying exclusive product lines C) overseeing inventory control systems D) adding service charges to small purchase orders E) requiring smaller orders to lower transportation costs

D

________ are the largest group of wholesalers and can be divided into two broad types of wholesalers: full-service and limited-service. A) Brokers B) Retailers C) Agent wholesalers D) Merchant wholesalers E) Manufacturers' agents

D

Campbell is one of the oldest retailers in the country. While the service offered at Campbell is fairly mediocre, the retailer is famous for its surprise offerings of seconds, overstocks, and closeouts — occasionally including expensive gadgets and jewelry. Posco, a new chain of retail stores, offers products that are similar to Campbell's offerings; however, Posco is known for encouraging customers to ask questions and for providing service representatives to assist customers in the purchasing decision process. From this scenario, which of the following statements is most likely true? A) Posco fails to differentiate itself from Campbell through the services mix. B) Posco's product assortment helps differentiate it from Campbell. C) Both Campbell and Posco fail to identify the needs and wants of target markets. D) Campbell has not been able to differentiate itself on the basis of product assortment. E) Posco better utilizes the services mix to differentiate itself from Campbell.

E

Grace and her fiancé visit several furniture stores in and around their hometown of Milwaukee. They use their smartphones to capture information about manufacturers and pricing, and ultimately decide to purchase their favorite items online. This is referred to as ________. A) warehousing B) wholesaling C) retailing D) franchising E) showrooming

E

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? 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

E

Wayne Wholesaling fulfills many channel functions for its customers. The company mainly focuses on helping retailers to train their salespeople, improve store layouts, and set up inventory control systems. Based on this description, which channel function is provided by Wayne Wholesaling? A) buying and assortment building B) selling and promoting C) risk bearing services D) market information services E) management services and advice

E