Question 1

Angela approaches David Hughes, owner of Hughes Auto Parts, to talk about the possibility of adding a new line of products to his store. Angela tells David that the product is a line of high-quality driving sunglasses. She offers to set up the display, service and restock it weekly, and maintain billing and inventory records. She tells David that all she needs is a couple of square feet of space. Angela is in the business of serving retailers as a

Accepted Answer

A)  general-line wholesaler.
B)  specialty-line wholesaler.
C)  rack jobber.
D)  full-service merchant wholesaler.
E)  cash-and-carry wholesaler.

Question 2

What type of retailing began with Montgomery Ward in the late 1800s?

Accepted Answer

A)  Catalog marketing
B)  Department stores
C)  Direct selling
D)  Discount retailing
E)  Franchising

Question 3

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

Accepted Answer

A)  Warehouse showroom
B)  Warehouse club
C)  Catalog showroom
D)  Category killer
E)  Hypermarket

Question 4

Scenario 16.1
Use the following to answer the questions.
Landry Restaurants, Inc. owns a number of different franchised restaurants, including the Rain Forest Cafe and their recent addition, the T-Rex Cafe. Both the Rain Forest and T-Rex restaurants differentiate themselves from their competitors by offering a unique dining experience. At the Rain Forest Cafe you can dine under a ceiling of lush tropical forest plants while you are viewing the enormous aquarium with exotic fish. Periodically, the rain forest explodes with the sound of waterfalls and birds. Giant stuffed monkeys, parrots, and other jungle creatures are planted within the landscape. The Rain Forest Cafe also contains a gift shop, where customers can purchase t-shirts, hats, and other items emblazoned with the Rain Forest logo. The newer T-Rex Cafe has a similar approach to the uniqueness of the dining experience. The T-Rex Cafe offers guests a hands-on prehistoric experience, including educational, interactive computer screens. Customers can also pan for precious gems and fossils in Discovery Creek or feast on food from the Kitchen of Fire. The T-Rex Cafe also has a gift shop, where customers can purchase items with the T-Rex logo or build their very own stuffed dinosaur, through "Build-a-Dino" by the "Build-a-Bear" franchise.
-Refer to Scenario 16.1. The Rain Forest Cafe and T-Rex Cafe are usually located in tourist-dense areas or large shopping malls in order to capture walk-by traffic. If the restaurants' primary focus was to obtain customers who are walking by, they would definitely not want which of the following locations?

Accepted Answer

A)  strip centers
B)  free-standing buildings
C)  regional shopping centers
D)  the Mall of America
E)  a traditional business district

Question 5

The three major types of nonstore retailing are

Accepted Answer

A)  direct marketing, direct selling, and automatic vending.
B)  direct selling, automatic vending, and catalog retailing.
C)  direct marketing, direct selling, and mail-order.
D)  automatic vending, direct selling, and telemarketing.
E)  telemarketing, door-to-door, and mail-order.

Question 6

Agents and brokers that facilitate and negotiate purchases but do not actually take title to products are also known as

Accepted Answer

A)  functional wholesalers.
B)  commission wholesalers.
C)  hands-off intermediaries.
D)  contract negotiators.
E)  functional middlemen.

Question 7

A merchant wholesaler

Accepted Answer

A)  arranges for transfer of goods directly to business and retail customers.
B)  takes title to goods, assumes risk associated with ownership, and buys and resells products.
C)  takes title and possession of goods and sells only to retailers.
D)  does not take title or possession of goods but facilitates exchanges between any parties.
E)  deals exclusively with business products.

Question 8

With respect to retailing, what is the "party plan"?

Accepted Answer

A)  A sales representative has a party at her home to demonstrate products to a group of friends and associates.
B)  A party is set up that demonstrates a product and provides free samples of the product to all in attendance.
C)  An individual is asked to tell two friends about a product, who are in turn each asked to tell two friends, etc.until a sufficient number of people are reached.
D)  A store has a special sale that resembles a party, and those who come are asked to buy the featured products.
E)  A consumer acts as a host and invites friends to view merchandise in a group setting, where a salesperson demonstrates the products.

Question 9

The primary purpose of a(n)  ____ is to bring buyers and sellers together.

Accepted Answer

A)  commission merchant
B)  selling agent
C)  manufacturers' agent
D)  intermediary
E)  broker

Question 10

Which of the following best describes wholesalers?

Accepted Answer

A)  Organizations that buy products from producers and sell them to retailers.
B)  Individuals or organizations that purchase products and then resell them to other businesses and consumers.
C)  Organizations or individuals who buy products for resale to government, reseller, producer, and institutional users.
D)  Organizations or entities that buy products from government, reseller, and producer users and sell them to customers in bulk.
E)  Companies that make products that have a general appeal and are resold to retailers for a profit.

Question 11

What is the most popular type of product sold through television home shopping?

Accepted Answer

A)  Electronics
B)  Clothing
C)  Jewelry
D)  Shoes
E)  Cosmetics

Question 12

By locating in the same general vicinity as other car dealerships, Hartfield Honda can

Accepted Answer

A)  facilitate comparison shopping.
B)  create form utility.
C)  facilitate wholesale exchanges.
D)  create possession utility.
E)  create exchange utility.

Question 13

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

A)  discount stores.
B)  superstores.
C)  supermarkets.
D)  department stores.
E)  warehouse clubs.

