Entrepreneurship in Retailing Exam
Materials
Course Introduction
This course explores the fundamental concepts and practical applications of entrepreneurship within the retail sector. Students will examine the dynamic nature of retail environments, learn how to identify and evaluate retail opportunities, and develop innovative business models tailored to contemporary consumer needs. Key topics include market analysis, retail business planning, digital transformation, supply chain management, and strategies for customer engagement. Through case studies and hands-on projects, students will gain insights into launching new retail ventures, managing growth, and navigating challenges in a highly competitive industry. The course equips aspiring entrepreneurs with the tools and knowledge necessary to succeed in the evolving landscape of retailing.
Recommended Textbook
Retailing Management 4th Canadian Edition by Michael Levy
Available Study Resources on Quizplus 15 Chapters
1641 Verified Questions
1641 Flashcards
Source URL: https://quizplus.com/study-set/3118 Page 2
Chapter 1: Introduction to the World of Retailing
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80 Verified Questions
80 Flashcards
Source URL: https://quizplus.com/quiz/61817
Sample Questions
Q1) Consumers shop through multiple channels that include all of the following except:
A) Tablets
B) Computers
C) Web-enabled kiosks
D) Retail stores
E) Federal Express
Answer: E
Q2) Which of the following would be an intratype competitor for an IGA supermarket?
A) Walmart
B) Subway
C) Loblaws
D) Shoppers Drug Mart
E) Old Navy
Answer: C
Q3) What is the retailer's role in the distribution channel?
Answer: The retailer's role in the distribution channel is to link manufacturers to consumers by directing their efforts to satisfying the needs of the ultimate consumers.
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Chapter 2: Types of Retailers
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104 Verified Questions
104 Flashcards
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Sample Questions
Q1) ____________ are specialty stores that concentrate on health and personal grooming merchandise.
Answer: Drugstores
Q2) In a multilevel network,master distributors:
A) recruit other people to become distributors in their network
B) are responsible for training the salespeople they recruit C) may receive a commission on all merchandise purchased by the distributors in their network
D) sell to customers in their network
E) All answers provided are correct.
Answer: E
Q3) What does a franchisor offer its franchisees?
Answer: The franchisor provides assistance in locating and building the store,developing the products and/or services that will be sold,management training,and advertising.Additionally,the franchisor makes sure all outlets provide the same quality of services and products to maintain the reputation of the franchise.
Q4) ______________ offer an inconsistent assortment of brand-name,fashion-oriented soft goods at low prices.
Answer: Off-price retailers
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Chapter 3: Customer Buying Behaviour
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60 Verified Questions
60 Flashcards
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Sample Questions
Q1) David is starting his first job out of college with a consulting firm and wants to make a good impression on his supervisors.He noticed the attire of the associates when he was interviewed,and decided to mimic them by wearing power suits and Italian shoes.What social factor most influences David's wardrobe?
A) culture
B) family
C) reference group
D) peer group
E) subculture
Answer: C
Q2) What does it mean when a retailer says that she wants to find a retail market segment that is accessible?
Answer: A retail market segment is accessible if the retailer is able to deliver the appropriate retail mix to the customers in the segment.
Q3) Sears sells Craftsman tools which come with a lifetime warranty.If you break one,just return it to the store,and Sears will replace the broken tool with a new one.What kind of segmentation is Sears using?
Answer: Benefit segmentation
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Chapter 4: Retail Market Strategy
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120 Verified Questions
120 Flashcards
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Sample Questions
Q1) When Starbucks opened in Seattle,it allowed store density to promote the business.Sometimes,the storefronts occupied two corners of an intersection.Only when the Seattle market was saturated did Starbucks move into other markets.Starbucks understands the value of building a competitive advantage through securing:
A) customer loyalty
B) database warehouses
C) good locations
D) positioning
E) trained servers
Q2) Why is location such a critical factor in consumer selection of a store?
Q3) What are the seven opportunities for retailers to develop sustainable competitive advantages?
Q4) The first step in the strategic retail planning process is to:
A) identify strategic opportunities
B) develop a retail mix
C) define the business mission
D) conduct the situation audit
E) assess the strengths and weaknesses of the business relative to its competition
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Chapter 5: Retail Locations Strategytrade Area Decisions and
Site Assessment
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160 Verified Questions
160 Flashcards
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Sample Questions
Q1) The objective of Huff's Gravity Model is to:
A) determine the hierarchy of retailing activities according to the assortment of merchandise available
B) determine the probability that a customer residing in a particular area will shop at a particular shopping centre
C) define the relationship between the size of a shopping area and the area's income levels
D) define the relative ability of two cities to attract customers from the area between them
E) create a comparative model that allows the retailer to determine the ideal location
Q2) A Geographic Information System (GIS):
A) is a spatial database
B) contains data that are collected at the point of sale
C) identifies the boundaries of a trade area
D) is used to isolate target customer groups
E) is accurately described by all of these
Q3) From the 1950s through the 1980s,suburban shopping centres grew as populations shifted to the ______________.
