_____ occurs when the retailer and supplier have different perceptions of reality.
a. Perceptual incongruity
b. Domain disagreements
c. Goal incompatibility
d. Gray marketing
e. Dual distribution
When a manufacturer quotes the same price for the same merchandise to buyers in
Cleveland, Ohio; Los Angeles, California; and Orlando, Florida the manufacturer is
probably quoting the retailers a _____ price.
a. zone
b. basing point
c. FOB destination
d. FOB equal
e. FOB shipping point
Restaurants such as Chik-Fil-A that have smaller stores located inside college student
unions is an example of:
a. place reconfiguration.
b. target market reconfiguration.
c. form reconfiguration.
d. possession reconfiguration.
e. time reconfiguration.
If a retailer is attempting to determine which of the closely related areas of business are
underdeveloped in its market, it is assessing its:
a. strengths.
b. weaknesses.
c. opportunities.
d. threats.
e. operations.
Which of the following describes the degree to which an employee is involved in the
total sales process?
a. Autonomy
b. Responsibility
c. Individuality
d. Involved time
e. Task identity
In a _____ store layout, counters and fixtures are placed in long rows or ‘runs,’ usually
at right angles, throughout the store.
a. standard
b. free-flow
c. grid
d. boutique
e. mini-store
If the advertising manager of a retailer has determined that the target group members
who come in contact with the retailer’s television advertisement will see the ad
approximately five times during the next week, the manager is estimating the _____ of
the medium.
a. repetition
b. impact
c. reach
d. coverage
e. frequency
During which stage of the selling process does the retail employee have the opportunity
to ‘set the mood’ for a sale?
a. Approach
b. Sales presentation
c. Prospecting
d. Suggestion selling
e. Closing the sale
The best combination of resources that are mobilized to a time and place for a particular
individual to solve their problem(s) or for them to pursue opportunities at an optimal
value or cost result is:
a. performance.
b. efficiency.
c. demand.
d. population.
e. density.
A manufacturer of flat screen televisions has agreed to pay 75 percent of an electronic
store’s upcoming newspaper advertisement costs. The store and the manufacturer are
involved in:
a. horizontal cooperative advertising.
b. cost sharing.
c. monopoly activities.
d. sales promotion.
e. vertical cooperative advertising.
Same-store sales compare:
a. an individual store’s sales to its sales for the same month in the previous year.
b. clearance efforts with holiday mark-downs.
c. two stores in the same district to one another.
d. advertising circulars with in-store promotions.
e. revenue with expenses.
A market offers rows of exotic produce, fresh prime meats, seafood flown in fresh, a
bakery filled with artisan breads and over 220 cheeses. This market is competing for
customers on which major front?
a. The price for the value offered
b. Service level
c. Product selection
d. Location or access
e. Employee compensation
The ‘marketing with ‘ era of retail marketing can also be thought of the era of active
collaboration between retailers and their customers, suppliers and other stakeholders
such as:
a. brokers.
b. owners.
c. investors.
d. employees.
e. silent partners.
Three product constraints that influence a retailer’s product decisions are:
a. product safety, express warranties, and implied warranties.
b. product safety, trademarks, and warranties.
c. product safety, product liability, and warranties.
d. product liabilities, warranties, and trademarks.
e. trademarks, product liabilities, product safety
In an attempt to generate a sale and to build repeat business, a salesperson should help
the customer define his/her problems or needs when the customer has a(n):
a. explicit choice criteria.
b. well-defined choice criteria.
c. no active product choice criteria.
d. inadequate or vague choice criteria.
e. choice criteria in conflict.
Reilly’s law is based on two assumptions, one of which is:
a. population is a good indicator of the differences in the goods and services available in
different cities.
b. retail competitors are of equal size.
c. the two competing cities are unequally accessible from the major road.
d. smaller cities will attract shoppers from larger communities.
e. price fixing occurs between retailers.
All of the following are warning signs that a retailer has a space problem EXCEPT:
a. insufficient staging space for large shipments of advertised products.
b. open spaces on the selling floor, even if the product is on hand.
c. uncluttered and organized aisles, hallways and stockrooms.
d. sales lag expectations for specific locations where space or fixtures are a known
issue.
e. off-site storage or multiple stockrooms required for a single commodity.
_____ are those items for which the retailer has already paid, but the service has not
been completed.
a. Total assets
b. Accounts receivable
c. Current assets
d. Operating expenses
e. Prepaid expenses
Which of the following statements is FALSE regarding the service level a retailer
should offer its customers?
a. The services offered by a retailer’s store in one location should be different from
those offered by another store in the chain in a different location.
b. The services offered by competitors will have an effect on the customer services a
retailer offers.
c. A retailer may be able to increase profits by cutting back on costly customer services.
d. It is relatively easy for retailers to determine the optimal number and level of
customer services to offer.
e. The size and type of store can influence which services a retailer should offer.
Which of the following is NOT a major market supply factor?
a. Square feet per store
b. Quality of competition
c. Gross margins maintained by existing competition
d. Growth in stores
e. Square feet per employee
This new law was the aftermath of a public outcry over imports of tainted toothpaste
and pet food, as well as the infamous importation of lead-laden toys from Asia,
especially China.
a. The Consumer Protection from Unfair Trading Regulations Act
b. The ADA Amendments Act
c. The Emergency Economic Stabilization Act
d. The Consumer Product Safety Improvements Act
e. The Economic Cooperation Framework Agreement Act
The late Michael O’Connor, former president of the Super Market Institute, suggested
that the failure of many U.S. retailers to succeed in international markets was due to:
a. retailers from larger countries having operated in successful economies and therefore
tending to be less involved in the small details when going international.
b. customers from other countries not understanding how retailers should operate.
c. the competitive intensity in international markets being too high.
d. increased distribution costs making U.S. retailers uncompetitive when they expanded
internationally.
e. executives being sure of themselves, and not seeking more counsel or listening to
more opinions before developing strategic plans.
Theft in transit is a rarity today; thus, most retailers seldom worry about it.
Good promotions help to build store traffic.
Just having a written mission statement is enough for success in today’s environment;
after all, with all the changes taking place it would be foolish to expect a retailer to
always adhere to its original mission statement.
How is service defined according to a service-dominant logic model? What are the four
principles of service dominant logic?
A ‘floor plan’ is a schematic that shows where the merchandise and customer service
departments are located, how customers will circulate through the store, and how much
space should be allocated to each department.
All retail objectives, of whatever type, must be consistent with and reinforce the
retailer’s overall mission.