Question 1

Laura Ashley,The Body Shop,Victoria's Secret,Starbucks,the Disney Store and Gap are examples of global retail operators that can be classified as specialty retailers since they offer less variety than department stores.

Accepted Answer

Specialty retailers focus on specific product categories, offering a narrower but deeper assortment compared to department stores, which sell a wide range of merchandise across different categories.

Question 2

Today,"conbinis" are ubiquitous in Japan,with tens of thousands of store locations.

Accepted Answer

Conbinis, or convenience stores, are indeed ubiquitous in Japan, with tens of thousands of locations across the country, offering a wide range of products and services.

Question 3

The French Connection Group PLC closed all of its U.S.and Japanese stores,as well as underperforming stores in Europe.

Accepted Answer

French Connection Group PLC announced the closure of its U.S. and Japanese stores, along with underperforming European stores, as part of a strategic move to improve profitability and focus on its core UK market and online sales.

Question 4

Swedish furniture retailer IKEA pulled meatballs from its cafeterias and grocery sections in several countries after food inspectors found some samples that contained horse meat.

Accepted Answer

IKEA pulled meatballs from stores in Europe after tests in the Czech Republic in 2013 revealed that some contained horse meat, which was not listed among the ingredients.

Question 5

The reason why Saks Fifth Avenue has licensed stores in the Middle East is to limit their risk when targeting unfamiliar,difficult-to-enter markets.

Accepted Answer

Licensing allows a company like Saks Fifth Avenue to enter unfamiliar or difficult markets by partnering with local entities that understand the market better, thus limiting their financial and operational risks.

Question 6

A variety of environmental factors have combined to push retailers out of their home markets in search of opportunities around the globe.All of the following reasons are responsible for such a move except:

Accepted Answer

The answer of A variety of environmental factors have combined...

Question 7

Hypermarkets are a hybrid retailing format combining the discounter,supermarket,and warehouse club approaches under a single roof.

Accepted Answer

Hypermarkets combine features of supermarkets, discounters, and warehouse clubs, offering a wide variety of food and non-food items, often at discounted prices, in a large retail space.

Question 8

Germany's Aldi and Lidl ("Where quality is cheaper!")and France's Leader Price ("Le Prix La Qualité en Plus!")are among the most popular discount retailers.

Accepted Answer

Aldi and Lidl are German discount supermarket chains known for their low prices and efficient shopping experience, while Leader Price is a French discount store with a similar focus on value for money, making them popular among consumers looking for quality products at lower prices.

Question 9

Selfridge fell victim to various demons and vices and was ousted from the company he had founded.

Accepted Answer

Harry Gordon Selfridge's extravagant lifestyle and gambling led to his downfall, and he was ousted from the leadership of the Selfridge & Co. department store he founded.

Question 10

Saks Fifth Avenue has ________ stores in the Middle East.

Accepted Answer

Saks Fifth Avenue operates licensed stores in the Middle East, meaning they have agreements with local partners to use their brand and retail concept.

Question 11

When British entrepreneur Richard Branson established the first Virgin Megastore in France,he invested a great deal of money to develop a retail space on the famous Champs-Elysées.Judging by the approach Branson used,he and his management team must have viewed France as:

Accepted Answer

Branson's significant investment in a prime location suggests he viewed France as culturally close and easy to enter, indicating confidence in the market's compatibility with his business model.

Question 12

When Carrefour,Tesco,or Walmart set up shop in developing countries,they provide customers with access to more products but at higher prices than were available previously.This is an example of global retailing.

Accepted Answer

Global retailing refers to the operation of retail chains in multiple countries, and while it can lead to access to a wider range of products, it does not inherently mean that prices will be higher than previously available. Prices can vary based on several factors including local competition, supply chain efficiencies, and pricing strategies.

Question 13

The entry global retailing market expansion strategies include all of the following except:

Accepted Answer

Departmental stores are a type of retail format, not a strategy for global market expansion. Strategies like franchising, chain acquisition, joint ventures, and organic growth are methods used by companies to enter or expand in global markets.

Question 14

Walmart's international expansion in the mid-1990s coincided with disappointing financial results in its home market.

Accepted Answer

Walmart's international expansion in the mid-1990s was partly driven by the need to find new growth opportunities as the company faced challenges and slower growth in its domestic market.

Question 15

Japanese retailers traditionally offered few extra services to clientele;their stock was chosen not according to consumer demand but,rather,according to purchasing preferences of the stores.

Accepted Answer

Japanese retailers historically focused on stocking items based on their own purchasing preferences rather than consumer demand, offering limited additional services to customers.

Question 16

Nakumatt,is a supermarket chain in Kenya,where people go to show that they are educated and prosperous and cognizant of larger affairs.

Accepted Answer

The passage states that Nakumatt is a supermarket chain in Kenya where people go to show that they are educated and prosperous and cognizant of larger affairs. This implies that Nakumatt is a place where people go to show off their wealth and status, which is a common behavior among educated and prosperous people.

Question 17

Walmart pulled out of Germany;Best Buy closed several stores in China.These examples illustrate that it is not possible to export a retail business model that has proven successful in the domestic market.

Accepted Answer

The given examples show that it is not always possible to export a retail business model that has proven successful in the domestic market.

Question 18

Retailers may have a difficult time crossing borders if they fail to appreciate similarities in retailing environments,and consumer behavior and preferences.

Accepted Answer

Retailers may have a difficult time crossing borders if they fail to appreciate differences in retailing environments, and consumer behavior and preferences, as understanding local market nuances is crucial for success.

Question 19

The world's five largest malls are in Asia.

Accepted Answer

Asia is home to some of the world's largest malls, including the New South China Mall, SM Tianjin, Golden Resources Mall, ICONSIAM, and CentralWorld, which are among the top in terms of total area.

Question 20

Today's global retailing scene is characterized by great diversity.

Accepted Answer

The global retailing scene is diverse due to variations in cultures, economic conditions, technological advancements, and consumer preferences across different countries and regions.

Quiz 12: Global Marketing Channels and Physical Distribution