Chapter 12

Question 1

What is retailing?

Answer 1

Includes all activities involved in selling products or services directly to final consumers for personal, nonbusiness use

Question 2

What are retailers?

Answer 2

Businesses whose sales come primarily from retailing

Question 3

What is the largest retail sector in Canada?

Answer 3

Food and beverage retailers

Question 4

What are convenience stores and discount stores?

Answer 4

Typically self-serve retailers that allow customers to perform their own locate-compare-select process to save time or money

Question 5

What are limited-service retailers?

Answer 5

Provide some sales assistance because they carry products that require customers to seek expert advice and information

Question 6

What are full-service retailers?

Answer 6

Salespeople assist customers in every phase of the shopping process- typically serve higher-end market, or sell luxury goods or specialty items

Question 7

What are specialty stores?

Answer 7

They carry narrow product lines with deep assortments within those lines

Question 8

What are department stores?

Answer 8

They carry a wide variety of product lines, organized into shoe, clothing, toy, & electronics departments

Question 9

What are supermarkets?

Answer 9

They carry a wide assortment of food and grocery products

Question 10

What are general merchandise stores?

Answer 10

A store that sells a broad selection of merchandise where people can purchase their general goods

Question 11

What are superstores?

Answer 11

Much larger than regular supermarkets and offer a large assortment of routinely purchased food products, non-food items, and services

Question 12

What are category killers or big box stores?

Answer 12

Large specialty stores that carry thousands of products in a particular category, such as Best Buy

Question 13

What are service retailers?

Answer 13

Include hotels and motels, banks, airlines, restaurants, movie theatres, tennis club, bowling alleys, repair services, hair salons, and dry cleaners

Question 14

What are discount stores?

Answer 14

Retail operations that sell standard merchandise at a lower price on a daily basis

Question 15

What are off-price retailers?

Answer 15

Stores that buy at less-than-regular wholesale prices and charge consumers less than retail

Question 16

What are the three main types of off-price retailers?

Answer 16

1. Independent off-price retailers
2. Factory outlets
3. Warehouse clubs

Question 17

What are independent off-price retailers?

Answer 17

Either independently owned and run or divisions of larger retail corporations

Question 18

What are factory outlets?

Answer 18

Manufacturer-owned and operated stores by firms such as J.Crew, Gap, etc. that sometimes group together in factory outlet malls and value-retail centres

Question 19

What are warehouse clubs?

Answer 19

They operate in huge, drafts, warehouse-like facilities and offer few frills

Question 20

What are corporate chains?

Answer 20

Two or more outlets that are commonly owned and controlled

Question 21

What is a voluntary chain?

Answer 21

A wholesaler sponsored group of independent retailers that engages in a group of buying and common merchandising

Question 22

What is a retailer cooperative?

Answer 22

A group of independent retailers that bands together to set up a jointly owned, central wholesale operation and conduct joint merchandising and promotion efforts

Question 23

What is product assortment?

Answer 23

A retailer’s product assortment should differentiate it while matching target shippers’ expectations

Question 24

What is a services mix?

Answer 24

Can help set one retailer apart from another

Question 25

What is a store’s atmosphere?

Answer 25

Retailers want to create a unique store experience, one that suits target market and moves customers to buy

Question 26

What is a shopping centre?

Answer 26

A group of retail businesses built on a site that is planned, developed, owned, and managed as a unit

Question 27

What is a regional shopping centre/mall?

Answer 27

The largest and most dramatic shopping centre that has 50-100 stores

Question 28

What is a community shopping centre?

Answer 28

Normally contains a branch of a department store or a variety store, supermarket, specialty stores, professional offices, and sometimes a bank

Question 29

What is a power centre?

Answer 29

Huge enclosed shopping centres consisting of a long strip or clusters of retail stores

Question 30

What are lifestyle centres?

Answer 30

Small open-air malls with upscale stores, convenient locations, and non retail activities

Question 31

What is experimental retailing?

Answer 31

The idea that a retail environment shouldn’t be a display of products for sale, but experience that engages the customer

Question 32

What is scan & go?

Answer 32

Checkout system that would allow shoppers to skip checkout lines by using their mobile phone to scan items and pay the self-service kiosks

Question 33

What is a Nymi band?

Answer 33

Identities the individual wearing it and presents new opportunities for retailers to offer personalized service to customers

Question 34

What is shopper marketing?

Answer 34

Involves focusing entire marketing process toward Turing shoppers into buyers at points of sales

Question 35

What is show-rooming?

Answer 35

Refers to consumers’ increasing tendency to treat bricks-and-mortar retailers as showrooms, where they view and test products before leaving to buy them elsewhere or online for a lower price

Question 36

What is a pop-up store?

Answer 36

A temporary retail outlet that is sometimes set up in a vacant building, in a tent, that allows retailers to showcase products and create buzz

Question 37

What is retail convergence?

Answer 37

Merging of consumers, products, prices, and retailers

Question 38

What is wholesaling?

Answer 38

Includes all activities involved in selling goods and services t those who are buying them for resale or business use

Question 39

What are wholesalers?

Answer 39

Firms who are engaged primarily in wholesaling activities

Question 40

What are the three major groups that wholesalers fall under?

Answer 40

1. Merchant wholesalers
2. Full-service wholesalers
3. Limited-service wholesalers