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Retail Marketing –MK0003
UNIT 1
Q1.Who all is included in the supply
chain?
(a) producer
(b) importer
(c) retailer
(d) all of the above
Q2.What is the drivers of retailing?
(a) expanding computer technology
(b) emphases on lower costs and prices
(c) focus on productivity
(d) all of the above Q3.____________
provides immense opportunities to
entrepreneurs
(a) retail industry
(b) white good industry
(c) manufacturing units
(d) none of the above
Q4.Why is retailing important?
(a) develops assortments of products
(b) anticipates customers’ wants
(c) acquires market information
(d) all of the above
Q5.What is the major concerns regarding
retailing?
(a) selling space available is relatively
fixed, and must return maximum profits
(b) there is always the risk of non-
performance in terms of quality, supplies
(c) both a and b
(d) none of the above
Q6.Which of the following is the correct
statement?
(a) retailing consists of the sake of goods
or merchandise for personal or
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household consumption either from a
fixed location such as department stores.
(b) the activities involved in selling
commodities directory to consumers
(c) both a and b
(d) none of the above
Q7.Arrange the following steps in order:
(i) the definition of the market to be
addressed (ii) the identification of
alternative bases for segmentation (iii)
an examination of these based and the
choice of the best base or base for
segmentation (iv) the identification of
individual market segments, an
assessment of their attractiveness and the
selection of specific target market
(a) i,ii,iii,iv
(b) ii,i,iii,iv
(c) iv,ii,iii,i
(d) iv,.ii,iii,i
Q8. According to ____________, retail
markets are required to recognize the
three stages of market segmentation.
(a) Newman
(b) Kotler
(c) both a and b
(d) none of the above
Q9.Which of the following is true?
(a) the selling need not necessarily take
place through a store
(b) retailing is done as a conducive set of
activities
(c) retailing encompasses selling through
the mail, the internet, door-to-door visit
(d) all of the above
Q10.What are the reasons for increase in
optimality of the retailing now a days?
(a) the increase in distance selling is war
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(b) ships may be on residential streets, or
in shopping streets with few or no
houses
(c) both a and b
(d) none of the above
Q11.The segments into which the market
is divided should be homogenous within.
(a) Homogenous within
(b) Heterogeneous between
(c) substantial
(d) actionable
Q12.The customers in different
segments should be as different as
possible with respect to their needs and
buying behavior.
(a) Homogenous within
(b) Heterogeneous between
(c) substantial
(d) actionable
Q13.___________ includes individuals
and households who buy goods or
services for their own use.
(a) consumer market
(b) industrial market
(c) re-seller market
(d) all of the above
Q14.Which of the following is correct
statement?
(a) a market is a group potential
customer with similar needs who are
willing to exchange something of value
with sellers offering various goods and
services that can satisfy these needs.
(b) the argument for mass marketing is
that it creates the largest potential
market, which can lead to higher sales
(c) with increase in completion , the
mass marketing approach may not be
feasible
(d) all of the above
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Q15.__________ includes individuals,
groups, or organization that purchases
products or services for direct use in
producing other products.
(a) consumer market
(b) industrial market
(c) re-seller market
(d) all of the above
Q16.___________ includes middlemen
or intermediaries.
(a) consumer market
(b) industrial market
(c) re-seller market
(d) all of the above
Q17. Which of the following is incorrect
statement?
(a) market segmentation is the process of
dividing the heterogeneous total market
into small groups of customers who
share a similar set of wants.
(b) a segment is a relatively homogenous
group and hence responds to marketing
mix in a similar way
(c) a niche is a more narrowly defined
group seeking a distinctive mix of
benefits
(d) all of the above
Q18.___________ is products that are
purchased frequently but in which the
consumer is not willing to spend much
time or effort.
(a) shopping products
(b) convenience products
(c) specialty items
(d) unsought items
Q19.______________ are products that
a customer feels are worth the time and
effort to compare what competing
products.
(a) shopping products
(b) convenience products
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(c) specialty items UNIT 2
(d) unsought items
Q1.A theory of retail consumption that
Q20.What is the benefits of market states that retailing institutions, like the
segmentation? products they distribute, pass through an
(a) helps retailer in identifying the target identifiable cycle.
population (a) dialectic process
(b) developing a customized marketing (b) gravity model
programme in terms of product/service (c) retail accordion theory
offering (d) retail lifecycle theory
(c) pricing strategy
(d) all of the above Q2.What is the principles for successful
independent retailers?
Q21.___________ is products that (a) be prepared for change
potential customers do not yet want or (b) provide extraordinary service
know about. (c) employ the nest significance of the
(a) shopping products internet
(b) convenience products (d) all of the above
(c) specialty items
(d) unsought items Q3.These is giants such as Wal-Mart,
Target, and Kmart.
Q22.Which of the following statement is (a) department stores
false? (b) discount stores
(a) retailer may use a geographical (c) category killers
dimension to define its trade area (d) specialty stores
(b) a retailer must decide one product –
market dimensions for segmenting the Q4. A theory of retail completion that
market sates that retailing institutions, like the
(c) retailing is associated with that aspect products they distribute, pass through an
of the transaction where the final customer identifiable cycle.
(d) none of the above Q23.What (a) dialectic process
is the uses of market (b) gravity model
segmentation? (c) retail accordion theory
(a) helps a retail chain in deciding (d) retail lifecycle theory
locations for its new stores
(b) helps a retailer in merchandising Q5.These are the giant retailers that
decisions dominate one area of merchandise.
(c) helps the retailer in developing more (a) department stores
effective and accurate promotional (b) discount stores
campaigns. (c) category killers
(d) all of the above (d) specialty stores

