Chapter 2

The Census of Wholesale Trade classifies wholesalers into __________ kinds of business groups.

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Agents, brokers, and commission merchants' percentage of total wholesale sales in 2002 was:

9% to 14%.

_____________ refers to the wholesaler's ability to bring together an assortment of products from a variety of manufacturers.

Assortment convenience

Trends in retailing in the U.S. suggest:

Average dollar sales per store has increased.

Between 1948 and 2002 for retail establishments:

Average sales increased and the number of stores decreased.

Stores that dominate a particular line of merchandise and have large shares of the market are often referred to as:

Category killers.

In the commercial channel, participants who are specifically excluded are:

Consumer and industrial final users.

Which statement about Gazelle is false?

Distribution channels are not adequately used by Gazelle..

Agents and brokers

Do not take title to goods

__________ are members of the target market.

Final users

Procter & Gamble and Kellogg often face __________ average costs for distribution tasks when they attempt to perform them by themselves.

High

Kohl's discount department store has used all of the following techniques of marketing strategy except:

Increase use of multi-media advertising techniques.

All of the following are reasons for retailers gaining power in the marketing channels except:

Increased expertise of managers.

During the decade from 1992 to 2002, Census data show that the percentage of total wholesale sales enjoyed by merchant wholesalers:

Increased slightly.

Absolute sales of all three types of wholesalers _________ during the period 1992 to 2002.

Increased substantially

Economic concentration in many kinds of retail businesses is:

Increasing.

General merchandise, single line stores, and specialty stores are so named based on which of the following classification bases?

Kind of business

The Census of Wholesale Trade classifies wholesalers into the following three categories:

Manufacturers' sales branches and offices; agents, brokers, and commission merchants; and merchant wholesalers.

___________ are firms that primarily buy, take title to, store, and physically handle products.

Merchant wholesalers

Retailers have been using scanner data to perform all of the following except:

Pay and promotion analysis.

Facilitating agencies

Perform non-negotiatory functions.

Facilitating agencies:

Perform non-negotiatory functions.

Economic concentration in terms of percentage of total wholesale sales enjoyed by most merchant wholesalers in their respective line of trade is:

Relatively low.

Most wholesalers could be characterized with regard to their size as:

Relatively small businesses.

Merchant wholesalers often perform all of the following distribution tasks for customers except:

Rendering services pertaining to the sale of goods.

Virtually all retailers serve as:

Selling agents for their suppliers.

Merchant wholesalers perform all of the following functions except:

Selling merchandise to final users.

In the context of the management perspective used in the text, it is appropriate to view final users as:

Target markets.

Threetailing is a term used to describe:

The convergence of in-store, catalog, and online channels.

A basic phenomenon in the ranks of retailers since 1948 has been:

The increase of average sales per store.

The term "gatekeeper" as used in the textbook refers to

The power of retailers in the channel.

To perform distribution tasks efficiently, a firm needs all of the following except:

To maintain high inventory levels.

Customer support provided by merchant wholesalers to manufacturers is often referred to as:

Value-added services.

Several studies, including the Brown and Herring report, suggest the wholesaler's role in __________ will grow even more important to manufacturers.

providing sales contacts