Question 1

An unrelated diversification growth opportunity

Accepted Answer

A)   has a lot in common between the retailer's present business and the new growth opportunity.
B)   is less risky compared to a related growth opportunity.
C)   is less effective compared to a related growth opportunity.
D)   is less expensive compared to related growth opportunity.
E)   has little commonality between the retailer's present business and the new growth opportunity.

Question 2

Which of the following statements is an advantage of a joint venture?

Accepted Answer

A)   The entering retailer is exempted from trade taxes.
B)   Trade laws favor the entering retailer.
C)   The entering retailer takes all the profits.
D)   The entering retailer has complete control of the operations.
E)   The local partner provides an understanding of the market.

Question 3

Which of the following is a suggested method for improving the efficiency of internal operations?

Accepted Answer

A)   Unique merchandise
B)   Customer service
C)   Human resource management
D)   Brand image
E)   Building a retail community using social media

Question 4

A toy store has acquired an edge over its competition that cannot be easily copied by its competitors. Which of the following has the store achieved?

Accepted Answer

A)   Customer brand affiliation
B)   Sustainable competitive advantage
C)   Customer loyalty
D)   Service excellence
E)   Brand recall

Question 5

Why should a retailer be concerned with building a sustainable competitive advantage?

Accepted Answer

A)   It could increase organizational turnover.
B)   It would decrease organizational commitment.
C)   It could decrease organizational productivity.
D)   It could result in short-term profitability.
E)   It could result in long-term profitability.

Question 6

Which of the following statements is True of the challenges faced by organized retailing in India?

Accepted Answer

A)   The cost of setting up facilities is significantly high.
B)   The ever-increasing operating costs.
C)   Government impedes foreign investment in retailing.
D)   The supply chain is underdeveloped and inefficient.
E)   Managerial talent is becoming more difficult to find and retain.

Question 7

A ________ involves using the retailer's existing retail format in new market segments.

Accepted Answer

A)   market expansion growth opportunity
B)   market penetration growth opportunity
C)   diversification growth opportunity
D)   wholesale format development growth opportunity
E)   retail format growth opportunity

Question 8

How can a retailer use the market penetration opportunity to foster growth?

Accepted Answer

Growth can be achieved by using the mark...

Question 9

A retail format development growth opportunity is an opportunity in which a retailer develops a new retail format for the same target market.

Accepted Answer

A) True 
 B)False  True

Question 10

A cafe focuses primarily on customers who are aged between 18 and 35 and earning about $20,000 to $40,000 annually. This segmentation of customers is known as its

Accepted Answer

A)   retail market.
B)   target market.
C)   virtual market.
D)   global market.
E)   labor market.

Question 11

In a related diversification growth opportunity,

Accepted Answer

A)   the retailer's present target market and retail format share nothing in common with the new opportunity.
B)   the retailer's future target market and retail format share nothing in common with a missed opportunity.
C)   the retailer's past target market and retail format share nothing in common with a missed opportunity.
D)   the retailer's future target market and retail format share something in common with a missed opportunity.
E)   the retailer's present target market and retail format share something in common with the new opportunity.

Question 12

MarMa, a retailer of auto accessories, plans to grow geographically. It has tied up with independent international firms to facilitate its local logistical activities. Which of the following entry strategies is being followed by MarMa?

Accepted Answer

A)   Takeover
B)   Joint venture
C)   Acquisition
D)   Merger
E)   Strategic alliance

Question 13

Which of the following statements is a disadvantage of a joint venture?

Accepted Answer

A)   The entering retailer must bear all the loss.
B)   Only the local retailer is exempted from trade laws.
C)   Government places restrictions on the repatriation of profits.
D)   Only the local retailer is exempted from trade tax.
E)   The local retailer is at freedom to choose which laws they adhere to.

Question 14

Which of the following is most likely to be a disadvantage for a retailer in developing customer loyalty through offering popular national brands?

Accepted Answer

A)   The costs associated with offering popular national brands are very high.
B)   There is often a huge reduction in the profit margin for the retailer.
C)   Other competitors can purchase and sell the same popular products.
D)   Training employees to operate the new product or service involves time and effort.
E)   It leads to brand cannibalization.