Q6.These include Crate & Barrel, the

Body Shop.
(a) department stores

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(b) discount stores
(c) category killers
(d) specialty stores
Q7. What are the main stages in retail
lifecycle theory?
(a) innovation
(b) accelerated development
(c) maturity
(d) all of the above
Q8.An evolutionary theory based on the
premise that retail institutions evolve.
(a) dialectic process
(b) gravity model
(c) retail accordion theory
(d) retail lifecycle theory
Q9.It is a theory of retail institutional
changes that explains retail evolution
with an institutional life cycle concept.
(a) wheel of retailing theory
(b) natural selection theory
(c) central place theory
(d) gravity model
Q10. A theory about the structure of
market areas.
(a) dialectic process
(b) gravity model
(c) retail accordion theory
(d) retail lifecycle theory
Q11.A theory of retail institutional
changes that suggest that retail
institutions gap from outlets with wide
assortments to specialized , narrow line
store merchants and then back again to
the more general.
(a) dialectic process
(b) gravity model
(c) retail accordion theory
(d) retail lifecycle theory
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Q12.It is a theory of retail institutional
changes that states that retailing
institutions that can most effectively
adapt to environmental changes are the
ones that are most likely to prosper or
survive.
(a) wheel of retailing theory
(b) natural selection theory
(c) central place theory
(d) gravity model
Q13.It is a model that ranks
communities according to the assortment
of goods available in each.
(a) wheel of retailing theory
(b) natural selection theory
(c) central place theory
(d) gravity model
Q14.According to the text, the most
dramatic of the environments that
affect marketing and appears to be
now shaping our world is the
________________ environment.
(a) natural
(b) demographic
(c) economic
(d) technological
Q15.The "in" suppliers are most likely to
get nervous and feel pressure to
put their best foot forward in
which of the following types of
buying situations?
(a) modified rebuy
(b) new task buying
(c) straight rebuy
(d) indirect rebuy
Q16.All of the following are ways that
marketing plays a key role in the
company's strategic planning
EXCEPT:
(a) marketing provides a guiding
philosophy.
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(b) marketing is the only
discipline that can provide a
formal structure for the
planning effort.
(c) marketing provides inputs to
strategic planners by helping to
identify attractive market
opportunities.
(d) within individual business
units, marketing designs
strategies for reaching the
unit's objectives.
Q17.Which of the following is foreign
owned (even though it is
traditionally thought of as a U.S.
company)?
(a) IBM
(b) Xerox
(c) Kodak
(d) Universal Studios
Q18.In an example discussed in your text,
Johnson & Johnson's recall of their
Tylenol product following
the discovery that several bottles
of Tylenol had been laced with
cyanide is consistent with which
business philosophy?
(a) The marketing concept.
(b) The product concept.
(c) The selling concept.
(d) The societal marketing
concept.
Q19._________________ is the step in
the selling process in which the
salesperson learns as much as
possible about a prospective
customer before making a sales
call.
(a) Prospecting
(b) Preapproach
(c) Approach
(d) Handling objections
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Q20.A company's compensation plan
should reflect its overall marketing
strategy. For example, if the
overall strategy is to grow rapidly
and gain market share, the
compensation plan should reward:
(a) loyalty and perseverance.
(b) spot selling and old product
rejuvenation.
(c) high sales performance and
encourage capturing new
accounts.
(d) high pressure situations and
competitive reaction.
Q21.Traditionally, companies have
defined their businesses in product
terms or in technological terms.
However, mission statements
should be all of the following
EXCEPT:
(a) market oriented
(b) a statement of religion.
(c) motivating.
(d) based on distinctive
competencies.
Q22.A price reduction to buyers who
buy in large volumes is called
a(n):
(a) quantity discount.
(b) cash discount.
(c) seasonal discount.
(d) trade discount.
Q23.R&D and engineering first produce
the product concept into a physical
product during which of the
following stages of the new
product development process?
(a) Concept development and
testing
(b) Marketing strategy
(c) Business analysis
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(d) Product development Q24.All
of the following are criticisms leveled
against marketing by critics EXCEPT:
(a) harming consumers through
high prices.
(b) harming consumers through
deceptive practices.
(c) harming consumers through
