Chapter 13 - Testbanks PDF

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Warning: TT: undefined function: 32 Principles of Marketing, 17e, Global Edition (Kotler/Armstrong) Chapter 13 Retailing and Wholesaling ________ includes all the activities involved in selling products or services directly to final consumers for their personal, nonbusiness use. A) Franchising B) Re...

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Principles of Marketing, 17e, Global Edition (Kotler/Armstrong) Chapter 13 Retailing and Wholesaling 1) ________ includes all the activities involved in selling products or services directly to final consumers for their personal, nonbusiness use. A) Franchising B) Retailing C) Brokering D) Wholesaling E) Disintermediation Answer: B Skill: Concept Objective: LO 13.1: Explain the role of retailers in the distribution channel and describe the major types of retailers. Difficulty: Easy 2) Many institutions, including retailers, wholesalers, and ________ do retailing. A) schools B) government agencies C) factory farmers D) manufacturers E) defense contractors Answer: D Skill: Concept Objective: LO 13.1: Explain the role of retailers in the distribution channel and describe the major types of retailers. Difficulty: Easy 3) Retailers connect brands with consumers in the ________ phases of the buying process. A) need identification B) evaluation of alternatives C) final D) information gathering E) post-purchase Answer: C Skill: Concept Objective: LO 13.1: Explain the role of retailers in the distribution channel and describe the major types of retailers. Difficulty: Easy

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4) ________ involves using in-store promotions and advertising to extend brand equity to "the last mile" and encourage favorable point-of-purchase decisions. A) Differentiation B) Shopper marketing C) Social media marketing D) Retailer marketing E) Segmentation Answer: B AACSB: Analytical thinking Skill: Concept Objective: LO 13.1: Explain the role of retailers in the distribution channel and describe the major types of retailers. Difficulty: Easy 5) ________ creates a seamless cross-channel buying experience that integrates in-store, online, and mobile shopping. A) Shopper marketing B) Point-of-purchase marketing C) Social media marketing D) Virtual marketing E) Omni-channel retailing Answer: E Skill: Concept Objective: LO 13.1: Explain the role of retailers in the distribution channel and describe the major types of retailers. Difficulty: Easy 6) Retailers are classified on characteristics including the amount of service they offer, the breadth and depth of their product lines, how they are organized, and ________. A) the relative prices they charge B) the number of locations they have C) the strength of their Internet presence D) their sustainability and environmental policies E) the stability of their financial situation Answer: A Skill: Concept Objective: LO 13.1: Explain the role of retailers in the distribution channel and describe the major types of retailers. Difficulty: Moderate

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7) At Neiman Marcus, a first-class department store, customers shop for high-end products and they are assisted in every phase of the shopping process. Neiman Marcus is a ________. A) full-service retailer B) limited-service retailer C) self-service retailer D) specialty store E) superstore Answer: A AACSB: Application of knowledge Skill: Concept Objective: LO 13.1: Explain the role of retailers in the distribution channel and describe the major types of retailers. Difficulty: Moderate 8) ________ is a type of service offered by those retailers who serve customers that are willing to perform their own "locate-compare-select" process in order to save money. A) Limited-service B) Self-service C) Full-service D) Specialty-service E) Wholesaling Answer: B AACSB: Analytical thinking Skill: Concept Objective: LO 13.1: Explain the role of retailers in the distribution channel and describe the major types of retailers. Difficulty: Easy 9) ________ are retailers that offer sales assistance because they carry more shopping goods about which customers might need information. A) Self-service retailers B) Full-service retailers C) Off-price retailers D) Limited-service retailers E) Specialty-service retailers Answer: D AACSB: Analytical thinking Skill: Concept Objective: LO 13.1: Explain the role of retailers in the distribution channel and describe the major types of retailers. Difficulty: Easy

