A store’s merchandise is categorized and displayed by common end uses in a _____
product grouping.
a. functional
b. market segment
c. purchase motivation
d. storability
A retailer that increases its product line assortment width by adding new products
unrelated to its original business and to each other is practicing _____.
a. scrambled merchandising
b. the wheel of retailing
c. rationalized retailing
d. life cycle retailing
The beginning of the wheel of retailing (when low-price institutions first appear)
corresponds to which retail life cycle stage?
a. decline
b. accelerated development
c. introduction
d. maturity
Retailers may defend their bait-and-switch advertising practices on the basis that _____.
a. they are legal
b. special purchases allow low prices
c. the prices offered are below cost
d. better, but more expensive, alternatives are available
Selling space is the largest proportion of total store space for which type of retailer?
a. restaurant
b. specialty store
c. department store
d. self-service retailer
A store that does not create its own traffic is a _____.
a. fringe store
b. low trading-area overlap store
c. parasite
d. primary trading area store
Which one of the following is a controllable variable to a retailer?
a. legislation
b. economy
c. technology developments
d. store location
A curving traffic pattern is most widely used by _____.
a. discount stores
b. supermarkets
c. hardware stores
d. specialty stores
A store positioning map for bookstores found various stores occupying each quadrant
(classical to contemporary and full-service to self-service). This map illustrates that
_____.
a. many different market segments exist
b. a mass marketing strategy could be effective
c. the ideal target market should be classical, full-service
d. few opportunities exist for additional bookstores
A major advantage of specialization of tasks in retailing is _____.
a. the generation of broad-based potential managers
b. the need for fewer employees
c. greater employee expertise
d. less boredom
An item originally priced at $30 is reduced to $19.95. The off-retail markdown
percentage is _____ percent.
a. 25
b. 34
c. 66
d. 75
Which of the following is not an advantage of an operations blueprint?
a. The operations blueprint standardizes activities.
b. The operations blueprint helps evaluate personnel needs.
c. The operations blueprint determines space needs.
d. The operations blueprint isolates weak or failure-prone operations components.
The purchase of out-of-season goods, manufacturer overruns, or cancelled orders by a
closeout retailer illustrates _____.
a. inspection buying
b. channel power
c. opportunistic buying
d. scrambled merchandising
A functional classification assigns jobs into divisions such as _____.
a. East, West, North, and South
b. main store and branches
c. sales promotion, buying, and store operations
d. furniture, giftware, and clothing