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55. When off-price retailers obtain too much in-season, high-quality merchandise, tension between them and ____ builds.
a.
discount stores
b.
category killers
c.
specialty retailers
d.
warehouse clubs
e.
department stores
56. Stores that are in a manufacturers’ outlet mall, such as Ralph Lauren, Tommy Hilfiger, Clarks’ Shoes, and Samsonite
Luggage are most appropriately classified as a(n)
a.
discounter.
b.
specialty retailer.
c.
off-price retailer.
d.
category killer.
e.
department store.
57. Category killers compete primarily on the basis of
a.
enormous product selection and sales expertise.
b.
low prices and enormous product availability.
c.
convenient locations and customer services.
d.
rock-bottom prices and moderate selections.
e.
one-stop shopping and product availability.
58. Which of the following is an example of a category killer?
a.
JCPenney
b.
Walmart
c.
Marshalls
d.
Sam’s
e.
Toys "R" Us
59. Michael's, PetSmart, and Staples are all examples of
a.
discount stores.
b.
off-price retailers.
c.
category killers.
d.
traditional specialty retailers.
e.
superstores.
60. A(n) ____ is a very large specialty store that competes on the basis of lower prices and enormous product availability.
a.
warehouse club
b.
off-price retailer
c.
category killer
d.
traditional specialty store
e.
super center
61. In contrast to industrial products, consumer products are often purchased because of
a.
economic planning.
b.
necessity.
c.
prior planning.
d.
social influences.
e.
rational needs.
62. The kinds of products being sold and the availability of public transportation are both factors that influence a retailer's
decision about
a.
store atmosphere.
b.
location.
c.
retail positioning.
d.
store image.
e.
the wheel of retailing.
63. Alex is preparing the new strategic plan for a large retailer. Several aspects of the retailer are to be evaluated, in order
to make plans and set goals. Of all the issues that Alex can select in developing the new strategic plan, which of the
following is the least flexible?
a.
Store atmosphere
b.
Scrambled merchandising
c.
Retail positioning
d.
Store image
e.
Location
64. Location is important to a retailer because
a.
suppliers charge more to service stores in certain trading areas.
b.
a desirable location appeals to consumers' emotions.
c.
location is the major determinant of store image.
d.
location determines the trading area from which the store must draw its customers.
e.
convenient location is an essential customer service element.
65. Ariana is planning to open an upscale dress boutique. She is evaluating ease of movement to and from sites, vehicular
traffic, types of stores in the area, and transportation networks. Which strategic retailing issue is she concerned with at the
time?
a.
Location
b.
Production depth
c.
Product mix
d.
Scrambled merchandising
e.
Retail positioning
66. Greg chooses to have his hunting equipment stored in a location away from the main part of town so that he can have
a large parking lot and an outdoor range for customers to test out his merchandise. Greg's store is
a.
in a traditional business district.
b.
a rural shopping center.
c.
in a neighborhood shopping center.
d.
a non-traditional shopping center.
e.
a free-standing structure.
67. Colin brags to his friend Reid that his new bike shop has lots of parking and great visibility from Harper Avenue, and
his nearest business neighbors are several hundred feet away. Colin has selected a ____ site for his retail business.
a.
free-standing
b.
traditional business district
c.
neighborhood shopping center
d.
community shopping center
e.
regional shopping center
68. Many cities are revitalizing their downtown areas by bringing in new retail establishments. They are building new
civic structures, passing ordinances that encourage the restoration of historic buildings, and developing mixed-use
structures that include retail, residential, and other uses. These areas are best described as
a.
neighborhood shopping centers.
b.
community shopping centers.
c.
traditional shopping centers.
d.
traditional business districts.
e.
free-standing structures.
69. The type of retail location that is commonly being preserved and revitalized in many cities is the
a.
traditional business district.
b.
free-standing structure.
c.
community shopping center.
d.
neighborhood shopping center.
e.
nontraditional shopping center.