high-pressure selling.
(d) harming consumers through
too many product choices.
Q25.If Toyota describes one of its cars of
the future as being "a moderately
priced subcompact designed as a
second family car to be used
around town; the car is ideal for
running errands and
visiting friends," then the company
has just stated a potential new
product in terms of a(n):
(a) product idea
(b) product image
(c) product concept
(d) product feature
Q26.The primary reason that many
companies work to become the
"low-cost producers" in their
industry is because:
(a) they can generate more
advertising.
(b) they can please top
management.
(c) they can gain tax advantages.
(d) they can set lower prices that
result in greater sales and
profits.
Q27.Conflicts between different levels of
the same channel of distribution are
referred to as:
(a) horizontal conflicts.
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(b) vertical conflicts.
(c) layer-based conflicts.
(d) parallel conflicts.
Q28.________________ is a philosophy
holding that a company's
marketing should support the best
long-run performance of the
marketing system.
(a) Enlightened marketing
(b) Myopic marketing
(c) Fundamental marketing
(d) Conceptual marketing
Q29.A company is practicing
________________ if it focuses
on subsegments with distinctive
traits that may seek a special
combination of benefits.
(a) micromarketing
(b) niche marketing
(c) mass marketing
(d) segment marketing
Q30.If a consumer describes a car as
being the "most economical car on
the market," then this descriptor is
a:
(a) rule.
(b) attitude.
(c) belief.
(d) cue.
UNIT 3 & 4
Q1.In ____________, the retailer makes
careful study of the needs of the
customer and attempts to satisfy those
needs.
(a) customer orientation
(b) goal orientation
(c) value driven approach
(d) coordinated effort
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Q2.What is the major criteria’s for the
right customer approach?
(a) creating the right environment
(b) listening to customers
(c) both a and b
(d) none of the above
Q3.Which of the following is correct?
(a) relationship marketing uses the
individual –driven tactics of customer
retention marketing
(b) the ongoing process of identifying
and creating the new value of a
relationship is relationship marketing
(c) both a and b
(d) none of the above
Q4.According to ___________, the
retailer has clear cut goals and devices
strategies to achieve those goals.
(a) customer orientation
(b) goal orientation
(c) value driven approach
(d) coordinated effort
Q5.__________ means physical
repackaging of the products by retailers
in small unit sizes according to
customers’ convenience and stocking
requirements.
(a) breaking bulk
(b) extending services
(c) holding stock
(d) none of the above
Q6. What are the considerations that
influence the selection of a particular
shopping centre?
(a) merchants association
(b) landlord responsiveness
(c) lease terms
(d) all of the above
Q7.According to ____________, the
retailer offers good value to the
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consumer with merchandise having the
price and quality appropriate for the
target market.
(a) customer orientation
(b) goal orientation
(c) value driven approach
(d) coordinated effort
Q8.What is the issues that can be taken
care of by the zoning and planning?
(a) are there restrictions that will limit or
hamper retail operations?
(b) will construction or changes in city
traffic or new highways present barriers
to your store
(c) both a and b
(d) none of the above
Q9.____________ was established by
Christaller.
(a) Central Place Theory
(b) Spatial Interaction Theory
(c) Land Value theory
(d) none of the above
Q10.Which of the following steps is
involved in the retail strategic process
planning?
(a) setting short-term and long-term
objectives with regard to image and
profitability
(b) evaluating and revising the plan
depending on the nature of the internal
and external environment
(c) deciding the broad direction the
company must talk in the future
(d) all of the above
Q11.___________ is defined as the flow
of goods, people, or information among
places, in response to localized supply
and demand.
(a) Central Place Theory
(b) Spatial Interaction Theory
(c) Land Value theory
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(d) none of the above (c) charge regular staff and avoids
termination
Q12.According to ____________, every (d) all of the above
activity of the firm is aligned to the goal
and is designed to maximize its efficiency Q17.Which of the following steps is
and deliver value to the consumer. included in the international retailing?
(a) customer orientation (a) quantification
(b) goal orientation (b) cultural differences
(c) value driven approach (c) regulatory issues
(d) coordinated effort (d) all of the above