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Chapter 6: Store Design, layout, and Visual Merchandising Strategy
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107 Verified Questions
107 Flashcards
Source URL: https://quizplus.com/quiz/61806
Sample Questions
Q1) To allocate space to items,categories,and departments,store planners and merchandise managers must know:
A) how much space the merchandise occupies
B) how much of each item should be stocked
C) what items should be carried
D) where merchandise should be located
E) all of these
Q2) How does a retailer select which merchandise presentation technique it will use?
A) Look at the profit potential of each product
B) Consider the nature of the product
C) Consider what is consistent with the store's image
D) Look at the product's packaging to see if it requires any special displays
E) A retailer does all of these
Q3) What type of presentation technique helps retailers effectively organize merchandise to follow the eye's natural movement?
Q4) ______________ refers to the design of an environment via visual communications,lighting,colours,music,and scent to stimulate customers' perceptual and emotional responses that affect their purchase behaviour.
Q5) What is the primary purpose of fixtures?
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Chapter 7: International Retailing Strategy
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43 Verified Questions
43 Flashcards
Source URL: https://quizplus.com/quiz/61805
Sample Questions
Q1) Why do global retailers need "deep pockets"?
Q2) Which of the following would discourage retailers from entering foreign markets?
A) Trade agreements (e.g. NAFTA)
B) Aggressive competition
C) Younger populations
D) Growing numbers of middle-class consumers
E) Favourable operating costs
Q3) North America's largest shopping mall is ___________________________.
Q4) In terms of sales,the largest retailer in the world is:
A) Costco
B) Carrefour
C) Sears
D) Walmart
E) Home Depot
Q5) Why is international expansion risky for retailers?
Q6) ________________ prompted American big-box retailers and category killers to expand into Canada.
Q7) What is Bawadi supposed to achieve according to Dubai's Strategic Plan 2015?
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Q8) What cautious strategies have allowed Canadian retailers to be successful in the American market?
Chapter 8: Financial Strategy
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109 Verified Questions
109 Flashcards
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Sample Questions
Q1) The information used to analyze a firm's turnover path primarily comes from the:
A) balance sheet
B) net profit statement
C) income statement
D) profitability statement
E) owners' equity
Q2) The balance sheet for Caleb's Surf Shop shows current assets of $65,000,fixed assets of $104,000,and total liabilities of $157,000.Its current assets include accounts receivable totalling $41,000.The store's current liabilities equal $67,000.Calculate owners' equity.
A) $2,000
B) $12,000
C) $41,000
D) $78,000
E) He has no owners' equity.
Q3) In 2008,Claudia's Gems had net sales of $220,000,total assets of $390,000,total liabilities of $205,000,a cost of goods sold of $69,000,expenses of $82,000,and net profit after taxes of $29,000.Calculate the store's asset turnover ratio.
Q4) How do retailers ease the financial strain caused by accounts receivable?
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Page 10
Chapter 9: Information Systems and Supply Chain Management
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105 Verified Questions
105 Flashcards
Source URL: https://quizplus.com/quiz/61803
Sample Questions
Q1) ________ is a system when retailers receive an order from a customer,they then have the product shipped directly to the customer from the vendor.
A) Drop-shipping
B) Cross-docking
C) Outsourcing
D) Third party logistics
E) Vendor-managed inventory
Q2) A _____ stores purchase data collected at the point of sale that is used to access data designed to support decision making in an organization.
A) spreadsheet
B) computerized processing unit
C) data holding cell
D) data warehouse
E) database chain
Q3) A(n)________________ is the set of rules that apply to activities in the computer and communications resources that belong to an organization.
Q4) What is logistics?
Q5) What is the purpose of the data warehouse,and how do retailers use it?
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Chapter 10: Merchandise Management
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79 Verified Questions
79 Flashcards
Source URL: https://quizplus.com/quiz/61816
Sample Questions
Q1) A vendor who forms an alliance with a retailer to help gain consumer insight,satisfy consumer needs,and improve performance and profit potential across an entire category is called a(n)__________________.
Q2) What is a drawback of utilizing a category captain?
A) Vendors could take advantage of their position and maximize their own sales
B) Retailers tend to ignore best practices advice
C) Retailers take advantage of the information and test legal limits
D) Retailers can take advantage of their position and minimize competing brands
E) There are no drawbacks to utilizing a category captain
Q3) _________________ is an inventory reduction that is caused by shoplifting by employees or customers,by merchandise being misplaced or damaged,or by poor bookkeeping.
Q4) When a buyer is _________________,it means she's running out of stock on particular sizes.
Q5) The number of SKUs within a category is called the _______________.
Q6) The percentage of demand for a particular SKU that is satisfied is referred to as
Q7) What is a potential problem with establishing a category captain?