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10) Which type of retailer usually carries more specialty goods at high prices and is more likely to provide customers with assistance in every phase of the shopping process? A) self-service retailer B) limited-service retailer C) full-service retailer D) independent retailer E) off-price retailer Answer: C AACSB: Application of knowledge Skill: Concept Objective: LO 13.1: Explain the role of retailers in the distribution channel and describe the major types of retailers. Difficulty: Easy 11) At JCPenney, a mid-level department store, customers shop for moderately priced products and they are assisted in some phases of the shopping process. JCPenney is a ________. A) full-service retailer B) limited-service retailer C) self-service retailer D) specialty store E) superstore Answer: B AACSB: Application of knowledge Skill: Concept Objective: LO 13.1: Explain the role of retailers in the distribution channel and describe the major types of retailers. Difficulty: Moderate 12) Which type of retailer is most likely to require its employees to focus most on assisting customers as they shop? A) self-service retailer B) full-service retailer C) off-price retailer D) limited-service retailer E) convenience retailer Answer: B AACSB: Application of knowledge Skill: Concept Objective: LO 13.1: Explain the role of retailers in the distribution channel and describe the major types of retailers. Difficulty: Easy

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13) Today, ________ are flourishing due to the increased use of market segmentation and market targeting. A) chain stores B) specialty stores C) superstores D) discount stores E) off-price stores Answer: B Skill: Concept Objective: LO 13.1: Explain the role of retailers in the distribution channel and describe the major types of retailers. Difficulty: Easy 14) Specialty stores carry ________ with ________ within them. A) only convenience products; shallow assortments B) narrow product lines; deep assortments C) narrow product lines; shallow assortments D) wide product lines; shallow assortments E) wide product lines; deep assortments Answer: B AACSB: Application of knowledge Skill: Concept Objective: LO 13.1: Explain the role of retailers in the distribution channel and describe the major types of retailers. Difficulty: Moderate 15) Which type of store carries a wide variety of product lines and has been squeezed in recent years between more focused and flexible specialty stores on the one hand and more efficient, lower-priced discounters on the other? A) warehouse clubs B) department store C) factory outlet D) merchant wholesaler E) category specialist Answer: B AACSB: Application of knowledge Skill: Concept Objective: LO 13.1: Explain the role of retailers in the distribution channel and describe the major types of retailers. Difficulty: Moderate

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16) ________ are facing slow sales growth because of slower population growth, increased competition, and the rapid growth of out-of-home eating. A) Warehouse clubs B) Off-price retailers C) Discount stores D) Supermarkets E) Factory outlets Answer: D AACSB: Analytical thinking Skill: Concept Objective: LO 13.1: Explain the role of retailers in the distribution channel and describe the major types of retailers. Difficulty: Easy 17) Which of the following is the most frequently visited type of retail store? A) convenience store B) department store C) supermarket D) superstore E) off-price retailer Answer: C Skill: Concept Objective: LO 13.1: Explain the role of retailers in the distribution channel and describe the major types of retailers. Difficulty: Easy 18) A ________ is a small store, located near a residential area that is open long hours seven days a week and carries a limited line of high-turnover goods. A) convenience store B) chain store C) department store D) supermarket E) specialty store Answer: A AACSB: Application of knowledge Skill: Concept Objective: LO 13.1: Explain the role of retailers in the distribution channel and describe the major types of retailers. Difficulty: Easy

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19) Which type of store is much larger than regular supermarkets and offers a large assortment of routinely purchased food products, nonfood items, and services? A) off-price retailer B) specialty store C) factory outlet D) superstore E) convenience store Answer: D AACSB: Application of knowledge Skill: Concept Objective: LO 13.1: Explain the role of retailers in the distribution channel and describe the major types of retailers. Difficulty: Easy 20) Which type of store carries a deep assortment of a particular product line, has knowledgeable staff, and can be viewed as a giant specialty store? A) category killer B) convenience store C) factory outlet D) warehouse club E) off-price retailer Answer: A AACSB: Application of knowledge Skill: Concept Objective: LO 13.1: Explain the role of retailers in the distribution channel and describe the major types of retailers. Difficulty: Moderate 21) Home Depot and PetSmart are examples of ________. A) factory outlets B) warehouse clubs C) superstores D) off-price retailers E) category killers Answer: E AACSB: Application of knowledge Skill: Concept Objective: LO 13.1: Explain the role of retailers in the distribution channel and describe the major types of retailers. Difficulty: Easy

