Question 1

Retail facilities located in big, low-cost buildings with large on-premise inventories and minimal services are called

Accepted Answer

Retail facilities located in big, low-cost buildings with large on-premise inventories and minimal services are called "warehouse showrooms." This type of retail store is typically warehouse-like in nature, with products displayed on racks or shelves in a warehouse-style setting. These stores offer lower prices than traditional retail outlets because they have lower overhead costs, and the focus is often on selling large quantities of products at low prices. Examples of warehouse showrooms include Costco, Sam's Club, and BJ's Wholesale Club.

Question 2

Aidan is getting ready to move to campus for his freshman year of college. To get the products he needs for his dorm room, he goes to a store that sells household goods such as plastic containers, sheets, and towels. The store also sells items such as shampoo, deodorant, and toothpaste. Aidan has most likely gone to a(n)

Accepted Answer

Superstores typically sell a wide variety of products, including household goods and personal care items, all in one location.

Question 3

Kroger, Safeway, and Publix are all considered

Accepted Answer

Kroger, Safeway, and Publix are all considered supermarkets, which are large retail stores that specialize in selling a wide variety of food products and household items.

Question 4

Which type of retail outlet can have up to 200,000 square feet?

Accepted Answer

Superstores are retail outlets that typically have a wide range of products, including groceries, electronics, clothing, and more. They are known for their large size, which can range from 50,000 to 200,000 square feet. Therefore, option A is the correct answer.

Question 5

Off-price retailers feature

Accepted Answer

Off-price retailers typically offer deep discounts on merchandise that may be overstocks or discontinued items, and they prioritize low prices over a wide product selection or extensive customer services. Central checkouts help to streamline the shopping experience and reduce overhead costs. While some off-price retailers may occasionally carry designer brands, this is not a defining characteristic of the category. Cash-only sales and a very narrow product range would be uncommon in the off-price retail space.

Question 6

Specialty stores offer ____ than department stores.

Accepted Answer

Specialty stores typically have a narrower focus and expertise in their chosen product category, allowing them to offer better selections and more in-depth knowledge to customers compared to department stores, which carry a wider range of products but may not have the same level of expertise or variety within individual categories. Additionally, specialty stores may also offer higher quality products, but this is not necessarily always the case as it depends on the specific store and product in question.

Question 7

A store that offers a wide variety of shoes for men, women, and children would most likely be considered a(n)

Accepted Answer

A specialty retailer focuses on a specific product category, such as shoes, and offers a wide variety of items within that category for various demographics.

Question 8

A large retailer selling food and most routinely purchased consumer products is a

Accepted Answer

The answer of A large retailer selling food and most...

Question 9

Sam's and Costco are examples of

Accepted Answer

Sam's and Costco are both warehouse clubs, which offer bulk items and discounted prices to members. They require a membership fee to shop at their stores, and often have limited selection of products compared to traditional retail stores.

Question 10

Retailers that sell only to members and feature discount retailing combined with cash-and-carry wholesaling are called

Accepted Answer

The description matches the definition of warehouse clubs, which are membership-based retailers that offer products at discounted prices in cash-and-carry style. Examples include Costco and Sam's Club.

Question 11

What is the primary distinction between superstores and hypermarkets?

Accepted Answer

The primary distinction between superstores and hypermarkets is that hypermarkets are larger and have more types of products than superstores. Hypermarkets typically offer groceries, clothing, electronics, appliances, and more, while superstores may focus more on specific types of products such as home goods or electronics. Additionally, hypermarkets tend to have fewer departments but deeper product lines within those departments, while superstores offer a wider variety of products.

Question 12

Levitz Furniture locates in huge, low-cost buildings, maintains large, on-premises inventories, and offers minimum service. Levitz is a

Accepted Answer

Levitz Furniture's business model (locating in huge, low-cost buildings, maintaining large inventories, and offering minimal service) aligns with the characteristics of a warehouse showroom.

Question 13

Off-price retailers and category killers are both

Accepted Answer

The answer of Off-price retailers and category killers are both
...

Question 14

Matt's girlfriend tells him she wants a cashmere sweater for Christmas. Matt decides to go to a store that provides the best possible selection of sweaters. His best choice would be to shop at a ____ store.

Accepted Answer

A traditional specialty store would provide the best possible selection of high-quality cashmere sweaters, which would be Matt's best choice for finding the gift his girlfriend wants. Department stores typically carry a variety of products and may not have as extensive a selection of cashmere sweaters. Catalog and discount stores may have limited selections or lower quality products. Convenience stores are unlikely to carry cashmere sweaters at all.

Question 15

What type of retailers are the primary competitors for specialty retailers?

Accepted Answer

The answer of What type of retailers are the primary...

Question 16

A narrow product mix with a deep product line would most likely be carried by

Accepted Answer

Specialty retailers typically focus on a specific product category or niche market and often carry a deep product line within that category. While they may have a narrow product mix overall, they are likely to have a wide variety of options within their chosen category.

Question 17

Which of the following is not a common feature of a warehouse club?

Accepted Answer

Good customer service is not typically a common feature of a warehouse club. These stores often prioritize low prices and bulk quantities over personalized customer experiences.

Question 18

Laura goes to Walmart and buys some clothing, a DVD, and all the groceries she needs for her family. What type of retailer is this particular Walmart?

Accepted Answer

A Walmart that sells clothing, DVDs, and groceries can be classified as a superstore because it offers a wide range of products across multiple categories all under one roof. While a hypermarket may also fit this description, it is typically reserved for stores that are even larger and offer an even wider range of products. Discount stores and department stores typically focus on a narrower range of products, so they would not be the best choice for this scenario. Supermarkets typically sell only groceries, so they would not be the best choice either.

Question 19

After shopping in the same store for nearly two hours, Chelsea goes to Burger King for a Whopper, while Cynthia goes to the optical shop to see if her contacts are ready. They engage in these activities without leaving the store in which they have been shopping. They are most likely in a

Accepted Answer

The answer of After shopping in the same store for...

Question 20

Which of the following is a large-scale, members-only, retailer that combines cash-and-carry wholesaling with discount retailing?

Accepted Answer

A warehouse club is a large-scale, members-only retailer that combines cash-and-carry wholesaling with discount retailing. Warehouse showrooms specialize in selling merchandise in bulk to businesses or individuals. Catalog showrooms allow customers to browse through catalogs and purchase items onsite. Category killers are specialty stores that dominate a particular product category in a geographic area. Hypermarkets are large retailers that combine a supermarket and a department store.

Quiz 16: Retailing, Direct Marketing, and Wholesaling