Q13.Which of the following statement is Q18.It consists of a simple framework

false? covering relevant factors regarding geo-
(a) in retail deciding the broad direction demographics.
the company must talk in the future (a) analogue analysis
(b) retail strategy indicates how the firm (b) checklist analysis
plans to focus its resources to accomplish (c) regression modeling
its objectives (d) financial analysis
(c) both a and b
(d) none of the above Q14.____________ Q19.Which of the following concepts is
is also known as bid rent theory and urban correct in context of strategic
rent theory. positioning?
(a) Central Place Theory (a) customer orientation
(b) Spatial Interaction Theory (b) goals orientation
(c) Land Value theory (c) value driven approach
(d) none of the above (d) all of the above
Q20.______________ is a complicate
Q15.It attempts to predict the economic process.
performance of a particular site by (a) analogue analysis
assessing its potential against the already (b) checklist analysis
running stores after incorporating (c) retail area development
differences between the proposed site and (d) financial analysis
the existing outlets.
(a) analogue analysis Q21. What are the key players of retail
(b) checklist analysis area development?
(c) regression modeling (a) developers
(d) financial analysis (b) the public
(c) retailers
Q16.What is the principles followed by (d) all of the above
the successful independent retailers?
(a) be prepared for staff change Q22.What is the basis on which the
(b) employ the best possible staff selection of the city depends?
(a) population or population growth in
the trading area

