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Compare and contrast the four types of discount stores.

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General merchandise discount stores offe...

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Tony Pool Chemical Co.purchased 144 buckets of chlorine tablets over the Internet from Chemical, Inc., then placed the order with the manufacturer and arranged for its transportation by truck to the Tony Pool store.Chemical, Inc.took title to the pool chemicals but never actually took possession of them.Chemical, Inc.is an example of a ________.


A) drop shipper
B) truck jobber
C) rack jobber
D) mail-order wholesaler
E) cash-and-carry wholesaler

F) None of the above
G) B) and E)

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An independent hardware retail store 100 miles from the nearest city of more than 5,000 people but providing needed supplies for area ranchers would most likely buy its plumbing and electrical supplies through a ________.


A) truck jobber
B) commission merchant
C) mail-order wholesaler
D) rack jobber
E) merchandise broker

F) None of the above
G) C) and D)

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Through the ________ of direct selling, people tend to get caught up in the "group spirit" and buy things they would not normally buy if alone.


A) multilevel network
B) pyramid scheme
C) automatic vending system
D) door-to-door sales
E) party plan system

F) All of the above
G) B) and C)

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What are the similarities and differences between manufacturers' agents and selling agents?

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Manufacturers' agents are independent sa...

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In the ________ stage of the retail life cycle, the retailer often is an aggressive entrepreneur who takes a unique approach to doing business by creating a differential advantage, such as competing on the basis of low price, offering a distinctive assortment, or using a different way to distribute products.


A) expansion
B) introduction
C) extension
D) maturity
E) growth

F) B) and D)
G) All of the above

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At some catalog retailers, employees on roller skates called pickers are handed a printout of the products a customer wants, and then the pickers skate through large warehouses accumulating the desired products into one central location.The pickers are engaged in ________.


A) enterprise resource planning
B) transportation
C) materials handling
D) warehousing
E) inventory control

F) A) and E)
G) None of the above

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Channel members can help producers by identifying customer complaints, customer preferences, and new competitors in the market.These are all examples of the ________ function of channel intermediaries.


A) communication
B) marketing
C) promotional
D) transaction
E) management

F) A) and C)
G) D) and E)

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Stan Clark, the owner of Eskimo Joe's bar, is considering closing the bar and selling the logo apparel with direct marketing through a catalog.Stan Clark is considering a(n) ________ option.


A) wholesaling
B) nonstore retailing
C) B2B commerce
D) experiential shopping
E) box store

F) C) and E)
G) D) and E)

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Nita can visit her local supermarket and buy a dozen roses, a gallon of milk, two birthday cards, a bag of cat litter, and a pan for roasting a turkey.This illustrates how channels of distribution benefit consumers by ________.


A) creating atmospherics
B) creating assortments
C) directing logistics
D) managing knowledge
E) managing relationships

F) D) and E)
G) A) and B)

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Factory outlet stores tend to have a very broad assortment of merchandise.

A) True
B) False

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Which type of store carries a wide variety of items and offers a deep selection, but has been squeezed in recent years between more focused and more service-oriented specialty stores on the one hand and more efficient, lower-priced discounters on the other?


A) department
B) factory outlet
C) off-price
D) hypermarket
E) wholesaler

F) A) and E)
G) C) and D)

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Physical distribution activities include all of the following EXCEPT which one?


A) order processing
B) warehousing
C) materials handling
D) transportation
E) order getting

F) B) and E)
G) B) and C)

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Through the practice of insourcing, a company brings in an external company to run its ________.


A) human resource management
B) nonessential operations
C) essential operations
D) value proposition
E) facilitating functions

F) B) and E)
G) C) and D)

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Marketing logistics involves which of the following types of distribution flows?


A) outbound and inbound only
B) outbound, inbound, and reverse
C) outbound and reverse only
D) inbound and reverse only
E) outbound only

F) A) and C)
G) A) and D)

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To a producer of goods, a greater number of channel levels means ________.


A) less distance between producer and end consumer
B) less control
C) more creativity
D) higher taxes
E) multiple distribution systems

F) A) and E)
G) D) and E)

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Shoplifting, sweethearting, and retail borrowing are all problems that contribute to ________.


A) off-price retailing
B) shrinkage
C) pyramid schemes
D) understored trade areas
E) pop-up retailing

F) A) and D)
G) A) and E)

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At minimum, a channel of distribution consists of a producer and a(n) ________.


A) wholesaler
B) agent
C) broker
D) intermediary
E) customer

F) All of the above
G) A) and C)

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Which of the following is a discount retailer owned by a manufacturer that provides the manufacturer a store to sell off defective merchandise?


A) a specialty store
B) a factory outlet store
C) a department store
D) a general merchandise discount store
E) a warehouse club

F) D) and E)
G) All of the above

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Which of the following is NOT a function of a point-of-sale (POS) system?


A) collecting sales data
B) connecting directly into a store's inventory-control system
C) evaluating bids from potential suppliers
D) collecting data on returns and transfers to other stores
E) automatically sending orders to suppliers

F) None of the above
G) A) and E)

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