Question 1
Which institution caters to both final and organizational consumers?
A. Retail cooperative
B. Factory outlet
C. Flea market
D. Membership club
Question 2
PayPal has become successful among consumers due to concerns with:
A. credit-card fraud.
B. unsolicited emails.
C. download time.
D. graphics quality.
Question 3
Which aspect of a direct marketing strategy involves the merging and purging of client names?
A. Business definition
B. Customer response
C. Order fulfillment
D. Database maintenance
Question 4
The system to process a direct marketing order is referred to as:
A. outsourcing.
B. logistics.
C. inventory management.
D. order fulfillment.
Question 5
A disadvantage of a leased department to the leased department operator is the:
A. restriction on goods/services carried.
B. high promotional expense.
C. poor cash flow due to centralized checkouts.
D. creation of a one-stop shopping environment.
Question 6
Fulfillment/reliability in terms of the web relates to:
A. ease of navigating a website.
B. download time for graphics products.
C. number of clicks to purchase an item.
D. accurate, timely delivery.
Question 7
A customer orders products by mail, phone, or fax in:
A. services retailing.
B. direct marketing.
C. direct selling.
D. retail catalog showrooms.
Question 8
A special type of combination store that integrates an economy supermarket with a discount department store is a:
A. convenience store.
B. supercenter.
C. box (limited-line) store.
D. warehouse store.
Question 9
A major disadvantage to the use of a blind mailing is the:
A. high mailing-list cost.
B. low response rate.
C. high paper costs per unit.
D. inability to purchase an appropriate list.
Question 10
A narrow but deep product assortment characterizes:
A. department stores.
B. specialty stores.
C. variety stores.
D. retail catalog showrooms.
Question 11
Which types of consumers are most likely to respond to a direct marketer?
A. Regulars and nonregulars
B. Regulars and new trails
C. Regulars and new contacts
D. Buyers and users
Question 12
The use of franchising and the designation of suggested retail selling prices are channel control strategies of:
A. consumer cooperatives.
B. wholesalers.
C. retailers.
D. manufacturers.
Question 13
Which vertical marketing system allows a firm to appeal to different customers through different wholesale and retail distribution forms?
A. Dual vertical marketing system
B. Independent vertical marketing system
C. Partially integrated vertical marketing system
D. Fully integrated vertical marketing system
Question 14
A freestanding, interactive electronic computer terminal that displays products and related information on a video screen is a(n):
A. infomercial.
B. web browser.
C. video kiosk.
D. point-of-sale terminal.
Question 15
Fair practice laws are designed to prevent a franchisor from:
A. enforcing a tying agreement.
B. terminating, canceling, or failing to renew a franchise without sufficient cause.
C. incorrectly reporting franchise profits and investments.
D. selling additional franchises in a protected territory.
Question 16
The use of direct marketing by a store-based retailer demonstrates:
A. multichannel retailing.
B. scrambled merchandising.
C. the wheel of retailing.
D. rationalized retailing.
Question 17
The use of prototype stores, standardized product lines, and cooperative advertising characterizes:
A. retail cooperatives.
B. business format franchising.
C. product/trademark franchising.
D. vertical marketing systems.
Question 18
The first step in enacting a direct marketing strategy is to:
A. define one's business.
B. select media.
C. generate customers.
D. arrange order fulfillment
Question 19
The growth of consumer cooperatives has been limited due to:
A. fair practice legislation.
B. required consumer/member initiative and drive.
C. competitive actions by full-service retailers.
D. wholesaler use of full-time forcing.
Question 20
The food-oriented retailer with the highest percent of fill-in sales is the:
A. convenience store.
B. conventional supermarket.
C. combination store.
D. food-based superstore.