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(b) total purchasing power and its
distribution
(c) size of the city’s trading area
(d) all of the above
Q23.Which of the following statement is
false?
(a) a store may satisfy characteristics of a
good name
(b) large retail chains operate on hub and
spoke concept
(c) it is important that retailers
understand the location decision in the
context of stores operations
(d) none of the above
Q24.What is the factors that make the
location decision important?
(a) transportation cost
(b) human resource cost
(c) the volume of the business
(d) all of the above
UNIT 5 & 6
Q1.What is the key components of
merchandise budget?
(a) project sales
(b) Inventory plan
(c) estimated reductions
(d) all of the above
Q2.What all is included in assortment
planning?
(a) Merchandise planning in units
(b) target market analysis
(c) Completion analysis
(d) all of the above
Q3. What are the basic aspects on which
the retailers can analyze the information
related to their target segments?
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(a) Who are the shopper and consumer
of their products, services, and brands-
national or private labels?
(b) Segments of shoppers/consumers
based on the patterns of shopping and
consumption behavior
(c) Reasons for not patronizing the store
(d) all of the above
Q4. Which of the following statement is
incorrect?
(a) The pricing strategy for newly
introduced product can be either high-
skimming is low penetration
(b) Inventory management plan provides
information regarding sales velocity
(c) The product category life cycle
describes the from of marketing pattern
over time
(d) None of the above
Q5.What is the main aspects for optimal
merchandise?
(a) breadth
(b) Depth of stock assortment
(c) both a and b
(d) None of the above
Q6.What is the point to be considered
for devising a strategic merchandise
purchase?
(a) How much width will your store
carry?
(b) How much consistency will your
store have?
(c) How does the 80/20 principle apply?
(d) all of the above
Q7.What is the key issues related to
retail branding?
(a) Brand management of the retail
outlet
(b) Deciding whether or not to opt for
the strategy of self own branding.
(c) both a and b
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(d) none of the above
Q8.What is the decisions criteria for
selecting new offers?
(a) is the item useful to the target
segment?
(b) Has the item been test-market?
(c) does the new offer duplicate an
existing offering?
(d) all of the above
Q9. Which of the following statement is
correct?
(a) Product management by the retail
firm is critical to the satisfaction of
consumer needs.
(b) Product management is also an
implementation of the segmentation
strategy of the retailer who attempts to
attract the target segment through the
product profile and the specifics pricing
strategies.
(c) both a and b
(d) none of the above
Q10.What is the key retail price
objectives?
(a) to maximize long-and short term
profit
(b) to increase sales volume
(c) to increase sales value
(d) all of the above
Q11.__________ refers to the offering
of merchandise at a number of specific
but predetermined prices.
(a) price lining
(b) psychological pricing
(c) extinction pricing
(d) bundled pricing
Q12.____________ occurs in the case of
the retail sale of otherwise distinct and
identifiable products for one non-
itemized price that dies not vary and is
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non-negotiable based on the selection of
the products made by the purchasers
(a) price lining
(b) psychological pricing
(c) extinction pricing
(d) bundled pricing
Q13._____________ is method of
setting prices intended to have special
appeal to consumers.
(a) price lining
(b) psychological pricing
(c) extinction pricing
(d) bundled pricing
Q14. It uses consumers’ frame-of-
reference that is established through
previous experience of purchasing the
sports product or through high levels of
information search.
(a) reference pricing
(b) TV additional pricing
(c) odd-even pricing
(d) none of the above
Q15.It uses historical or long-standing
prices for a sports product to determine
the pricing.
(a) reference pricing
(b) TV additional pricing
(c) odd-even pricing
(d) none of the above
Q16.When deciding on pricing
objectives a retailer needs to consider:
(a) The overall financial. marketing and
other objectives of the retail business
(b) The characteristics of product brand
(c) Consumer price elasticity and price
points
(d) all of the above
Q17. It is setting prices at odd numbers
to denote lower price or a “good deal” or
setting prices at even numbers.
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(a) reference pricing
(b) TV additional pricing
(c) odd-even pricing
(d) none of the above Q18.__________
is a strategy which involves setting low
prices in order to discourage or deter
potential new entrants to the retailer’s
market, and is
especially suited to markets in which the
retailer does not enjoy any market
privilege and entry to the market is
relatively straight-forward.
(a) bundled pricing
(b) pre-emptive pricing
(c) extinction pricing
(d) perceived-value pricing
Q19.It is a method of pricing in which
the seller attempts to set the price at the
level that the intended buyers value the
product.
(a) bundled pricing
(b) pre-emptive pricing
(c) extinction pricing
(d) perceived-value pricing
Q20. ____________ has the overall
objective of eliminating completion, and
involves setting very low prices in the
short term in order to ‘undercut’
completion.
(a) bundled pricing
(b) pre-emptive pricing
(c) extinction pricing
(d) perceived-value pricing
Q21.It is a method of pricing in which
the seller attempts to set the force at the
kevel that the intended buyers value the
product.
(a) bundled pricing
(b) pre-emptive pricing
(c) extinction pricing
(d) perceived-value pricing
Q22. A method of pricing in which the
seller attempts to set price at a level that
the intended buyers are willing to pay.
(a) demand-oriented pricing
(b) pre-emptive pricing
(c) extinction pricing
(d) perceived-value pricing
Q23._________is basically money
returned to the buyer on the basis of
some portion of the purpose price.
(a) coupons
(b) rebates
(c) price increase
(d) none of the above
Q24.They is written promises that the
store will sell the merchandise that is out
of stock at sale prices as and when the
merchandise arrives.
(a) coupons
(b) rebates
(c) price increase
(d) Rain check
Q25.It is the difference between net
sales and the total cost of goods sold.
(a) Gross margin
(b) Gross profit
(c) Horizontal price fixing
(d) Leader pricing
Q26.It is the difference between net
sakes and the total cost of goods sold.
(a) Gross margin
(b) Gross profit
(c) Horizontal price fixing
(d) Leader pricing
Q27.It is an agreement among
manufacturers, wholesalers, or retailers
to set certain prices.
(a) Gross margin
(b) Gross profit

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(c) Horizontal price fixing (b) Some of the main factors will be
(d) Leader pricing concerns about lack of insecure payment
methods
Q28.It is observed when a retailer (c) Most retailers in Africa are now
advertises and sells selected items in its familiar with IT features
good/service assortment at less than the (d) The ultimate success of the internet
usual profit margin. will depend on whether the Indian
(a) Gross margin consumer has access
(b) Gross profit
(c) Horizontal price fixing Q3.Which of the following are included
(d) Leader pricing in the A/P reports?
(a) Quotation summary
Q29.It is the difference between (b) Accounts receivables summary
merchandise costs and retail selling (c) Vendors aging detail
price. (d) Deposit list
(a) mark-up
(b) mark-up pricing Q4. Which of the following are included
(c) markdown in Bank?
(d) market penetration (a) Quotation summary
(b) Accounts receivables summary
Q30.It drive cost-oriented pricing (c) Vendors aging detail
wherein a retailer sets prices by adding (d) Deposit list
per unit merchandise costs, retail-
operating expenses , and desired profit. Q5.What is the key advantages of
(a) mark-up integrated accounting?
(b) mark-up pricing (a) Decrease labor cost involved in
(c) markdown maintaining company books
(d) market penetration (b) Accurate posting and balancing of
sales data
(c) One company solution versus support
UNIT 7 & 8 from multiple 3rd parties.
(d) all of the above
Q1.Which of the following are included
in the A/R reports? Q6.Which of the following is included in
(a) Quotation summary the General ledger?
(b) Accounts receivables summary (a) Daily journal
(c) Vendors aging detail (b) Balance sheet
(d) Deposit list (c) Pick ticket
(d) Deposit list
Q2.Which of the following is correct
false? Q7.Which of the following is included in
(a) Consumer demand for the internet is a the sales reports?
key component (a) Quotation summary
(b) Accounts receivables summary
(c) Vendors aging detail

