Question 1

The idea that new types of retailers begin as low-status,low-margin,low-price operators and then-if successful-evolve into more conventional retailers offering more services is called the ______.

Accepted Answer

The wheel of retailing theory says that new types of retailers enter the market as low-status, low-margin, low-price operators and then, if successful, evolve into more conventional retailers offering more services with higher operating costs and higher prices.

Question 2

_______ is a multichannel selling approach where a single retailer provides a seamless customer experience from desktop computer,mobile device,telephone,or brick-and-mortar store.

Accepted Answer

When consumers go to a brick-and-mortar store to inspect a product (a showroom) and then purchase from an online retailer with a lower price, this practice is called showrooming.
.

Question 3

The retail life cycle of which of the following took the longest to reach market maturity?

Accepted Answer

Of the retail operations mentioned, the retail life cycle of department stores took the longest to reach market maturity-approximately 100 years. See Exhibit 12-6.

Question 4

What does "scrambled merchandising" refer to?

Accepted Answer

Scrambled merchandising refers to retailers carrying any product lines they can sell profitably.

Question 5

Which of the following statements about retailing on the Internet is true?

Accepted Answer

With just the click of a mouse, an online shopper has access to product descriptions, cost and specifications, photos, videos, reviews etc; a consumer can get a very wide assortment from different sellers on the Internet; and price comparisons are easy.

Question 6

Scrambled merchandising is carrying

Accepted Answer

Scrambled merchandising refers to retailers carrying any product lines they can sell profitably.

Question 7

Which of the following types of retailers has not yet reached market maturity?

Accepted Answer

Internet merchants arose in the mid-1990s. They have not yet reached market maturity in their retail life cycle. See Exhibit 12-6.

Question 8

Which of the following is best illustrated by a supermarket that sells jewelry?

Accepted Answer

Scrambled merchandising refers to carrying any product lines the modern retailers think they can sell profitably.

Question 9

In the U.S.by 2015,online sales were expected to top ________ billion.

Accepted Answer

By 2015, retail sales via the internet will top $350 billion.

Question 10

Which of the following is NOT true about multichannel shopping?

Accepted Answer

Many shoppers are now webrooming-gathering information at an online store and then purchasing at the brick-and-mortar store. When consumers go to a brick-and-mortar store to inspect a product (a showroom) and then purchase from an online retailer with a lower price, this practice is called showrooming.

Question 11

The retail life cycle of which type of retailer began before the 1900s?

Accepted Answer

The retail life cycle of department stores began in the mid-1800s. See Exhibit 12-6.

Question 12

When consumers go to a brick-and-mortar store to inspect a product and then purchase from an online retailer,this practice is called ______.

Accepted Answer

When consumers go to a brick-and-mortar store to inspect a product (a showroom) and then purchase from an online retailer with a lower price, this practice is called showrooming.

Question 13

The _____ says that new types of retailers enter the market as low-status,low-margin,low-price operators and then,if successful,evolve into more conventional retailers offering more services with higher operating costs and higher prices.

Accepted Answer

The wheel of retailing theory says that new types of retailers enter the market as low-status, low-margin, low-price operators and then, if successful, evolve into more conventional retailers offering more services with higher operating costs and higher prices.

Question 14

When Macy's department store makes sure that customers can go to Macys.com to find out if a sweater they want to purchase is in stock at a local store,it appears that Macy's is practicing _____.

Accepted Answer

When consumers go to a brick-and-mortar store to inspect a product (a showroom) and then purchase from an online retailer with a lower price, this practice is called showrooming.

Question 15

Some differences between online and in-store customers generally include

Accepted Answer

An online shopper has access to wider product assortments with product descriptions and specifications, photos, videos, reviews etc. However, for in-store customers, being able to inspect the product before purchase and use it immediately after purchase are definite advantages. See Exhibit 12-5.

Question 16

Which of the following is NOT true about how online retailers use big data?

Accepted Answer

Cookies (small data files placed on a customer's computer) can even tell a retailer what a shopper does at a competitor's site.

Question 17

The "wheel of retailing" theory says that

Accepted Answer

The wheel of retailing theory says that new types of retailers enter the market as low-status, low-margin, low-price operators and then evolve into more conventional retailers offering more services with higher operating costs and higher prices.

Question 18

Retailing on the Internet

Accepted Answer

With just the click of a mouse, an online shopper has access to product descriptions and specifications, photos and videos, and reviews posted by other consumers.

Question 19

Which of the following reached market maturity over a 15-year period starting in 1970?

Accepted Answer

As a specific type of retail operation, catalog showrooms reached market maturity over a 15-year period, beginning in 1970.

Question 20

Which of the following is NOT an explanation for why retailers continue to evolve and change?

Accepted Answer

Each of these is a reason for changes in retail except that the emergence of automatic vending occurred decades ago and its emergence is no longer a major influence on retail.

Quiz 14: Retailers, Wholesalers, and Their Strategy Planning