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22) Which of the following would be considered a service retailer? A) factory outlets B) supermarkets C) jewelry stores D) restaurants E) gas stations Answer: D AACSB: Application of knowledge Skill: Concept Objective: LO 13.1: Explain the role of retailers in the distribution channel and describe the major types of retailers. Difficulty: Easy 23) ________ retailers in the United States are growing faster than product retailers. A) Discount B) Merchant C) Service D) Specialty E) Off-price Answer: C Skill: Concept Objective: LO 13.1: Explain the role of retailers in the distribution channel and describe the major types of retailers. Difficulty: Moderate 24) ________ sell standard merchandise at lower prices by accepting lower margins and selling higher volume. A) Merchant wholesalers B) Discount stores C) Full-service retailers D) Limited-service retailers E) Factory outlets Answer: B AACSB: Application of knowledge Skill: Concept Objective: LO 13.1: Explain the role of retailers in the distribution channel and describe the major types of retailers. Difficulty: Easy

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25) The early ________ cut expenses by offering few services and operating in warehouse-like facilities in low-rent, heavily traveled districts. A) department stores B) hypermarkets C) discount stores D) supermarkets E) full-service retailers Answer: C AACSB: Application of knowledge Skill: Concept Objective: LO 13.1: Explain the role of retailers in the distribution channel and describe the major types of retailers. Difficulty: Easy 26) As discount stores traded up, ________ have filled the ultra low-price, high-volume gap by buying at less-than-regular wholesale prices and charging consumers less than retail. A) off-price retailers B) specialty stores C) convenience stores D) chain stores E) supercenters Answer: A AACSB: Application of knowledge Skill: Concept Objective: LO 13.1: Explain the role of retailers in the distribution channel and describe the major types of retailers. Difficulty: Easy 27) Which of the following is NOT a type of off-price retailer? A) independent B) factory outlet C) warehouse club D) category killer E) wholesale club Answer: D AACSB: Application of knowledge Skill: Concept Objective: LO 13.1: Explain the role of retailers in the distribution channel and describe the major types of retailers. Difficulty: Moderate

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28) ________ are manufacturer-owned and operated stores that offer prices as low as 50 percent below retail on a wide range of mostly surplus, discounted, or irregular items. A) Category killers B) Factory outlets C) Specialty stores D) Superstores E) Power centers Answer: B AACSB: Application of knowledge Skill: Concept Objective: LO 13.1: Explain the role of retailers in the distribution channel and describe the major types of retailers. Difficulty: Easy 29) Which of the following is an off-price retailer that operates in a huge, warehouse-like facility and offers few frills? A) warehouse club B) service retailer C) convenience store D) hypermarket E) superstore Answer: A AACSB: Application of knowledge Skill: Concept Objective: LO 13.1: Explain the role of retailers in the distribution channel and describe the major types of retailers. Difficulty: Easy 30) ________ are two or more outlets that are commonly owned and controlled. A) Corporate chains B) Convenience stores C) Off-price retailers D) Independent off-price retailers E) Power centers Answer: A Skill: Concept Objective: LO 13.1: Explain the role of retailers in the distribution channel and describe the major types of retailers. Difficulty: Easy

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31) As a result of the great success of corporate chains, many independent stores choose to band together in either a voluntary chain or a ________. A) factory outlet B) retailer cooperative C) wholesale club D) warehouse club E) convenience cooperative Answer: B AACSB: Application of knowledge Skill: Concept Objective: LO 13.1: Explain the role of retailers in the distribution channel and describe the major types of retailers. Difficulty: Easy 32) A ________ is a wholesaler-sponsored group of independent retailers that engages in group buying and common merchandising. A) voluntary chain B) retailer cooperative C) franchise D) wholesale club E) warehouse club Answer: A AACSB: Application of knowledge Skill: Concept Objective: LO 13.1: Explain the role of retailers in the distribution channel and describe the major types of retailers. Difficulty: Easy 33) McDonald's, Subway, and Jiffy Lube are all examples of ________. A) voluntary chains B) retailer cooperatives C) franchises D) category killers E) power centers Answer: C AACSB: Application of knowledge Skill: Concept Objective: LO 13.1: Explain the role of retailers in the distribution channel and describe the major types of retailers. Difficulty: Easy