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(d) Deposit list
Q8.Which of the following is included in
the General ledger?
(a) Daily journal
(b) Balance sheet
(c) Pick ticket
(d) Deposit list
Q9.Which of the following is included in
the Forms?
(a) Daily journal
(b) Balance sheet
(c) Pick ticket
(d) Deposit list
Q10. When a company acquires a
supplier through an acquisition strategy,
this is referred to as:
(a) backward integration.
(b) vertical marketing system.
(c) horizontal integration.
(d) forward integration
Q11. Introducing new products to
existing markets is an example of:
(a) vertical diversification.
(b) conglomerate diversification.
(c) concentric diversification.
(d) horizontal diversification Q12.
What is the statement of the
organisation's purpose?
(a) Organisational perspective.
(b) Mission statement.
(c) Organisational intent
(d) none of the above
Q13. Corporate strategy is:
(a) the implementation of plans to
achieve long-term aims.
(b) the framework for functional
marketing strategy.
(c) decided by functional marketing
strategy.
_____________________________________________________________________
(d) more specific and practical than
marketing strategy.
Q14. Which of the following statements
are not true of market challengers?
(a) They have a vested interest in the
status quo.
(b) They often direct their competitive
activity at smaller firms
(c) They tend to use penetration pricing
strategies as a way of expanding their
existing business.
(d) They carry out flanking activities
Q15. West Coast Fish have no formal
organisation for marketing. Where this
would be stated in its marketing plan?
(a) Financial controls.
(b) Executive summary.
(c) SWOT Analysis.
(d) Marketing strategy
Q16. The ACME Company sets its
marketing budget by estimating the
market leader's marketing spends. This
approach to setting a budget is called:
(a) percent of sales method.
(b) comparative parity method.
(c) marginal approach.
(d) objective and task method
Q17. To develop its market segments,
West Coast Fish planned sales visits to
the top 25 hotels and restaurants in
Ireland. Where would this appear in a
marketing plan?
(a) Executive summary.
(b) Marketing strategies.
(c) Action plans.
(d) Critical issues.
Q18. ACME Company sets its
advertising budget by only spending up
to the point where any further spending
would not generate enough extra
13
________________________________________________________________________
business to justify the outlay. What
approach is it using to setting the
budget?
(a) Objective method.
(b) Marginal approach.
(c) Comparative parity method.
(d) All-you-can-afford method.
UNIT 9 & 10
Q1.Which of the following given
courses are helpful in any business
activity?
(a) general marketing
(b) business law
(c) general management
(d) all of the above
Q2.What are the factors leading to
manufacturer’s maximization of
exposure in given retail outlet?
(a) number and size of physical ‘facings’
on the shelves
(b) identified brand areas
(c) multiple positions within the store
and promotional opportunities outside
the store.
(d) all of the above
Q3.The independent stires that survive
and prosper will be those who:
(a) recognize and act on their
competitive strengths and weaknesses
(b) understand who their customers are
and what they want
(c) identify and fill a viable niche in the
marketplace
(d) all of the above
Q4.There are predominately
__________ types of traditional retail
formats.
(a) two
(b) three
(c) four
_____________________________________________________________________
(d) five
Q5. This is the most common source for
buying soap, which usually forms a part
of the month’s grocery list.
(a) kirana store
(b) pan-beedi shops
(c) departments stores in India
(d) none of the above
Q6.The aspects of boom in retailing in
India:
(a) the emergence of newer, specialized
and bigger retail formats
(b) deeper and wider penetration of retail
network in rural India prompted by
greater recognition of the potential of
rural markets especially in the FMCG
and consumer durables sector
(c) both a and b
(d) none of the above
Q7.What are the factors that has led to
the survival of neighborhood stores?
(a) location convenience
(b) India has low motorized vehicle
penetration levels
(c) Indian consumers prefer fresh
grocery rather than keeping bulk and use
stale ones
(d) all of the above
Q8. There are very few _____________
and the ‘Indianised’ version of
departmental stores is called ‘Sahkari
Bhandars’
(a) kirana store
(b) pan-beedi shops
(c) departments stores in India
(d) none of the above
Q9. These are basically run at low scale,
mostly as a secondary business activity.
(a) retail outlets with in villages
(b) periodic markets
14
________________________________________________________________________
(c) geographical markets
(d) all of the above
Q10.__________ are traditional places
where the rural consumers congregate as
a rule.
(a) retail outlets with in villages
(b) periodic markets
(c) geographical markets
(d) all of the above
Q11.These are small shops, almost like
handcarts, and are primarily set up to
dispense cigarettes and chewing tobacco.
(a) kirana store
(b) pan-beedi shops
(c) departments stores in India
(d) none of the above
Q12. All of the following are commonly
recognized promotion budget
formats EXCEPT:
(a) the affordable method
(b) the LIFO method
(c) the percentage-of-sales method
(d) the objective-and-task method
Q13. When a company reviews sales,
costs, and profit projections for a
new product to find out whether
these factors satisfy the company's
objectives, they are in which of the
following new process development
stages?
(a) Concept development and
testing.
(b) Commercialization.
(c) Business analysis.
(d) Marketing strategy
development.
Q14. _______________ is a strategy of
using a successful brand name to
launch a new or modified product
_____________________________________________________________________
in a new category.
(a) Duobranding
(b) Line extension
(c) Brand extension
(d) Multibranding
Q15. The fact that services cannot be
