Sportstors, Inc., operates a chain of very large stores that offer an incredible selection of sporting goods at very competitive prices. When Sportstors opens its first store in a geographic area, smaller sporting goods stores almost always experience a noticeable drop in sales. Sportstors stores can be classified as:
A) warehouse clubs.
B) department stores.
C) category killers.
D) full-service wholesalers.

Question

Quizplus · Accepted Answer

Sportstors stores are known as "category killers," because they specialize in a particular product category and offer a vast selection at lower prices. This often leads to the decline of sales in smaller, specialized sporting goods stores in the area. The other options, such as warehouse clubs, department stores, and full-service wholesalers, do not accurately describe the business model of Sportstors.