Chapter 12

Question 1

retailing

Answer 1

covers all of the activities involved in the sale of products to final consumers

Question 2

corporate chain

Answer 2

a firm that owns and manages more than one store

Question 3

franchise operation

Answer 3

the franchisor develops a good marketing strategy and the retail franchise holders carry out the strategy in their own units

Question 4

general stores

Answer 4

carried anything they could sell in reasonable volume

Question 5

single line

Answer 5

(limited line stores) stores that specialize in certain lines of related products rather than a wide assortment

Question 6

specialty shop

Answer 6

a type of conventional limited line store - is usually small and has a distinct personality

Question 7

department stores

Answer 7

larger stores that are organized into many separate departments and offer many product lines

Question 8

mass merchandising concept

Answer 8

says that retailers should offer low prices to get faster turnover and greater sales volumes-by appealing to larger markets

Question 9

supermarkets

Answer 9

large stores specializing in groceries with self service and wide assortments

Question 10

mass merchandisers

Answer 10

large self-service stores with many departments that emphasize soft goods (housewares, clothing, and fabrics) and staples (like health and beauty aids)

Question 11

super centers

Answer 11

very large stores that try to carry not only food and drug items but all goods and services that the consumer purchases routinely

Question 12

convenience (food) stores

Answer 12

a convenience oriented variation of the conventional limited line food stores

Question 13

automatic vending

Answer 13

selling and delivering products through vending machines

Question 14

door to door selling

Answer 14

a salesperson going directly to the consumer’s home

Question 15

multi-channel shoppers

Answer 15

customers who used if channels as they move through the purchase process

Question 16

omnichannel

Answer 16

a multi channel selling approach where a single retailer provides seamless customer shopping experience from desktop computer, mobile device, telephone, or brick and mortar store

Question 17

wheel of retailing theory

Answer 17

new types of retailers enter the market as low status, low margin, low price operators, and then if successful evolve into more conventional retailers offering more services with higher operating costs and higher prices

Question 18

scrambled merchandising

Answer 18

carrying any product lines they think they can sell profitably

Question 19

wholesaling

Answer 19

concerned with the activities of those persons or establishments that sell to retailers and other merchants, or to industrial, institutional, and commercial users, but that do not sell in large amounts to final consumers

Question 20

wholesalers

Answer 20

firms whose main function is providing wholesaling activities

Question 21

manufacturers’ sales branches

Answer 21

warehouses that producers set up at separate locations away from their factories

Question 22

merchant wholesalers

Answer 22

own (take title to) the products they sell

Question 23

service wholesalers

Answer 23

merchant wholesalers that provide all the wholesaling functions

Question 24

general merchandise wholesalers

Answer 24

service wholesalers that carry a wide variety of nonperishable items such as hardware, electrical supplies, furniture, drugs, cosmetics, and automobile equipment

Question 25

single-line wholesalers

Answer 25

service wholesalers that carry a narrower line of merchandise than general merchandise wholesalers

Question 26

specialty wholesalers

Answer 26

service wholesalers that carry a very narrow range of products and offer more info and service than other service wholesalers

Question 27

limited function wholesalers

Answer 27

provide only some wholesaling functions

Question 28

cash and carry wholesalers

Answer 28

operate like service wholesalers-except that the customer must pay cash

Question 29

drop-shippers

Answer 29

own (take title to) the products they sell-but they do not actually handle, stock, or deliver them

Question 30

truck wholesalers

Answer 30

specialize in delivering products that they stock in their own trucks

Question 31

rack jobbers

Answer 31

specialize in hard to handle assortments of products that a retailer doesn’t want to manage-and rack jobbers usually display the products on their own wire racks

Question 32

catalog wholesalers

Answer 32

sell through catalogs that may be distributed widely to smaller industrial customers or to retailers that might not be called on by other wholesalers

Question 33

agent wholesalers

Answer 33

wholesalers who do not own the products they sell

Question 34

manufacturers’ agent

Answer 34

sells similar products for several noncompeting producers-for a commission on what is actually sold

Question 35

export or import agents

Answer 35

basically manufacturers agents who specialize in international trade