Storing involves breaking down heterogeneous products into more homogenous groups.
Indicate whether the statement is true or false
Question 2By building switching costs into products or services, firms can raise price sensitivity.
Indicate whether the statement is true or false
Question 3A vendor profitability analysis statement:
a. is a vendor's financial statement that is made available to all retailers.
b. is a schedule maintained by the retailer which shows each vendor's initial data for new lines, shipment of orders, and gross margins.
c. is a retailer's financial statement used by the vendor for determining available credit limits.
d. is a retailer's analysis of the profitability of the different vendors and their lines from the prior year(s).
e. breaks down vendors using an A-B-C classification based on the reliability of delivery from each vendor.
Question 4Today's retailers can develop long-term relationships with their customers by offering financial and social benefits.
Indicate whether the statement is true or false
Question 5The Card Shoppe had a gross margin last year of 2,000,000 and a net profit of 300,000, while net sales were 2,500,000 . What was The Card Shoppe's net profit margin for last year?
a. 12.0 percent
b. 15.0 percent
c. 20.0 percent
d. 68.0 percent
e. 80.0 percent
Question 6External forces affecting channels cannot be completely controlled by the retailer or any other institution in the supply chain, but they need to be taken into account when retailers make decisions.
Indicate whether the statement is true or false
Question 7Addictive products are immune from price sensitivity.
Indicate whether the statement is true or false
Question 8_____ is a record of all purchases a retailer made last year, discounts granted by the vendors, transportation charges paid, the original markup, markdowns, and the season-ending gross margin on a vendor's merchandise.
a. Vendor's financial history
b. Vendor profitability analysis statement
c. Vendor's blue book
d. Vendor report
e. Confidential vendor analysis
Quick Reply