Question 14

Discuss some of the functions that full-service wholesalers provide. How do these differ from those that limited-service wholesalers provide?

Accepted Answer

The answer of Discuss some of the functions that full-service...

Question 15

Greg works with a group of farmers who provide him with a regular supply of a variety of fresh vegetables. He picks up their produce and has a regular route of grocers and restaurants who purchase quantities of the items he has on any given day. Greg's operation is which type of wholesaler?

Accepted Answer

A)  Drop shipper
B)  General-line
C)  Truck
D)  Cash-and-carry
E)  Specialty-line

Question 16

In contrast to industrial products, consumer products are often purchased because of

Accepted Answer

A)  economic planning.
B)  necessity.
C)  prior planning.
D)  social influences.
E)  rational needs.

Question 17

Intermediaries owned by manufacturers that sell products and provide support services to the manufacturers' sales forces are known as

Accepted Answer

A)  manufacturers' agents.
B)  sales branches.
C)  selling agents.
D)  sales offices.
E)  commission merchants.

Question 18

Calhoun Produce, a ____, takes possession of truckloads of tomatoes, arranges for storage, and transports them to auctions to be sold.

Accepted Answer

A)  manufacturer's agent
B)  selling agent
C)  commission broker
D)  commission merchant
E)  selling broker

Question 19

An agent that receives goods on consignment from local sellers and negotiates sales in large, central markets is called a

Accepted Answer

A)  commission merchant.
B)  sales branch agent.
C)  selling agent.
D)  manufacturers' agent.
E)  broker-agent.

Question 20

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

Accepted Answer

A)  department store.
B)  specialty retailer.
C)  category killer.
D)  off-price retailer.
E)  warehouse showroom.

Exam 16: Retailing, Direct Marketing, and Wholesaling

In contrast to industrial products, consumer products are often purchased because of

Correct Answer
verified

Greg works with a group of farmers who provide him with a regular supply of a variety of fresh vegetables. He picks up their produce and has a regular route of grocers and restaurants who purchase quantities of the items he has on any given day. Greg's operation is which type of wholesaler?

Correct Answer
verified

By locating in the same general vicinity as other car dealerships, Hartfield Honda can

Correct Answer
verified

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

Correct Answer
verified

Discuss some of the functions that full-service wholesalers provide. How do these differ from those that limited-service wholesalers provide?

Correct Answer
verified

Intermediaries owned by manufacturers that sell products and provide support services to the manufacturers' sales forces are known as

Correct Answer
verified

The three major types of nonstore retailing are

Correct Answer
verified

Calhoun Produce, a ____, takes possession of truckloads of tomatoes, arranges for storage, and transports them to auctions to be sold.

Correct Answer
verified

Agents and brokers that facilitate and negotiate purchases but do not actually take title to products are also known as

Correct Answer
verified

What is the most popular type of product sold through television home shopping?

Correct Answer
verified

What type of retailing began with Montgomery Ward in the late 1800s?

Correct Answer
verified

An agent that receives goods on consignment from local sellers and negotiates sales in large, central markets is called a

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

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

Correct Answer
verified

Correct Answer
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A merchant wholesaler

Correct Answer
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With respect to retailing, what is the "party plan"?

Correct Answer
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Which of the following best describes wholesalers?

Correct Answer
verified

The primary purpose of a(n) ____ is to bring buyers and sellers together.

Correct Answer
verified

Exam 16: Retailing, Direct Marketing, and Wholesaling

In contrast to industrial products, consumer products are often purchased because of

Correct AnswerverifiedShow Answer

Greg works with a group of farmers who provide him with a regular supply of a variety of fresh vegetables. He picks up their produce and has a regular route of grocers and restaurants who purchase quantities of the items he has on any given day. Greg's operation is which type of wholesaler?

Correct AnswerverifiedShow Answer

By locating in the same general vicinity as other car dealerships, Hartfield Honda can

Correct AnswerverifiedShow Answer

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

Correct AnswerverifiedShow Answer

Discuss some of the functions that full-service wholesalers provide. How do these differ from those that limited-service wholesalers provide?

Correct AnswerverifiedShow Answer

Intermediaries owned by manufacturers that sell products and provide support services to the manufacturers' sales forces are known as

Correct AnswerverifiedShow Answer

The three major types of nonstore retailing are

Correct AnswerverifiedShow Answer

Calhoun Produce, a ____, takes possession of truckloads of tomatoes, arranges for storage, and transports them to auctions to be sold.

Correct AnswerverifiedShow Answer

Agents and brokers that facilitate and negotiate purchases but do not actually take title to products are also known as

Correct AnswerverifiedShow Answer

What is the most popular type of product sold through television home shopping?

Correct AnswerverifiedShow Answer

What type of retailing began with Montgomery Ward in the late 1800s?

Correct AnswerverifiedShow Answer

An agent that receives goods on consignment from local sellers and negotiates sales in large, central markets is called a

Correct AnswerverifiedShow Answer

Correct AnswerverifiedShow Answer

Correct AnswerverifiedShow Answer

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

Correct AnswerverifiedShow Answer

Correct AnswerverifiedShow Answer

A merchant wholesaler

Correct AnswerverifiedShow Answer

With respect to retailing, what is the "party plan"?

Correct AnswerverifiedShow Answer

Which of the following best describes wholesalers?

Correct AnswerverifiedShow Answer

The primary purpose of a(n) ____ is to bring buyers and sellers together.

Correct AnswerverifiedShow Answer

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