70. Shopping centers include
a.
neighborhood, regional, superregional, power, and strip malls.
b.
community, rural, urban, and traditional business districts.
c.
outlet, power, lifestyle, superregional, regional, neighborhood, and community.
d.
outlet malls, lifestyle, strip malls, and shopping malls.
e.
free-standing, convenience, traditional, and regional.
71. What type of shopping center usually consists of several small convenience and specialty stores?
a.
Specialty
b.
Regional
c.
Neighborhood
d.
Convenience
e.
Community
72. In Cara's hometown, there is a mall with a small Sears store, a Macy's department store, a couple of fast food
restaurants, a few specialty shops, and some convenience stores. The mall features seasonal sidewalks sales and boat
shows. This mall is most likely a ____ shopping center.
a.
neighborhood
b.
national
c.
regional
d.
community
e.
city
73. Hickory Village Shopping Center has two department stores and some specialty and convenience stores. It serves a
large geographic area and holds special events to stimulate consumer traffic. Hickory is a ____ shopping center.
a.
community
b.
regional
c.
nontraditional
d.
neighborhood
e.
power
74. The target market of a regional shopping center typically includes at least ____ people.
a.
25,000
b.
50,000
c.
100,000
d.
150,000
e.
250,000
75. A shopping center containing a Macy's, Sears, and JC Penney as well as dozens of specialty shops, restaurants, and
entertainment is most likely a
a.
regional shopping center.
b.
neighborhood shopping center.
c.
community shopping center.
d.
complete business district.
e.
lifestyle shopping center.
76. Which of the following offers the widest product mixes and the deepest product lines?
a.
Category killer
b.
Outlet mall
c.
Traditional business district
d.
Community shopping center
e.
Superregional shopping center
77. Which of the following may include special attractions such as amusement parks or skating rinks?
a.
Convenience shopping centers
b.
Neighborhood shopping centers
c.
Community shopping centers
d.
Regional shopping centers
e.
Superregional shopping centers
78. An open-air shopping center that features upscale specialty, dining, and entertainment stores, usually owned by
national chains, is generally called a(n)
a.
regional shopping center.
b.
neighborhood shopping center.
c.
community shopping center.
d.
lifestyle shopping center.
e.
outlet shopping center.
79. An example of an emerging type of power shopping center might contain
a.
JC Penney, Sears, some specialty shops, McDonald’s, and Dairy Queen.
b.
Michael's, Office Depot, T.J. Maxx, and Best Buy.
c.
Liz Claiborne, Van Heusen, Corning Ware, and Mikasa outlets.
d.
Safeway, CVS, and Subway.
e.
a Supercenter Walmart.
80. A shopping center that contains stores owned by manufacturers who make a special effort not to conflict with
traditional retailers is a(n)
a.
strip mall.
b.
neighborhood shopping center.
c.
off-price mall.
d.
lifestyle shopping center.
e.
outlet shopping center.
81. ____ have been successful because consumers are willing to drive significant distances to save money buying
manufacturers' closeouts and irregulars.
a.
Off-price shopping centers
b.
Outlet shopping centers
c.
Regional shopping centers
d.
Upscale shopping centers
e.
Specialty shopping centers
82. Identifying an unserved or underserved market segment and serving it through a strategy that is distinguished in the
mind of the consumer is called
a.
the marketing concept.
b.
the wheel of retailing.
c.
retail positioning.
d.
targeted retailing.
e.
scrambled merchandising.
83. Josh tells the loan officer at First Bank and Trust that Clarksville really needs a store that offers high-quality fishing
gear to enthusiasts and provides the service and advice that many people want. No other store in the area seems to provide
this combination. Josh is trying to use ____ to support his request for a loan to start such a retail operation.
a.
scrambled merchandising
b.
location analysis
c.
the wheel of retailing
d.
product mix width
e.
retail positioning
84. Norah operates an upscale shop that does both pet grooming and human manicures and pedicures. She is reaching a
market segment with people who place great value on their dogs and are concerned with their own appearance, yet
pressed for time. No other businesses meet the needs of these consumers. Which strategic issue in retailing does Norah
appear to have addressed?
a.
