Question 1

Rack jobbers

Accepted Answer

A)   specialize in hard-to-handle assortments of products that a retailer does not want to manage.
B)   own the products they sell but they do not actually handle, stock, or deliver them.
C)   promptly deliver perishable products that regular wholesalers prefer not to carry.
D)   sell out of catalogs that may be distributed widely to smaller industrial customers or retailers.
E)   are basically manufacturers' agents who specialize in international trade.F) B) and D)
G) A) and B)

Question 2

The main difference between agent wholesalers and merchant wholesalers is:

Accepted Answer

A)   the kind of selling they do.
B)   that agent wholesalers do not own the products they sell--while merchant wholesalers do.
C)   that no agent wholesalers physically handle products--while all merchant wholesalers do.
D)   their attitudes regarding the marketing concept.
E)   There is no difference--an agent wholesaler IS a merchant wholesaler.F) C) and E)
G) B) and D)

Question 3

Jason Everson represents producers of several noncompeting industrial product lines. When he visits his clients, he carries a catalog from each one of the producers he represents. He goes through the catalogs with his clients and then places orders on their behalf with the producers, who pay Jason a commission based on what he sells. Jason is a(n) :

Accepted Answer

A)   Auctioneer.
B)   Broker.
C)   Selling agent.
D)   Rack jobber.
E)   Manufacturer's agent.F) A) and C)
G) All of the above

Question 4

Chains formed by independent retailers to run their own buying organizations and conduct joint promotion efforts are called:

Accepted Answer

A)   cooperative chains.
B)   true values.
C)   voluntary chains.
D)   retailer chains.
E)   franchise operations.F) C) and D)
G) All of the above

Question 5

A selling agent takes over the whole marketing job of producers, not just the selling function.

Accepted Answer

A) True 
 B)False

Question 6

Which of the following best describes what "retailing" involves?

Accepted Answer

A)   The sale of consumer products to wholesalers, retailers, or final consumers.
B)   The performance of all merchandising activities except promotion and pricing.
C)   The sale of both business and consumer products.
D)   The sale of products to final consumers.
E)   All of the above describe what retailing involves.F) A) and E)
G) All of the above

Question 7

Dolly Westin calls on the many gift shops in Savannah and sells a variety of unique decorative glass items, wind chimes, and picture frames produced by the companies that she represents. The store owners can order from Dolly rather than from the three different producers she represents. Apparently, Dolly is a

Accepted Answer

A)   selling agent.
B)   rack jobber.
C)   drop-shipper.
D)   broker.
E)   manufacturers' agent.F) B) and E)
G) A) and D)

Question 8

The trend toward scrambled merchandising can be explained by:

Accepted Answer

A)   the "Wheel of Retailing" Theory.
B)   the fact that cities are getting larger and larger, and it is harder for a retailer to segment the market.
C)   growing consumer demand for more service in retail stores.
D)   the fact that some retailers have traditionally used markups which seem "too high" to other retailers.
E)   the growth of telephone and direct-mail retailers.F) None of the above
G) A) and C)

Question 9

"Soak" is a retailer with two locations in a major metropolitan area, both of which are in large, popular shopping centers. It carries a unique assortment of high-quality shower and bath products, such as soaps, bubble bath, and bath oils. One of its most popular products is a "bath bomb"-a round ball that fizzes and releases aromatic bath oils when placed in a bathtub filled with warm water. The small staff at the store is very knowledgeable about the store's products and provides a high level of customer service. "Soak" would be classified as a:

Accepted Answer

A)   Convenience store.
B)   Department store.
C)   Discount house.
D)   Specialty shop.
E)   General store.F) A) and C)
G) B) and E)

Question 10

Which of the following statements about agent wholesalers is FALSE?

Accepted Answer

A)   Agent wholesalers do not own the products they sell.
B)   Their main purpose is to help in buying and selling.
C)   They normally specialize by customer type and by product or product line.
D)   They are more common in international trade than in domestic trade.
E)   They usually provide a larger number of functions than limited-function wholesalers.F) A) and B)
G) C) and D)

Question 11

U.S. Census data show that:

Accepted Answer

A)   retailers are more numerous than manufacturers and wholesalers combined.
B)   only about 11 percent of all retailers have annual sales over $5 million.
C)   over 56 percent of all retailers have annual sales less than $1 million.
D)   all of the above.
E)   none of the above.F) A) and B)
G) A) and C)

Question 12

In Japan products are often bought and sold by a series of merchant wholesalers on their way to the business user or retailer.

Accepted Answer

A) True 
 B)False

Question 13

Door-to-door selling now accounts for less than 1 percent of retail sales.

Accepted Answer

A) True 
 B)False

Question 14

The main difference between merchant wholesalers and other wholesalers is that they:

Accepted Answer

A)   are more aggressive at selling than agent wholesalers.
B)   offer fewer wholesaling functions.
C)   have the lowest operating expenses as a percent of sales.
D)   own (take title to)  the products they handle.
E)   are willing to perform retailing functions also.F) A) and C)
G) B) and C)

Question 15

Internationally, door-to-door selling is growing in popularity and, in the U.S., it accounts for more than 15 percent of all retail sales.

