Question 1
Retailing on the Internet already accounts for about 25 percent of all retail sales.
Answer
[removed]
True
[removed]False
5 points
Question 2
Truck wholesalers may provide almost the same services as full service wholesalers, but they usually specialize in perishable products that regular wholesalers prefer not to carry.
Answer [removed]True [removed]False 5 points
Question 3
Specialty wholesalers usually sell a very narrow range of products and compete with other wholesalers who have a broader range of products by offering expert technical help and/or service to their customers.
Answer [removed]True [removed]False 5 points
Question 4
Agent wholesalers are very common in international marketing.
Answer [removed]True [removed]False 5 points
Question 5
When a department store manager decides to offer its female shoppers a free trial of Clinique’s new skin cream, this is a decision about:
Answer
Product |
|
Place |
|
Promotion |
|
Price |
5 points
Question 6
Regarding supermarkets, which of the following statements is TRUE?
Answer
They average less than $5 million a year in sales. |
Net profits after taxes usually amount to about 3 percent of sales. |
Compared to super warehouse stores, they offer lower prices and more service. |
All of the above are true. |
None of the above is true. |
5 points
Question 7
“Voluntary chains” are retailer-sponsored groups–and “cooperative chains” are wholesaler-sponsored groups–that work together to better compete with corporate chains.
Answer [removed]True [removed]False 5 points
Question 8
A consumer who went to shop at a “supercenter” would probably expect not only to be able to buy food and health care products, but also to leave dry-cleaning or have shoes repaired.
Answer [removed]True [removed]False 5 points
Question 9
Wholesalers:
Answer
Have had to deal with a competitive threat posed by large retailers that have taken over wholesale functions. |
Do not use e-commerce to serve customers. |
Face competitive pressure from shipping companies such as FedEx and UPS that make it easier for producers to ship directly to customers. |
All of the above. |
A and C only. |
5 points
Question 10
Retailers who follow a policy of “buy low and sell high” are practicing the “mass-merchandising concept.”
Answer [removed]True [removed]False 5 points
Question 11
Compared to conventional retailers, which of the following types of retailers offer a wider product assortment but less service?
Answer
Convenience stores. |
Supermarkets. |
Telephone order retailers. |
Department stores. |
Limited-line stores. |
5 points
Question 12
The sale of candy from a vending machine at a bus station is not considered retailing since no store is involved.
Answer [removed]True [removed]False 5 points
Question 13
Regarding supermarkets, which of the following is NOT true?
Answer
They introduced self-service to reduce their costs. |
After-tax profits are very good–averaging 10 to 15 percent of sales. |
The newer ones carry 47,000 product items. |
They average about $17 million a year in sales. |
They got their start as an experiment during the Depression. |
5 points
Question 14
The “wheel of retailing” theory says that:
Answer
retailers go through cycles from high costs and prices to lower costs and profits. |
general stores will dominate U.S. retailing in the next century. |
new types of retailers enter as low-status, low-margin, low-price operators and eventually offer more services and charge higher prices. |
all of the above are true. |
none of the above are true. |
5 points
Question 15
The trend toward scrambled merchandising can be explained by:
Answer
the “Wheel of Retailing” Theory. |
the fact that cities are getting larger and larger, and it is harder for a retailer to segment the market. |
growing consumer demand for more service in retail stores. |
the fact that some retailers have traditionally used markups which seem “too high” to other retailers. |
the growth of telephone and direct-mail retailers. |
5 points
Question 16
When a supermarket manager decides to offer online ordering at the store’s Web site, this is a decision about:
Answer [removed] Product[removed] Place[removed] Promotion[removed] Price5 points
Question 17
A consumer’s total cost of shopping on the Internet includes delivery costs in addition to purchase price.
Answer [removed]True [removed]False 5 points
Question 18
Single-line stores that used to carry anything they could sell in reasonable volume were the main retailers in the United States.
Answer [removed]True [removed]False 5 points
Question 19
Which of the following is NOT a franchise operation?
Answer
Subway (food). |
H & R Block (tax work). |
Kinko’s (copy center). |
7-Eleven (convenience store). |
All of the above are franchises. |
5 points
Question 20
Telephone selling (telemarketing) is still extremely popular despite the National Do Not Call Registry.
Answer [removed]True [removed]False