Store image
b.
Location
c.
The wheel of retailing
d.
Retail positioning
e.
Scrambled merchandising
85. Brianna owns and operates a gift and interior store called The Gingerbread House. She works hard to put together
beautiful arrangements and displays throughout the store and always features a burning scented candle and light music.
She hopes these efforts will encourage her customers to buy more. Brianna is focusing on
a.
atmospherics.
b.
retail positioning.
c.
location.
d.
scrambled merchandising.
e.
value-pricing.
86. Exterior and interior characteristics such as layout, displays, color, and lighting are all elements of a store's
a.
services.
b.
atmospherics.
c.
location.
d.
environment.
e.
decor.
87. A functional and psychological picture in the consumer's mind of a retail store is called
a.
retail positioning.
b.
atmospherics.
c.
store image.
d.
interior location.
e.
retail persona.
88. Which retail store invests the most in atmospherics?
a.
Target
b.
Sears
c.
Neiman Marcus
d.
Macy’s
e.
Dick’s Sporting Goods
89. A retail strategy of managing groups of similar, often substitutable products produced by different manufacturers is
called
a.
category management.
b.
scrambled merchandising.
c.
line extensions.
d.
aggregate management.
e.
wheel of retailing.
90. The use of the telephone and other nonpersonal media to introduce products to consumers, who then can purchase the
products through the mail, telephone, or the Internet is called
a.
direct marketing.
b.
telemarketing.
c.
remote purchasing.
d.
direct-response marketing.
e.
direct selling.
91. The selling of merchandise outside the confines of actual facilities is generally called
a.
nonstore retailing.
b.
direct selling.
c.
direct marketing.
d.
Internet marketing.
e.
store-front sales.
92. The three major types of nonstore retailing are
a.
direct marketing, direct selling, and automatic vending.
b.
direct selling, automatic vending, and catalog retailing.
c.
direct marketing, direct selling, and mail-order.
d.
automatic vending, direct selling, and telemarketing.
e.
telemarketing, door-to-door, and mail-order.
93. Lucas is planning a distribution strategy for his business. He is considering using direct marketing, direct selling, and
automatic vending, which are all examples of ____ retailing.
a.
off-premise
b.
portfolio
c.
nonstore
d.
off-price
e.
direct
94. Chadwick's sends its customers booklets containing its product offerings and allows them to place orders on the
telephone, through the mail, or online. Chadwick's is primarily a(n)
a.
online retailer.
b.
direct seller.
c.
catalog marketer.
d.
direct-response marketer.
e.
specialty retailer.
95. What type of retailing began with Montgomery Ward in the late 1800s?
a.
Catalog marketing
b.
Department stores
c.
Direct selling
d.
Discount retailing
e.
Franchising
96. All of the following are types of direct marketing except
a.
catalog marketing.
b.
direct-response marketing.
c.
direct selling.
d.
television home shopping.
e.
online retailing.
97. When a retailer advertises a product and makes it available for purchase through telephone or mail orders, the retailer
is using
a.
direct selling.
b.
television home shopping.
c.
telemarketing.
d.
automatic vending.
e.
direct-response marketing.
98. Advo Systems is an organization that mails product brochures and coupons to potential consumers who can then
purchase these products by mail or by phone. Advo Systems illustrates which of the following methods of selling retail
products?
a.
Direct-response marketing
b.
Party plan
c.
Catalog marketing
d.
Specialty retailing
e.
Direct selling
99. In order to justify direct-response marketing, a product really needs to be priced above
a.
$50.
b.
$10.
c.
$5.
d.
$20.
e.
$100.
