marketing chapter 11

________ includes all activities involved in selling goods and services to those buying for resale or business use.

Wholesaling

________ represent buyers or sellers on a more permanent basis than brokers.

Agents

Which of the following differentiates between an outlet mall and a value-retail center?

An outlet mall consists primarily of the manufacturers' outlets, while a value-retail center combines manufacturers' outlets with off-price retail stores and department store clearance outlets

________ are two or more outlets that are commonly owned and controlled.

Corporate chains

________ are the largest group of wholesalers and can be divided into two broad types of wholesalers: full-service and limited-service.

Merchant wholesalers

A ________ brings buyers and sellers together and assists in negotiations.

broker

A convenience store is most likely to be ________.

carrying a limited line of high-turnover daily needs products

Independent retailers are most likely to be ________.

categorized as one of the three variants of off-price retailers

Will Jenks is a wholesaler who sells the produce of farmers who do not want to sell their own output. He transports large amounts of agricultural commodities to a central market, sells it for the best price, deducts an amount for his effort and expenses, and remits the balance to the producers. Will Jenks is a(n) ________.

commission merchant

A ________ contains between 15 and 50 retail stores, including a department or variety store, a supermarket, specialty stores, professional offices, and sometimes a bank.

community shopping center

Dina loves branded apparel and accessories but cannot afford to buy them too often. Fortunately, Dina lives close to an off-price retailing outlet that is owned and operated by a famous brand. The company utilizes this store to sell all its surplus, discontinued, or irregular goods at significantly lower costs. This outlet is an example of a ________.

factory outlet

McDonald's, Subway, and Pizza Hut are all examples of ________ organizations.

franchise

McPherson's, an ice cream joint, recently entered into an agreement by which it allowed independent businesspeople at select stores and locations across the country to sell its famous ice creams and milk shakes for a monetary consideration. This agreement created a(n) ________ type of contractual retail association.

franchise organization

Flax is a chain of stores that carries several product lines including clothing, home furnishing, and household goods, with each line operated as a separate department dedicated to the motto of customer satisfaction. Flax is most likely a(n) ________.

full-service retailer

Which of the following types of stores usually carries more specialty goods for which customers like to be "waited on" and have much higher operating costs that are passed along to the customer?

full-service stores

For a retailer to be able to differentiate himself from competitors and match target shoppers' expectations, the product assortment retailed should be ________.

highly targeted or focused on a niche market of potential consumers

Allstocks.com, a Web seller that buys furniture, clothing, electronics, and more from a variety of producers at less-than-regular wholesale prices and then charges customers less than retail, is a(n) ________.

independent off-price retailer

Today's large and progressive wholesalers have successfully reacted to rising costs by ________.

investing in information technology systems

A ________ is a smaller mall with upscale stores, convenient locations, and nonretail activities such as a playground, dining, and a movie theater. It is typically located near affluent residential neighborhoods.

lifestyle center

Stores that provide moderate sales assistance because they carry shopping goods about which customers need a moderate level of information are called ________.

limited-service retailers

Touch-screen kiosks, customer-loyalty cards, handheld shopping assistants, and self-scanning checkout systems are all examples of how retailers use technology to ________.

meet consumers' technological expectations

Specialty stores are characterized by the ________.

narrow product lines with deep assortments

Barry's is a chain of retail stores that stocks a large variety of goods and practices high-low prices. This means that Barry's is most likely to ________.

offer numerous sales or discounts

Which of the following types of limited-service wholesalers is owned by farmers who assemble farm produce to sell in local markets?

producers' cooperatives

Which of the following channel functions of wholesalers is demonstrated when a wholesaler's sales force helps a manufacturer reach many small customers at a low cost?

selling and promoting

GameStop sells video games and systems, offering a narrow product line with a deep assortment within that line. GameStop is a(n)________.

specialty store

Which of the following types of stores is much larger than regular supermarkets and offers a large assortment of routinely purchased food products, nonfood items, and services?

superstores

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 became popular owing to the good reputation the company had as a wholesaler. The company then began acquiring smaller retail chains and consolidated its position in the market. Which of the following trends is reflected in this scenario?

the blurring of distinctions between retailers and wholesalers

Why do stores cluster together?

to increase their customer pulling power

In the case of ________ customers pay annual membership fees and are able to purchase goods at deep discounts.

warehouse clubs