Question 15

Customer relationship management programs are also known as

Accepted Answer

A)   transitional programs.
B)   sustaining programs.
C)   twelve-step programs.
D)   incentive programs.
E)   loyalty programs. E

Question 16

Establishing a sustainable competitive advantage is the key to ________ performance.

Accepted Answer

A)   short-term market
B)   short-term financial
C)   short-term employee
D)   long-term employee
E)   long-term financial

Question 17

Krueger Burgers, a chain of restaurants, intends to change its pricing policy and promotional mix to cater to a new market segment. Which of the following growth strategies will best suit Krueger Burgers?

Accepted Answer

A)   Market penetration growth opportunity
B)   Market expansion growth opportunity
C)   Retail format growth opportunity
D)   Diversification growth opportunity
E)   Wholesale format growth opportunity D

Question 18

What are customer relationship management programs?

Accepted Answer

Customer relationship management (CRM) p...

Question 19

Ashton, a chain of supermarkets, intends to change its pricing policy and promotional mix but intends on catering to the same market segment. Which of the following growth strategies will best suit Ashton LLC?

Accepted Answer

A)   Market penetration growth opportunity
B)   Market expansion growth opportunity
C)   Retail format growth opportunity
D)   Diversification growth opportunity
E)   Wholesale format growth opportunity

Question 20

Define positioning.

Accepted Answer

Positioning is the design and ...

Exam 5: Retail Market Strategy

An unrelated diversification growth opportunity

Correct AnswerverifiedShow Answer

Which of the following statements is an advantage of a joint venture?

Correct AnswerverifiedShow Answer

Which of the following is a suggested method for improving the efficiency of internal operations?

Correct AnswerverifiedShow Answer

A toy store has acquired an edge over its competition that cannot be easily copied by its competitors. Which of the following has the store achieved?

Correct AnswerverifiedShow Answer

Why should a retailer be concerned with building a sustainable competitive advantage?

Correct AnswerverifiedShow Answer

Which of the following statements is True of the challenges faced by organized retailing in India?

Correct AnswerverifiedShow Answer

A ________ involves using the retailer's existing retail format in new market segments.

Correct AnswerverifiedShow Answer

How can a retailer use the market penetration opportunity to foster growth?

Correct AnswerverifiedGrowth can be achieved by using the mark...View AnswerShow Answer

A retail format development growth opportunity is an opportunity in which a retailer develops a new retail format for the same target market.

Correct AnswerverifiedTrue

A cafe focuses primarily on customers who are aged between 18 and 35 and earning about $20,000 to $40,000 annually. This segmentation of customers is known as its

Correct AnswerverifiedShow Answer

In a related diversification growth opportunity,

Correct AnswerverifiedShow Answer

MarMa, a retailer of auto accessories, plans to grow geographically. It has tied up with independent international firms to facilitate its local logistical activities. Which of the following entry strategies is being followed by MarMa?

Correct AnswerverifiedShow Answer

Which of the following statements is a disadvantage of a joint venture?

Correct AnswerverifiedShow Answer

Which of the following is most likely to be a disadvantage for a retailer in developing customer loyalty through offering popular national brands?

Correct AnswerverifiedShow Answer

Customer relationship management programs are also known as

Correct AnswerverifiedE

Establishing a sustainable competitive advantage is the key to ________ performance.

Correct AnswerverifiedShow Answer

Krueger Burgers, a chain of restaurants, intends to change its pricing policy and promotional mix to cater to a new market segment. Which of the following growth strategies will best suit Krueger Burgers?

Correct AnswerverifiedD

What are customer relationship management programs?

Correct AnswerverifiedCustomer relationship management (CRM) p...View AnswerShow Answer

Ashton, a chain of supermarkets, intends to change its pricing policy and promotional mix but intends on catering to the same market segment. Which of the following growth strategies will best suit Ashton LLC?

Correct AnswerverifiedShow Answer

Define positioning.

Correct AnswerverifiedPositioning is the design and ...View AnswerShow Answer

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Growth can be achieved by using the mark...
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True

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E

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D

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Customer relationship management (CRM) p...
View Answer

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Positioning is the design and ...
View Answer