stored for later use or sale is
evidence of their:
(a) intangibility.
(b) inseparability.
(c) variability.
(d) perishability.
Q16. _________________ is the concept
under which a company carefully
integrates and coordinates its
many communications channels to
deliver a clear, consistent, and
compelling message about the
organization and its products.
(a) The promotion mix
(b) Integrated international affairs
(c) Integrated marketing
communications
(d) Integrated demand
characteristics
Q17. Catalog marketing is big business
in the United States. The average
household receives
______________ catalogs per
year.
(a) 25
(b) 50
(c) 75
(d) 100
Q18. A company faces several major
decisions in international
marketing. The first of these
decisions is often:
(a) deciding whether to go
international.
(b) looking at the global marketing
15
________________________________________________________________________
environment.
(c) deciding which markets to
enter.
(d) deciding how to enter markets.
Q19. A ____________________ is the
way consumers perceive an actual
or potential product.
(a) product idea
(b) product image
(c) product concept
(d) product feature
Q20. The American Marketing
Association suggests a list of code
of ethics. All of the following are
ethics suggested in the area of
distribution EXCEPT:
(a) not manipulating the
availability of a product for
purpose of exploitation.
(b) not using coercion in the
marketing channel.
(c) using gray marketers whenever
possible to save the consumer
money.
(d) not exerting undue influence
over the reseller's choice to
handle a product.
Q21. Given recent information about
growth trends and growth potential
of ethnic populations within the
U.S. market, which of the following
ethnic groups would be
a best bet to double during the next
half century and become one of
the U.S. market's most viable
segments?
(a) Hispanics and Asians
(b) African Americans
(c) Western Europeans
(d) Middle Eastern
Q22. All of the following are methods
_____________________________________________________________________
by which a company can divide up
its sales responsibilities EXCEPT:
(a) territorial sales force structure.
(b) pychographic trait sales force
structure.
(c) product sales force structure.
(d) customer sales force structure.
Q23. If your company were to make a
product such as a suit of clothes
and sold that product to a retailer,
your company would have sold to
the ___________ market.
(a) reseller
(b) business
(c) government
(d) service
Q24. The course of a product's sales and
profits over its lifetime is called:
(a) the sales chart.
(b) the dynamic growth curve.
(c) the adoption cycle.
(d) the product life cycle.
Q25. The type of trade-promotion
discount in which manufacturers
agree to reduce the price to the
retailer in exchange for the
retailer's agreement to feature the
manufacturer's products in some
way is called a(n):
(a) discount.
(b) allowance.
(c) premium.
(d) rebate.
Q26. he most logical budget setting
method is found in the list below.
Which is it?
(a) Affordable method
(b) Percentage-of-Sales method
(c) Competitive-parity method
(d) Objective-and-task method
16
________________________________________________________________________
Q27. The place in the business buying
behavior model where
interpersonal and individual
influences might interact is called
the:
(a) environment.
(b) response.
(c) stimuli.
(d) buying center.
Q28. When producers, wholesalers, and
retailers act as a unified system,
they comprise a:
(a) conventional marketing
system.
(b) power-based marketing
system.
(c) horizontal marketing system.
(d) vertical marketing system.
Q29. One common misuse of marketing
research findings in contemporary
business is the tendency for
marketing research to:
(a) become a vehicle for pitching
the sponsor's products.
(b) become a vehicle for
discriminating in the
marketplace.
(c) become a means for raising
prices.
(d) become a means for unfair
competition.
Q30. ______________ is a person's
distinguishing psychological
characteristics that lead to
relatively consistent and lasting
responses to his or her own
environment.
(a) Psychographics
(b) Personality
(c) Demographics
(d) Lifestyle
_____________________________________________________________________
Q31. ________________ has the
advantage of being high in
selectivity; low cost; immediacy;
and interactive capabilities.
(a) Direct Mail
(b) Outdoor
(c) Online
(d) Radio
Q32. The choice between high markups
and high volume is part of which
of the following retailer marketing
decisions?
(a) Target market decisions
(b) Product assortment and
services decisions
(c) Pricing decisions
(d) Promotion decisions
Q33. If an advertiser wants flexibility,
timeliness, good local market
coverage, broad acceptability, and
high believability, the advertiser
will probably choose which of the
following mass media types?
(a) Newspapers
(b) Television
(c) Direct Mail
(d) Radio
Q34. If your company were to make
light bulbs to be used in
photocopiers, you would most
likely be selling to a
________________ market.
(a) reseller
(b) business
(c) government
(d) service
Q35. If a government uses barriers to
foreign products such as biases
against a foreign company's bids,
or product standards that go
against a foreign company's
17
________________________________________________________________________
product features, the government
is using:
(a) protectionism.
(b) exchange controls.
(c) exchange facilitators.
(d) nontariff trade barriers.
Q36. A(n) _______________ is a name,
term, sign, symbol, or design, or a
combination of these that identifies
the maker or seller of a product or
service.
(a) product feature
(b) sponsorship
(c) brand
(d) logo
(b) Manufacturer's brand
(c) Private brand
(d) Co-brand
Q40. When personal interviewing
involves inviting six to ten people
to gather for a few hours with a
trained interviewer to talk about a
product, service, or organization,
the method is called:
(a) selective sponsorship.
(b) probing.
(c) focus group interviewing.
(d) the Delphi method