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34) Which of the following kind of organization best represents a contractual association based on some unique product or service, a method of doing business, or a trade name or goodwill? A) corporate chain B) franchise C) voluntary chain D) retailer cooperative E) warehouse club Answer: B AACSB: Application of knowledge Skill: Concept Objective: LO 13.1: Explain the role of retailers in the distribution channel and describe the major types of retailers. Difficulty: Challenging 35) Sears, Target, and Kroger are examples of ________. A) voluntary chains B) retailer cooperatives C) corporate chains D) franchise organizations E) warehouse clubs Answer: C AACSB: Application of knowledge Skill: Concept Objective: LO 13.1: Explain the role of retailers in the distribution channel and describe the major types of retailers. Difficulty: Moderate 36) Independent Grocers Alliance, Do-It Best, and Western Auto are examples of ________. A) franchise organizations B) warehouse clubs C) voluntary chains D) category killers E) wholesale clubs Answer: C AACSB: Application of knowledge Skill: Concept Objective: LO 13.1: Explain the role of retailers in the distribution channel and describe the major types of retailers. Difficulty: Easy

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37) GameStop sells only video games and systems, offering a narrow product line with a deep assortment within that line. GameStop is a(n) ________. A) department store B) convenience store C) category killer D) specialty store E) off-price retailer Answer: D AACSB: Analytical thinking Skill: Application Objective: LO 13.1: Explain the role of retailers in the distribution channel and describe the major types of retailers. Difficulty: Easy 38) Stop-N-Go , 7-Eleven, and Circle K are examples of ________. A) department stores B) convenience stores C) category killers D) specialty stores E) supermarkets Answer: B AACSB: Application of knowledge Skill: Application Objective: LO 13.1: Explain the role of retailers in the distribution channel and describe the major types of retailers. Difficulty: Moderate 39) Which of the following terms best describes a large, low-cost, low-margin, high-volume, self-service store that carries a wide variety of grocery and household products? A) convenience store B) supermarket C) specialty store D) warehouse club E) factory outlet Answer: B AACSB: Analytical thinking Skill: Concept Objective: LO 13.1: Explain the role of retailers in the distribution channel and describe the major types of retailers. Difficulty: Easy

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40) Overstock.com, a Web seller that buys furniture, clothing, electronics, and more from a variety of producers at less-than-regular wholesale prices and then charges customers less than retail, is a(n) ________. A) specialty store B) off-price retailer C) factory outlet D) wholesale club E) category killer Answer: B AACSB: Analytical thinking Skill: Application Objective: LO 13.1: Explain the role of retailers in the distribution channel and describe the major types of retailers. Difficulty: Moderate

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Refer to the scenario below to answer the following question(s). In the 1970s, Shipshewana was only a small town with a hardware store, a grain mill, a shoe store, a small restaurant, and a grocery store. Over the next two decades, the small town transformed into an international tourist attraction, attracting thousands of tourists who were intrigued by the lifestyle of Shipshewana's largest population—the Amish. Ben and Mary Miller, having grown up within the Amish faith, decided to capitalize on their town's popularity and their woodworking skills. Their shop, Indiana Wood, began with a small display of handmade hickory rocking chairs, Ben Miller's specialty. But within a few months, the display at Indiana Wood included picnic tables, flower boxes, and small handmade novelty items. No other shop offers the same variety. Mary Miller decorated the shop's display room with authentic Amish décor and eventually hired three Amish friends to sew and embroider napkins and other textiles as customers had requested such items. In addition, two women from the Amish community sought permission from the Millers to display home-baked pastries and jellies on Tuesdays and Wednesdays, when Shipshewana attracts swarms of visitors to its flea market on the south edge of town. The Millers also hired four more people to help customers throughout the purchasing process and to provide the required product-related information to the customers. "Shipshewana is full of specialty shops," Mary Miller stated. "People don't come here to buy things made in China or Taiwan. They want real, Amish-made goods." 41) Indiana Wood can be best classified as a(n) ________. A) full-service retailer B) industrial distributor C) self-service retailer D) warehouse club E) limited-service retailer Answer: A AACSB: Application of knowledge Skill: Application Objective: LO 13.1: Explain the role of retailers in the distribution channel and describe the major types of retailers. Difficulty: Moderate

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42) Retailers can also be classified by the length and breadth of their product assortments. In terms of product line, what kind of retailer is Indiana Wood? A) supermarket B) specialty store C) category killer D) department store E) convenience store Answer: B AACSB: Analytical thinking Skill: Application Objective: LO 13.1: Explain the role of retailers in the distribution channel a...