Ch 15 set 15.3

Meijer is an example of an extreme-value store. True False

False Meijer is a discount store. Extreme-value stores are a fraction of the size of conventional discount stores and typically offer very low prices—generally $1 to $10—on smaller size name-brand nonperishable household items. Extreme-value stores include stores like Dollar General and Family Dollar.

A(n) _______ is a very large specialty store that competes on the basis of lower prices and enormous product availability. a.warehouse club b.traditional specialty store c.off-price retailer d.category killer

d.category killer A category killer is a very large specialty store that concentrates on a major product category and competes on the basis of low prices and broad product availability.

_______ have wide product mixes and are often organized into separate departments. Separate departments help to facilitate marketing efforts and internal management. a.Department stores b.Discount stores c.Convenience stores d.Superstores

a.Department stores Department stores, such as Macy's and Nordstrom, have wide product mixes and are organized into separate departments to facilitate marketing efforts and internal management.

_______, popular in Europe, combine supermarkets and discount shopping in one location. These retailers offer 45,000-60,000 different types of low-priced products. a.Hypermarkets b.Warehouse clubs c.Superstores d.Megamarts

a.Hypermarkets Hypermarkets are stores that combine supermarkets and discount shopping in one location. These stores are larger than superstores and dedicate 40 to 50 percent of their space to grocery products and the remainder to general merchandise. Hypermarkets are successful in Europe, South America, Mexico, the Middle East, and part of Asia.

What is the primary difference between superstores and supermarkets? a.Superstores offer routinely purchased products in addition to products found at supermarkets. b.Superstores offer lower prices than those found at supermarkets. c.Supermarkets offer food and nonfood products and superstores offer only nonfood products. d.Supermarkets are larger in size than superstores.

a.Superstores offer routinely purchased products in addition to products found at supermarkets. Supermarkets sell a complete line of food products and some nonfood products. Superstores offer all food and nonfood products found in supermarkets as well as most routinely purchased items.

Before heading to the pool, Yash filled up his car with gas and ran into the _______ to withdraw $40 from the ATM and get snacks and a Gatorade. a.convenience store b.discount store c.extreme-value store d.department store

a.convenience store Convenience stores are small, self-service stores that are open long hours and carry a narrow assortment of products, usually convenience items such as soft drinks and other beverages, snacks, newspapers, tobacco, and gasoline, as well as services such as ATMs.

Off-price retailers compete primarily on the basis of _______. a.deeply discounted prices on name-brand merchandise b.high-quality private brands at low prices c.broad selection of products including food, electronics, and clothing d.low prices and broad product availability in one major product category

a.deeply discounted prices on name-brand merchandise Off-price retailers are stores that buy name-brand manufacturers' seconds, overruns, returns, and off-season merchandise for resale to consumers at deep discounts.

Target is a self-service store that sells general merchandise. It is a _______. a.discount store b.specialty retailer c.department store d.superstore

a.discount store Discount stores are self-service general-merchandise outlets that offer products at low prices. They have lower profit margins than conventional retailers, but higher sales volume. Target, Walmart, and Five Below are examples of discount stores.

Department stores, convenience stores, and warehouse clubs can all be classified as _______. a.general-merchandise stores b.specialty retailers c.superstores d.variety stores

a.general-merchandise stores They are general-merchandise retailers. General-merchandise retailers are retail establishments that offer a variety of product lines that are stocked in considerable depth. They include department stores, convenience stores, warehouse clubs, discount stores, supermarkets, superstores, hypermarkets, and warehouse showrooms.

Hans can spend hours at his local Carrefour. He will shop for household items and clothing, paying lower prices than at other stores. If he needs to, he can also get his eyeglasses, make deposits at a branch of his bank, and eat lunch at a fast food restaurant. Carrefour is a _______. a.hypermarket b.supermarket c.department store d.discount store

a.hypermarket Carrefour is a hypermarket. Hypermarkets combine supermarkets and discount store shopping at one location. They are larger than superstores and they often lease space to businesses such as banks, optical shops, and fast-food restaurants.

Which type of store offers a wide assortment of products, has high inventory turnover, and operates with low margins and high sales volume? a.Department store b.Discount store c.Convenience store d.Warehouse club

b.Discount store Discount stores are self-service general-merchandise outlets that offer products at low prices. They have lower profit margins than conventional retailers, but higher sales volume. To keep inventory turnover high, they have a wide assortment of products.