100. In the Sunday paper, Caitlin sees a flyer for a collector's edition Nativity set that is available to purchase by filling
out and mailing in a form or by calling a 1-800 number. This is an example of
a.
telemarketing.
b.
direct-response marketing.
c.
television home shopping.
d.
direct selling.
e.
catalog marketing.
101. Sophia is the new marketing manager for a new line of laptop, MP3, and smart phone accessories made by the
company, Skull Candy. These accessories are trendy, colorful, and more expensive than others on the market . After
considering the target market for the products, Sophia has decided not to use marketing-related activities conducted on the
telephone, called _____, and instead use _____, a type of nonstore retailing.
a.
e-marketing; specialty marketing
b.
direct-response marketing; vending
c.
telemarketing; vending
d.
direct-selling; online retailing
e.
telemarketing; specialty marketing
102. When products are presented to television viewers, who can purchase them by calling a toll-free number and paying
with a credit card, ____ is being used.
a.
telemarketing
b.
television marketing
c.
direct-response marketing
d.
e-marketing
e.
television home shopping
103. A retailer engaged in direct marketing would probably select television home shopping over online retailing to sell a
new kitchen device because of
a.
lower costs of selling.
b.
easier financial transactions.
c.
superior ability to demonstrate the product.
d.
superior ability to offer the product at a lower price.
e.
decreased cycle time.
104. Kelly Cramer sees a lovely pair of earrings on a television network and calls a toll-free number to order them, paying
with her credit card. This is an example of
a.
online retailing.
b.
television home shopping.
c.
telemarketing.
d.
direct-response marketing.
e.
catalog marketing.
105. Brad accesses Overstock.com’s site on the Internet and purchases a business laptop case. This is an example of
a.
direct-selling.
b.
catalog retailing.
c.
direct-response marketing.
d.
online retailing.
e.
home shopping.
106. The marketing of products to ultimate consumers through face-to-face sales presentations either at home or the
workplace is called
a.
direct marketing.
b.
direct-response marketing.
c.
telemarketing.
d.
personal selling.
e.
direct selling.
107. What is a potential disadvantage of direct selling?
a.
Commissions for salespeople are usually low.
b.
Some customers view direct selling negatively.
c.
Personal attention tends to be lacking.
d.
Product demonstrations are difficult in this type of selling.
e.
Consumers must go out of their way.
108. With respect to retailing, what is the "party plan"?
a.
A sales representative has a party at her home to demonstrate products to a group of friends and associates.
b.
A party is set up that demonstrates a product and provides free samples of the product to all in attendance.
c.
An individual is asked to tell two friends about a product, who are in turn each asked to tell two friends, etc.
until a sufficient number of people are reached.
d.
A store has a special sale that resembles a party, and those who come are asked to buy the featured products.
e.
A consumer acts as a host and invites friends to view merchandise in a group setting, where a salesperson
demonstrates the products.
109. Alison asks ten of her friends over to her home to learn about exciting new cosmetic products. A salesperson from
Angel Products makes a presentation and takes the women's orders. This is an example of
a.
a party plan.
b.
telemarketing.
c.
a warehouse club.
d.
direct marketing.
e.
a catalog showroom.
110. The primary advantage of automatic vending as a form of retailing is that
a.
it offers a low-cost, personal method of selling products.
b.
it provides a continuous service to consumers.
c.
since vending machines must be serviced frequently, the products they sell are always fresh.
d.
vending machines require very few repairs.
e.
it eliminates the need for sales personnel.
111. Redbox, ProActiv, and Clinique all sell their products through automatic vending, which is
a.
a type of nonstore retailing.
b.
a specialty line retailer.
c.
not considered a form of retailing.
d.
a type of direct selling.
e.
a form of franchising.
112. Tupperware, Sarah Coventry, Amway, and Avon sell products outside the confines of retail facilities. They are ____
retailers.
a.
discount
b.
traditional
c.
specialty
d.
non-store
e.
home-delivery