Page 12
Q8) How can increasing assortment adversely affect customers?
Q9) What is a category life cycle?
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Chapter 11: Buying Strategies
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111 Verified Questions
111 Flashcards
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Sample Questions
Q1) Denise is a small scale fashion designer who sourced out to a manufacturer in India to assemble her new fall line.She assumed the patterns for the clothes were simple and obvious,so she thought it unnecessary to personally visit the factory and supervise the workers sewing her clothes.Months later,the shipment arrived in Montreal,and much to her surprise,the seams on all of the blouses were sewn incorrectly.This mishap is an issue of:
A) tariff restrictions
B) quality control
C) poor marketing
D) global trends
E) limited foreign vendors
Q2) Which of the following statements about tariffs is true?
A) Retailers want to raise them
B) Import tariffs have been used to shield domestic manufacturers from foreign competition
C) Tariffs have never been used as a government fund raiser
D) Tariffs lower the cost of imported merchandise
E) The World Trade Organization is responsible for the increase in the tariff rate
Q3) How are slotting fees different than commercial bribes?
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Page 14
Chapter 12: Retail Pricing
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131 Verified Questions
131 Flashcards
Source URL: https://quizplus.com/quiz/181989
Sample Questions
Q1) The competition-oriented method of setting retail prices is useful because it:
A) provides an outside check on the marketplace
B) considers consumers' wants and needs
C) does not consider individual pricing strategies for each SKU
D) is designed to achieve a target level of profits
E) is quick and simple to use
Q2) When a retailer charges different prices in different stores,markets,or zones it is called _____________________.
Q3) Home Depot,Walmart,Staples,and Canadian Tire have adopted a(n)__________________________________ strategy.
Q4) What is one way some customers initialize first-degree price discrimination?
A) Walking out
B) Haggling
C) Shoplifting
D) Bargain basement shopping only
E) Threatening to shop elsewhere
Q5) What are the two reasons retailers take markdowns?
Q6) ________________ is when certain items are priced lower than normal to increase customers' traffic flow and/or boost sales of complementary products.
Page 15
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Chapter 13: Human Resource Management and Staff Training Issues
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151 Verified Questions
151 Flashcards
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Sample Questions
Q1) _________________ retailers use several methods to increase their buyers' contact with customers to improve informal communication between buyers and the sales people who sell the merchandise they buy.
Q2) Belinda has been hired to sell in-line skates at a sports store.When she was hired,she was told she would undergo on-the-job training.What does this mean?
A) She will be assigned a job, given responsibilities, and coached by her supervisor
B) She will have to attend training classes on her own time and at her own expense
C) She will be assigned a job but given no responsibilities until she has gone through a self-study program
D) She will be given responsibilities, held accountable for those responsibilities, and given no coaching
E) She will be given no training at all
Q3) The disadvantage of centralization is it makes it very difficult to adapt to
Q4) What are the three elements of the human resource triad?
Q5) What is diversity training?
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Chapter 14: Building Customer Loyalty: Customer
Relationship Management and Service Strategies
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185 Verified Questions
185 Flashcards
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Sample Questions
Q1) Kiosks can be used to:
A) help customers to locate merchandise
B) assist customers in learning more information about products
C) provide customized solutions for customers
D) provide routine customer service
E) do all of these
Q2) An ad campaign by Holiday Inn in which the motel chain promised its guests,"No surprises," meaning that everything encountered at the motel would meet or exceed customer expectations.Since it is nearly impossible to predict customer expectations,the campaign was quickly abandoned.What kind of a service gap did Holiday Inn create with this ad campaign?
Q3) Warren uses a Chapters Rewards card,a Blockbuster card,and a HBC Rewards card when he shops at these retailers.Each time he uses them,he is rewarded with reduced cost,free merchandise,or a credit.These cards are examples of:
A) store credit cards
B) frequent shopper cards
C) identification cards
D) third-party credit cards
E) retailer cards
Page 17
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Chapter 15: Appealing to the Customer: Retail Communication Mix
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96 Verified Questions
96 Flashcards
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Sample Questions
Q1) Why is it problematic for retailers to spend about the same on communication programs for each geographic region?
Q2) Which of the following is not a method used to determine a communication budget?
A) Affordable method
B) Percentage of sales method
C) Objective-and-task method
D) Competitive parity method
E) Contribution analysis method
Q3) What are the advantages of advertising in a newspaper as opposed to other forms of media?
Q4) _____________ offer a discount on the price of specific items when they are purchased at a store.
Q5) Allocating the budget to merchandise areas that will yield the greatest return is referred to as the ___________________________.
Q6) How can brands benefit the consumer?
Q7) What is based on the economic principle that firms should increase communication expenditures so long as each additional dollar spent generates more than a dollar of additional contribution?
Q8) A measure used to compare the value of advertising media is ________________. Page 18
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