Which of the following is an example of an off-price retailer? a.Foot Locker b.T.J. Maxx c.Target d.Home Depot

b.T.J. Maxx Off-price retailers are stores that buy name-brand manufacturers' seconds, overruns, returns, and off-season merchandise for resale to consumers at deep discounts. Examples include T.J. Maxx, Marshalls, Stein Mart, and Burlington Coat Factory.

_______ occurs when a shopper researches a product online and then heads to the nearest store to make the actual purchase. a.Showrooming b.Webrooming c.Window shopping d.Webhaggling

b.Webrooming Webrooming occurs when shoppers research products online then head to the nearest store to make the actual purchase.

Jack is shopping for a birthday present for his mother. He wants to buy her a pair of earrings and decides to go to a store that provides the best selection of earrings and jewelry. The best store for him to shop at would be _______. a.a department store b.a traditional specialty store c.a convenience store d.a superstore

b.a traditional specialty store The best selection of jewelry would be at a traditional specialty store. Traditional specialty stores emphasize narrow and deep assortments.

A general-merchandise retailer offers _______. a.a single product line that is stocked in depth b.a variety of product lines that are stocked in depth c.few product lines with deep assortments of these lines d.few choices of a large variety of product lines

b.a variety of product lines that are stocked in depth General merchandise retailers carry a wide variety of product lines that are stocked in considerable depth.

While most _______ worry about online retailers like Amazon, Tractor Supply Co. (TSC) thinks the knowledge of its store associates will keep Amazon at bay. TSC carries products to support a rural lifestyle and at considerable depth. The products are often bulky and high shipping costs will keep customers shopping at TSC rather than Amazon. a.warehouse clubs b.category killers c.superstores d.convenience retailers

b.category killers Category killers, which have been losing some market share to online retailing, are very large specialty stores that concentrate on a major product category and compete on the basis of low prices and product availability. Tractor Supply Co. is a category killer.

Clayton's is a large retail store that has distinct areas for housewares, appliances, men's apparel, women's apparel, cosmetics, and jewelry. It offers personal assistance with shopping, merchandise returns, delivery options, and a pleasant atmosphere. Clayton's is most likely an example of a _______. a.category killer b.department store c.superstore d.supermarket

b.department store Clayton's is a department store. Department stores are large organizations offering a wide product mix organized into separate departments.

All of the following are differences between superstores and discount stores, except _______. a.superstores carry more items in overall inventory than discount stores b.superstores carry routinely purchased consumer products, but discount stores do not c.superstores carry food products that a grocery store carries, but discount stores do not d.superstores offer more services such as auto repair, dry cleaning, and check cashing than discount stores

b.superstores carry routinely purchased consumer products, but discount stores do not When compared to discount stores, superstores are physically larger and carry more items for sale. Those items include food products that discount stores do not. They also offer additional services not offered by discount stores. However, superstores offer the same routinely purchased consumer products as discount stores.

When Alexa visited a furniture store called the Barrington Store for the first time, it was a lot larger than she expected. She was surprised that it had a warehouse feel and large displays of merchandise. There was minimal service, but it had a lot of stock on hand that she was able to carry away in large cartons. The Barrington Store can most likely be categorized as a _______. a.superstore b.warehouse showroom c.discount store d.supermarket

b.warehouse showroom The Barrington Store is a warehouse showroom. Warehouse showrooms are retail facilities in large, low-cost buildings with large on-premises inventories and minimal service. Customers often have some marketing functions such as transportation and financing of the purchase shifted to be their responsibility. Most consumers carry away purchases in manufacturers' cartons.

What type of self-service store typically is less than 5,000 square feet, open 24 hours a day and 7 days a week, and stocks about 500 items? a.Department store b.Discount store c.Convenience store d.Supermarket

c.Convenience store A convenience store is a small, self-service store that remains open for long hours and carries a narrow assortment of products. Such stores are typically less than 5,000 square feet, open 24/7, and stock about 500 items.

If you were to classify retailers based on the breadth of products they offer, then you would use which two categories? a.Chain stores and independent retailers b.Full-service and self-service retailers c.General-merchandise and specialty retailers d.Convenience and shopping retailers

c.General-merchandise and specialty retailers When classifying retailers based on the breadth of products they offer, you would use two general categories: general-merchandise and specialty retailers.

Beth goes shopping to buy food for dinner, but also wants to pick up a new pair of running shoes and a new shirt for her son. Because she is with her children, she wants to do all of her shopping at one store. Which of the following should Beth visit? a.Supermarket b.Convenience store c.Superstore d.Discount store

c.Superstore Beth should visit a superstore, which is a giant retail outlet that carries food and nonfood products, as well as most routinely purchased consumer products.

