Marketing Final Exam

Retailing today that directly involves each customer

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Unformatted text preview: consumers involved in the retail experience, also known as: a. product b. presentation c. m-commerce d. interactivity e. elements ANS: D Interactivity is a major trend in retailing today that directly involves each customer in the buying experience. PTS: 1 REF: 246 Thinking KEY: CB&E Model Distribution OBJ: 15-7 TOP: AACSB Reflective MSC: BLOOMS Application ESSAY 1. Define retailing and list the factors that are used to classify retail operations. ANS: Retailing is defined as all activities directly related to the sale of goods and services to the ultimate consumer for personal, nonbusiness use or consumption. A retail establishment can be classified according to its ownership, level of service, product assortment, and price. PTS: 1 REF: 231-232 Communication KEY: CB&E Model Distribution OBJ: 15-1 TOP: AACSB MSC: BLOOMS Synthesis 2. Define independent retailer, chain store, and franchise and give an example of each. ANS: Retailers owned by a single person or partnership and not operated as part of a larger retail institution are independent retailers. Local florist, shoe stores, and ethnic food markets typically fit this classification. Chain stores are owned and operated as a group by a single organization. Gap and Starbucks are examples of chain stores. Franchises, such as Subway or Quiznos, are owned and operated by individuals but are licensed by a larger supporting organization. PTS: 1 REF: 232 Communication KEY: CB&E Model Distribution OBJ: 15-2 TOP: AACSB MSC: BLOOMS Synthesis 3. There are several types of retail stores, each offering a different product assortment, service level, and price level, according to the shopping preferences of its customers. Name eight types of retailers. For each type, indicate the level of service, product assortment, and level of price. ANS: See Exhibit 15.1. Type of Retailer Department store Specialty store Supermarket Drugstore Convenience store Full-line discount store Specialty discount store Warehouse club Off-price retailer Restaurant Level of Service Moderately high to high High Low Low to moderate Low Moderate to low Moderate to low Product Assortment Broad Level of Price Moderate to high Narrow Broad Medium Medium to narrow Medium to broad Medium to broad Low Low Low to high Broad Medium to narrow Narrow Moderate to high Moderate Moderate Moderately high Moderately low Moderately low to low Low to very low Low Low to high PTS: 1 REF: 232 Communication KEY: CB&E Model Distribution OBJ: 15-2 TOP: AACSB MSC: BLOOMS Synthesis 4. Compare and contrast supermarkets and convenience stores. Name several characteristics of each store in your answer. ANS: SUPERMARKETS are large, departmentalized, self-service retailers that specialize in wide assortments of foodstuffs and some nonfood items. Prices are moderate, and profit margins are slim. Supermarkets seek to meet consumer demands by providing larger, one-stop stores (all the way up to the giant superstores) and scrambled merchandising. CONVENIEN...
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This document was uploaded on 09/29/2013.

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