Q37. All of the following factors can

affect the attractiveness of a
market segment EXCEPT:
(a) the presence of many strong
and aggressive competitors.
(b) the likelihood of government
monitoring.
(c) actual or potential substitute
products.
(d) the power of buyers in the
segment.

Q38. A _______________ is any activity

or benefit offered for sale that is
essentially intangible and does not
result in the ownership of anything.
(a) demand
(b) basic staple
(c) product
(d) service

Q39. If Mark Mars pays Hershey Foods

Corporation for the right to use
their name on his line of T-shirts,
then Mr. Mars is using which type
of branding?
(a) Licensed brand

_____________________________________________________________________
18
 Answers to Retail Marketing –MK0003

UNIT-1 UNIT-2 UNIT-3 & 4 UNIT-5 & 6

1 D 1 C 1 A 1 D
2 D 2 D 2 C 2 D
3 A 3 B 3 B 3 D
4 D 4 D 4 B 4 C
5 C 5 C 5 A 5 C
6 C 6 D 6 D 6 D
7 A 7 D 7 C 7 C
8 B 8 A 8 C 8 D
9 D 9 A 9 A 9 C
10 C 10 B 10 D 10 D
11 A 11 B 11 B 11 A
12 B 12 B 12 D 12 D
13 A 13 C 13 D 13 B
14 D 14 D 14 C 14 A
15 B 15 A 15 A 15 B
16 C 16 B 16 D 16 D
17 D 17 D 17 D 17 C
18 B 18 D 18 B 18 B
19 C 19 B 19 D 19 D
20 D 20 C 20 C 20 C
21 D 21 B 21 D 21 D
22 D 22 A 22 D 22 A
23 D 23 D 23 A 23 A
24 D 24 D 24 D
25 C 25 A
26 D 26 B
27 B 27 C
28 A 28 D
29 B 29 A
30 C 30 B
UNIT-7 & 8 UNIT-9 & 10
1 B 1 D
2 B 2 D
3 C 3 D
4 D 4 A
5 D 5 A
6 A 6 C
7 A 7 D
8 B 8 C
9 C 9 A
10 D 10 B
11 A 11 B
12 B 12 B
13 D 13 C
14 C 14 C
15 A 15 D
16 C 16 C
17 D 17 B
18 D 18 B
19 B
20 C
21 A
22 B
23 A
24 D
25 B
26 D
27 D
28 D
29 A
30 B
31 C
32 C
33 A
34 B
35 D
36 C
37 B
38 D
39 A
40 A