Which of the following is a challenge for traditional specialty retailers? a.They struggle with understanding their customers and, therefore, which products to carry. b.Stores are often very large and require the retailer to pay close attention to average sales per square foot. c.They have high costs in proportion to sales. d.They tend to have less sales expertise than their main competitors, department stores.

c.They have high costs in proportion to sales. Traditional specialty retailers are usually small and may have high costs in proportion to sales as a result. Satisfying customers may require carrying some products with low turnover rates.

Shawn needed a gift bag for a present he had purchased. He went to a store that was much smaller than his local Target and everything was priced low—most items were $1. Shawn visited _______. a.a convenience store b.a warehouse club c.an extreme-value store d.a discount store

c.an extreme-value store Shawn visited an extreme-value store. Extreme-value stores are a fraction of the size of conventional discount stores and typically offer very low prices—generally $1 to $10—on smaller size name-brand nonperishable household items.

Brookdale is a regional self-service store that sells name-brand and private-brand clothing, home goods, and electronics at low prices. Brookdale is an example of a _______. a.category killer b.department store c.discount store d.hypermarket

c.discount store

Brookdale is a regional self-service store that sells name-brand and private-brand clothing, home goods, and electronics at low prices. Brookdale is an example of a _______. a.category killer b.department store c.discount store d.hypermarket

c.discount store Discount stores are self-service general-merchandise outlets that offer products at low prices. They have lower profit margins than conventional retailers, but higher sales volume.

At your local _______ store, there is a minimal assortment of goods—most of which are store brands offered at very low prices. To keep costs low, these stores have a no-frills environment where customers have to bag their own groceries and pay a quarter for a grocery cart. a.extreme-value b.warehouse club c.hard discounter d.hypermarket

c.hard discounter Hard discounters are supermarkets with a no-frills environment and minimal assortment of goods they sell at very low prices. German grocery chains Aldi and Lidl are hard discounters that have expanded into the United States.

Sephora is a store that offers a wide variety of cosmetics and beauty products. It would most likely be categorized as a(n) _______. a.off-price retailer b.superstore c.specialty retailer d.discount store

c.specialty retailer Sephora is a specialty retailer, which emphasizes narrow and deep assortments. Sephora sells only cosmetics and beauty supplies but has a deep assortment of those products.

Which of the following types of retailer has put the most pressure on category killers? a.Superstores b.Discount stores c.Off-price retailers d.Online retailers

d.Online retailers Online retailing has put pressure on category killers and taken away market share in recent years. Bed Bath & Beyond, a category killer, has struggled against online retailers such as Amazon.

_______ carry regular grocery items as well as non-food products and consumer products such as hardware, housewares, small appliances, and clothing. These retailers are usually around 200,000 square feet and offer some services such as check cashing, automotive repair, and dry cleaning. a.Megamarkets b.Warehouse clubs c.Hypermarkets d.Superstores

d.Superstores Superstores are giant retail outlets that carry food and non-food products found in supermarkets, as well as most routinely purchased consumer products.

Cash and Carry is a store that carries food, clothing, and household goods at lower price margins than other nearby stores. There is little service provided and customers have to bag their own purchases. Cash and Carry is most likely an example of a _______. a.department store b.supermarket c.category killer d.discount store

d.discount store Discount stores are self-service, general-merchandise outlets that regularly offer brand-name and private-brand products at low prices. Discounters accept lower profit margins than conventional retailers in exchange for high sales volume.

In recent years, Target has become more upscale in its appearance and offerings, charging slightly higher prices for products. It has also introduced low-cost clothing lines by designer labels. These changes have blurred the line between _______. a.superstores and warehouse clubs b.department stores and specialty retailers c.discount stores and specialty retailers d.discount stores and department stores

d.discount stores and department stores The line between discount stores and department stores is blurring. To better compete against department stores, some discount stores have raised prices while improving their service, atmosphere, location, and product offerings.

Athleta, which sells activewear and swimsuits for women, has retail stores across the United States as well as a website, an app, and a catalog. Athleta is participating in _______. a.category killing b.general merchandising c.webrooming d.multichannel retailing

d.multichannel retailing Athleta is participating in multichannel retailing which means that it employs multiple distribution channels that complement its brick-and-mortar stores. Athleta uses its retail locations, online website, app, and catalogs to allow customers to research products and make actual purchases.

Sometimes called limited-line retailers, _______ carry a narrow product mix with deep product lines. a.category killers b.off-price retailers c.warehouse clubs d.traditional specialty retailers

d.traditional specialty retailers Traditional specialty retailers are stores that carry a narrow product mix with deep product lines. They are sometimes called limited-line retailers or single-line retailers.