Retail tasks can be performed _____.
a. by the retailer, manufacturer, wholesaler, specialists, or consumers
b. only by the retailer
c. by the retailer, manufacturer, or wholesaler
d. by the retailer, manufacturer, wholesaler, or specialists
Primary, secondary, and fringe trading areas for an existing store can be described on
the basis of _____.
a. trading-area overlap with existing stores
b. the average dollar purchases at a store by people from given geographic locales
c. customer attitudes
d. the frequency of large orders
A store which groups female clothing into juniors’, misses’, and ladies’ has classified
those departments by _____ product groupings.
a. storability
b. purchase motivation
c. functional
d. market segment
An example of a good retail promotional objective is to _____.
a. generate store traffic
b. increase store loyalty
c. encourage shoppers to recommend friends
d. increase sales by 20 percent over the same period last year
Off-price chains and membership clubs have similar strategies in their use of _____.
a. private labels
b. opportunistic buying
c. catalog-based sales
d. one-stop shopping appeals
Which is a major limitation of exclusive distribution?
a. poor relations among channel members
b. limited sales potential
c. high price competition
d. low levels of customer service
The use of a variable markup policy on a systematic basis is referred to as _____.
a. direct product profitability
b. administered pricing
c. pricing at the market
d. unit pricing
The major difference between a typical credit account and a debit-only transfer system
is that in the debit-only transfer system, _____.
a. interest is assessed from the billing date
b. the purchase price is immediately deducted from the consumer’s bank account
c. no interest is charged if payment is made at the billing date
d. the consumer is billed monthly on the basis of the outstanding balance
Both loss leaders and leader pricing seek to _____.
a. maximize a retailer’s return on investment
b. increase early recovery of cash for a retailer
c. reduce marginal competitors through aggressive pricing practices
d. increase store traffic and sales of regular markup merchandise
A trading-area analysis reveals that a retailer’s trading area is strictly based on the
trading area of a major department store anchor tenant in the regional shopping center.
This can be explained by the _____.
a. center’s being in retail balance
b. center’s being overstored
c. retailer’s being a parasite
d. retailer having a small fringe trading area
In downsizing, retailers increase productivity through _____.
a. closing unprofitable stores or selling unprofitable divisions
b. economies of scale
c. increasing the number of destination stores
d. appealing to consumers with value-driven retailing
Direct marketing is limited to catalog purchases.
All crises affecting a retailer can be anticipated.
Dump bin displays are generally less costly than cut cases.
According to psychological pricing theories, prices can be set too high, as well as too
low.
One partner is not liable for the other partner’s actions in the conduct of their business.
Shopper profiles should ideally be comprised of both demographic and lifestyle factors.
In an odd-pricing strategy, it is assumed that consumers feel that prices are bargains or
that amounts charged are below their price ceilings.