Ch 14

Question 1

Retailing

Answer 1

All the activities directly related to the sale of goods and services to the ultimate consumer for personal nonbusiness use

Question 2

Retailer

Answer 2

A channel intermediary that sells mainly to consumers

Question 3

Independent Retailer

Answer 3

A retailer owned by a single person or partnership and not operated as part of a large retail institution

Question 4

Chain Store

Answer 4

A store that is part of a group of the same stores owned and operated by a single organization

Question 5

Franchise

Answer 5

The relationship in which the business rights to operate and sell a product are granted by the franchise or to the franchise

Question 6

Gross margin

Answer 6

The amount of money the retailer makes as a percentage of sales after the cost of goods sold is subtracted

Question 7

Department Store

Answer 7

A store housing several departments under one roof

Question 8

Specialty Store

Answer 8

A retail store specializing in a given type of merchandise

Question 9

Supermarket

Answer 9

A large departmentalized, self-service retailer that specializes in food and some non food items

Question 10

Drugstore

Answer 10

A retailer store that stocks pharmacy-related products and services as it’s main draw

Question 11

Convenience Store

Answer 11

A miniature supermarket, carrying only a limited line of high turnover convenience goods

Question 12

Discount Store

Answer 12

A retailer that competes on the basis of low prices, high turnover, and high volume

Question 13

Full-line discount store

Answer 13

A discount store that carries a vast depth and breadth of product within a single product category

Question 14

Supercenter

Answer 14

A large retailer that stocks and sells a wide variety of merchandise including groceries, clothing, house hold goods, and other general merchandise

Question 15

Specialty discount store

Answer 15

A retail store that offers a nearly complete selection of single-line merchandise and uses self-service, discount prices, high volume, and high turnover

Question 16

Category Killer

Answer 16

A large discount store that specializes in a single line of merchandise and becomes the dominant retailer in it’s category

Question 17

Warehouse Club

Answer 17

A large, no-fills retailer that sells bulk quantities of merchandise to customers at volume discount prices in exchange for a periodic membership fee

Question 18

Off-price retailer

Answer 18

A retailer that sells at prices 25% or more below traditional department store prices because it pays cash for its stock and usually doesn’t ask for return privileges

Question 19

Factory Outlet

Answer 19

An off price retailer that is owned and operated by a manufactures

Question 20

Used Goods Retailer

Answer 20

A retailer whereby items purchased from one of the types of retailers are resold in different customers

Question 21

Restaurant

Answer 21

A retailer that provides both tangible products-food and drink and valuable services food preparation and presentation

Question 22

Automatic Vending

Answer 22

The uses of machines to offer goods for sale

Question 23

Self-service technologies (SST)

Answer 23

Technologies interfaces that allow customers to provide themselves with products and/ or services without the intervention of a service employee

Question 24

Direct Retailing

Answer 24

The selling of products by representatives who work door to door, office to office, or home sales parties

Question 25

Direct Marketing (DM)

Answer 25

Techniques used to get consumers to make a purchase from their home office or other non retail setting

Question 26

Telemarketing

Answer 26

The use of the telephone to sell directly to consumers

Question 27

Direct Mail

Answer 27

The delivery of advertising or marketing material to recipients of postal or electronic mail

Question 28

Microtargeting

Answer 28

The use of direct marketing techniques that employ highly detailed data analytics in order to identify potential customers with great precision

Question 29

Shop-at-home television network

Answer 29

A specialized form of direct response marketing whereby television shows display merchandize, with the retail price, to home viewers

Question 30

Online retailing (e-tailing)

Answer 30

A type of shopping available to consumers with personal computers and access to internet

Question 31

Sharing economy

Answer 31

The way connected consumers exchange goods and services with each other through a digital marketplace

Question 32

Floor Stock

Answer 32

Inventory displayed for sale to customers

Question 33

Back Stock

Answer 33

Inventory held in reserve for potential future sale in a retailers storeroom or backroom

Question 34

Brand Cannibalization

Answer 34

The reduction of sales for one brand as the result of the introduction of a new product or promotion of a current product by another brand

Question 35

Atmosphere

Answer 35

The overall impression conveyed by a stores physical layout, decor, and surroundings

Question 36

Shopper marketing

Answer 36

Understanding how one’s target consumers behave as shoppers in different channels and formats and leveraging this intelligence to generate sales of other positive outcomes

Question 37

Shopper analysis

Answer 37

Searching for and discovering meaningful patterns in shopper data for the purpose of fine-tuning, developing or changing market offerings

Question 38

Retail channel omnification

Answer 38

The reduction of multiple retail channel systems into a single unified system for the purpose of creating efficiencies or saving costs

Question 39

Click-and-Collect

Answer 39

The practice of buying something online and then traveling to a physical store location to take delivery of the merchandise