Accepted Answer

A) True 
 B)False

Question 16

When a supermarket manager decides to offer online ordering at the store's Web site, this is a decision about:

Accepted Answer

A)   Product
B)   Place
C)   Promotion
D)   PriceE) A) and D)
F) None of the above

Question 17

It's usually possible for a consumer to get much more information about a product in a retail store than on the Web.

Accepted Answer

A) True 
 B)False

Question 18

A retailer's "Product" may include:

Accepted Answer

A)   a particular assortment of goods and services.
B)   special orders.
C)   advice from salesclerks.
D)   quality.
E)   all of the above.F) B) and D)
G) A) and B)

Question 19

A number of independent drugstores are working with a wholesaler to obtain economies of scale in buying. They were organized by this wholesaler after a recent meeting to discuss ways of competing with corporate chains. These drugstores are now part of a:

Accepted Answer

A)   corporate chain.
B)   voluntary chain.
C)   consumer cooperative.
D)   cooperative chain.
E)   franchise chain.F) A) and B)
G) A) and C)

Question 20

A limited-line store is to a single-line store as

Accepted Answer

A)   a tennis shop is to a sporting goods store.
B)   a paint store is to a drugstore.
C)   quality is to price.
D)   a CD and tape store is to a movie theater.
E)   full service is to self-service.F) A) and C)
G) A) and B)

Exam 13: Retailers,wholesalers,and Their Strategy Planning

Which of the following statements about agent wholesalers is FALSE?

Correct Answer
verified

In Japan products are often bought and sold by a series of merchant wholesalers on their way to the business user or retailer.

Correct Answer
verified

A limited-line store is to a single-line store as

Correct Answer
verified

U.S. Census data show that:

Correct Answer
verified

The trend toward scrambled merchandising can be explained by:

Correct Answer
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The main difference between merchant wholesalers and other wholesalers is that they:

Correct Answer
verified

A number of independent drugstores are working with a wholesaler to obtain economies of scale in buying. They were organized by this wholesaler after a recent meeting to discuss ways of competing with corporate chains. These drugstores are now part of a:

Correct Answer
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Correct Answer
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When a supermarket manager decides to offer online ordering at the store's Web site, this is a decision about:

Correct Answer
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Correct Answer
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A retailer's "Product" may include:

Correct Answer
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Which of the following best describes what "retailing" involves?

Correct Answer
verified

Internationally, door-to-door selling is growing in popularity and, in the U.S., it accounts for more than 15 percent of all retail sales.

Correct Answer
verified

It's usually possible for a consumer to get much more information about a product in a retail store than on the Web.

Correct Answer
verified

Chains formed by independent retailers to run their own buying organizations and conduct joint promotion efforts are called:

Correct Answer
verified

Correct Answer
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Rack jobbers

Correct Answer
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A selling agent takes over the whole marketing job of producers, not just the selling function.

Correct Answer
verified

The main difference between agent wholesalers and merchant wholesalers is:

Correct Answer
verified

Door-to-door selling now accounts for less than 1 percent of retail sales.

Correct Answer
verified

Exam 13: Retailers,wholesalers,and Their Strategy Planning

Which of the following statements about agent wholesalers is FALSE?

Correct AnswerverifiedShow Answer

In Japan products are often bought and sold by a series of merchant wholesalers on their way to the business user or retailer.

Correct AnswerverifiedShow Answer

A limited-line store is to a single-line store as

Correct AnswerverifiedShow Answer

U.S. Census data show that:

Correct AnswerverifiedShow Answer

The trend toward scrambled merchandising can be explained by:

Correct AnswerverifiedShow Answer

The main difference between merchant wholesalers and other wholesalers is that they:

Correct AnswerverifiedShow Answer

A number of independent drugstores are working with a wholesaler to obtain economies of scale in buying. They were organized by this wholesaler after a recent meeting to discuss ways of competing with corporate chains. These drugstores are now part of a:

Correct AnswerverifiedShow Answer

Correct AnswerverifiedShow Answer

When a supermarket manager decides to offer online ordering at the store's Web site, this is a decision about:

Correct AnswerverifiedShow Answer

Correct AnswerverifiedShow Answer

A retailer's "Product" may include:

Correct AnswerverifiedShow Answer

Which of the following best describes what "retailing" involves?

Correct AnswerverifiedShow Answer

Internationally, door-to-door selling is growing in popularity and, in the U.S., it accounts for more than 15 percent of all retail sales.

Correct AnswerverifiedShow Answer

It's usually possible for a consumer to get much more information about a product in a retail store than on the Web.

Correct AnswerverifiedShow Answer

Chains formed by independent retailers to run their own buying organizations and conduct joint promotion efforts are called:

Correct AnswerverifiedShow Answer

Correct AnswerverifiedShow Answer

Rack jobbers

Correct AnswerverifiedShow Answer

A selling agent takes over the whole marketing job of producers, not just the selling function.

Correct AnswerverifiedShow Answer

The main difference between agent wholesalers and merchant wholesalers is:

Correct AnswerverifiedShow Answer

Door-to-door selling now accounts for less than 1 percent of retail sales.

Correct AnswerverifiedShow Answer

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