L1-The world of Retailing

Question 1

Is the set of business activities that adds value to the products and services sold to consumers for their personal or family use.

Answer 1

Retailing

Question 2

Is a business that sells products and/or services to consumers for their personal or family use.

Answer 2

Retailer

Question 3

Is a set of firms that make and deliver goods and services to consumers.

Answer 3

Supply chain

Question 4

Means that a firm performs more than one set of activities in the channel, as occurs when a retailer engages in wholesaling activities by operating its own distribution centers to supply its stores.

Answer 4

Vertical Integration

Question 5

Arises when a retailer performs some wholesaling and manufacturing activities, such as operating warehouses or designing private label merchandise.

Answer 5

Backward Integration

Question 6

Occurs when a manufacturer undertakes retailing and wholesaling activities, such as Ralph Lauren operating its own retail stores.

Answer 6

Forward Integration

Question 7

Department stores compete against other department stores, and supermarkets compete with other supermarkets. This competition between the same type of retailers is called

Answer 7

Intratype Competition

Question 8

When retailers offer merchandise not typically associated with their type of stores, such as clothing in a drugstore, the result is

Answer 8

Scrambled Merchandising

Question 9

Competition between retailers that sell similar merchandise using different types of stores, such as discount and department stores.

Answer 9

Intertype Competition

Question 10

Are the principles governing individuals and companies that establish appropriate behavior and indicate what is right and wrong.

Answer 10

Ethics

Question 11

involves an organization voluntarily taking responsibility for the impact of its activities on its employees, its customers, the community, and the environment.

Answer 11

Social Responsibility (CSR)

Question 12

To cope with a highly competitive and challenging environment, retailers hire and promote people with a wide range of skills and interests.

Answer 12

Manangement Opportunities

Question 13

Retailing also provides opportunities for people who wish to start their own business. Some of the world’s richest people are retailing entrepreneurs.

Answer 13

Entrepreneurial Opportunities