ENTREPRENEURSHIP
Virtual Business Retail
REVIEW
Matching:
a.
b.
c.
d.
e.
f.
g.
h.
i.
Price Points
Consumability
Primary Data
Personal Selling
Promotional Mix
Loss Leaders
Market Share
Bounce
Loyalty Program
j.
k.
l.
m.
n.
o.
p.
q.
r.
Complementary Business
Sales Promotion
Focus Group
Total Opens
Vendor
Secondary Data
Freestanding Location
Staffing Level
Profitability
s.
t.
u.
v.
w.
x.
y.
z.
Seasonal
Survey
Advertising
Spam
Markdown
Response Rate
Marketability
Public Relations
1.
G
The percentage that a store has of the total sales in its trading area
2.
T
A series of questions asked to a select and representative group of people to obtain quantitative
data
3.
W
A price reduction in order to boost the number of sales
4.
Y
The measure of how easily you can sell a product
5.
I
Any kind of marketing strategy that creates loyal customers
6.
K
Stimulation of sales achieved through contests, discounts, games, giveaways, or special offers
7.
A
The typical selling prices at which goods are sold
8.
V
Unwanted emails, especially from marketers
9.
H
An email that cannot be delivered
10. M
The count of recipients who actually open your marketing campaign’s email message
11. O
Data that was collected by someone else
12. U
A communication to customers paid for by a business
13. F
A good or service advertised and sold at below cost price used to bring customers in to the store
14. N
A business that sells merchandise to retail stores for resale
15. D
Face-to-face selling in which a seller attempts to persuade a buyer to make a purchase
16. P
A store that is unattached to other stores
17. B
A measure of how long a product lasts
18. C
Data observed or collected directly from first-hand experience
19. R
A measure of how much money you can make off each sale
20. L
A small group of people who provide opinions under the direction of a discussion leader
21. S
Goods whose sales fluctuate according to the time of year
22. E
The combination of the types of promotion a business uses
23. Z
The use of unpaid references to a business to further a positive impression
24. Q
The number of workers assigned to jobs at a particular time
25. J
A retailer that sells related, but not identical, merchandise as one’s own store
26. X
The effectiveness of an email campaign, measured by the number of people who responded divided by the number of emails sent
Multiple Choice
Identify the letter of the choice that best completes the statement or answers the question.
27. D
What did the Sherman Antitrust Act outlaw?
a. Deceptive advertising
c. Black-market goods
b. Counterfeit money
d. Monopolies and price fixing
28. C
An understaffed store may become a target for what?
a. Panhandlers
c. Shoplifters
b. Deal-seekers
d. Tax audit
29. D
Which is NOT a use for market research?
a. Identifying what services
c.
customers want
b. Forecasting sales
d.
30. A
Deciding what merchandise to sell
Determining tax deductions
When supply goes down and/or consumer demand goes up, what usually happens to the price?
a. It rises
c. It drops
b. Nothing
d. All of these
31. B
You sell $1,500 per week of tennis balls at 30% margin. You sell $1,200 of tennis rackets at 40%
margin. Which generates more total margin for you?
a. Tennis balls
b. Tennis rackets
32. A
You sell 250 computers per week at $600 per computer. You sell 550 phones per week at $200 per
phone. Which generates more dollars sales for you?
a. Computers
b. Phones
33. B
34. C
35. C
Is secondary data generally more expensive or less expensive than primary data?
a. More
b. Less
A product you carry has a shelf life of 75 days. You purchased it on January 10th. During what
month does it expire?
a. January
c. March
b. February
d. April
Which question is an example of quantitative market research?
a. How did you hear of our prodc. How many times did you purchase this product in
uct?
the past 6 months?
b. Why did you buy this product? d. Where do you live?
36. D
What is an internal e-mail list?
a. One that was generated from
IRS data
b. A list taken from the yellow
pages
c.
one that is kept only on one computer for extra security
d.
One that was generated by the business itself
37. D
Which government agency is in charge of enforcing advertising laws?
a. The Justice Department
c. The US Chamber of Commerce
b. The SEC
d. The Federal Trade Commission
38. A
How do managers deal with overstaffing problems?
a. By selling the store
c. By cutting back store hours
b. By making full-time positions
d. By canceling ad campaigns
part-time
39. A
Long lines are an indication of what?
a. Understaffing
b. Prices that are too low
c.
d.
Disgruntled employees
Too many people writing checks
40. B
Which is not a critical consideration when choosing a location for a retail store?
a. Traffic
c. Convenience
b. Nearby police station
d. Visibility
41. C
What is just-in-time inventory control designed to do?
a. Cut down on merchandise lost
c. Reduce the amount of inventory a store must keep on hand
to theft
b. Eliminate wasteful packaging
d. Minimize time spent restocking shelves
42. A
What did the Clayton Antitrust Act of 1914 and the Robinson-Patman Act of 1936 outlaw?
a. Price discrimination
c. Collusion
b. Undercutting the competition
d. Pre-Thanksgiving sales
43. B
Which product has the highest “consumability”?
a. A plasma TV
c. A chest freezer
b. A loaf of bread
d. An iPad
44. B
45. C
46. A
47. A
Compute the selling price of a sports drink that has a cost of $1.25 per item. The store needs to
generate a profit of $0.50 per item.
a. $2.00
c. $1.50
b. $1.75
d. $1.85
Which type of businesses generally prefer freestanding locations?
a. Small mom & pop retailers
c. Big-box retailers such as Home Depot
b. Nail salons
d. Boutiques
You have a budget of $3,000. You want to buy email addresses, and each address costs $0.37.
How many addresses can you buy?
a. 8,108
c. 3,000
b. 12,322
d. 37
Which of the following is least seasonal?
a. Bottled water
c.
b. Swimsuit
d.
Snowboard
Whole turkey
48. B
49. A
50. C
You own a coffee shop where a cup of coffee costs $2.10. Your cost on the cup of coffee is $0.30.
Calculate the margin per cup of coffee.
a. $3.09
c. $2.40
b. $1.80
d. $0.63
When a price is set too low, customers might think the product is defective.
a. True
b. False
Your typical markup for merchandise is 40%. Our cost of an item is $5.00. Calculate the
selling price.
a. $5.00
c. $7.00
b. $6.00
d. $8.00