Question 1: One Of The Most Dramatic Changes Created By E Ta

Question 1one Of The Most Dramatic Changes Created By E Tailing Is A S

QUESTION 1 One of the most dramatic changes created by e-tailing is a shift in power between retailers and consumers. This shift in power is derived from: The ability of consumers to purchase from retailers in other countries as a result of the Internet. The inability of Internet retailers to compete with more traditional bricks-and-mortar retailers. The loss of control of pricing information by retailers due to the information dissemination capabilities of the Internet. The decreased power of consumers when transacting and negotiating with retailers.

QUESTION 2 Which type of retail establishment is least likely to adopt scrambled merchandising? A convenience market A drugstore A supermarket A specialty store

QUESTION 3 If a retailer had an average inventory of $80,000 (retail) and annual sales of $480,000, how many times has that retailer turned over its inventory? Eight times a year Six times a month Eight times a month Six times a year

QUESTION 4 Due to increased corporate responsibilities, the manager of a sporting goods store has asked the assistant manager to take responsibility for screening and hiring new sales associates. The manager is allowing the assistant to make the decisions independently, but has scheduled weekly meetings for the two to discuss any issues of concern and to provide insight, if needed.

The manager is demonstrating which desirable retailing attribute? Prioritizing Leadership Creativity Laziness

QUESTION 5 Retail managers are often forced to deal with many issues, functions, and projects at the same time. Establishing priorities, plans, and follow through to achieve results demonstrates which prerequisite for success? Initiative Leadership Risk Taking Organization

QUESTION 6 Consider this mission statement: “Dad’s Tasty Dogs will utilize the friendly, proven expertise of its employees and the finest ingredients to provide customers with great tasting hot dogs at a fair price.†What element of a good mission statement is missing? How the retailer uses or intends to use its resources A SWOT analysis How it expects to relate to the ever-changing environment The kinds of value it intends to provide in order to serve the needs and wants of the customer

QUESTION 7 Sales volume and market share are the most popular measures of: Financial productivity Market performance Merchandise productivity Human resource allocation

QUESTION 8 A retailer has total assets of $6,000,000 and a net worth of $3,000,000.

What is the retailer's financial leverage ratio? 0.5 times 2.0 times 1.0 times 0.2 times

QUESTION 9 If a retailer is assessing the remodeling needs of its stores, as well as evaluating the effect that the lack of a formal training program is having on the management of its establishments, the retailer is reviewing the firm's: Strengths Weaknesses Opportunities Threats

QUESTION 10 Identify the correct statement about “echo boomers.†They were the first to grow up with the Internet in its developed form They want a family and home but place a higher priority on their professional career This age group is a declining percentage of the population This age group is a declining percentage of the population

QUESTION 11 Which of the following statements about Gen Yers is false?

Realizing the Yers’ interests, many banks are allowing their customers to set their own rules for transferring funds into savings accounts These antifashion and antiestablishment consumers do not want entertainment or events when they shop Gen Yers seem to be turned off by promotions that do not take them seriously Some banks have lured Gen Yers with online user friendliness whereby they can drag money from one account to another all on the same screen

QUESTION 12 Which of the following statements applies to members of the college-educated market? They are especially watchful of price, quality, and advertised claims Their buying behaviors do not differ from those of other consumers of their same age who are not college educated They are less sophisticated, discriminating and more dependent than other consumers of their age and income level, when making retail purchases With the advent of the Internet, they will have no need for in-store salespeople

QUESTION 13 A market offers rows of exotic produce, fresh prime meats, seafood flown in fresh, a bakery filled with artisan breads and over 220 cheeses.

This market is competing for customers on which major front? The price for the value offered Service level Product selection Location or access

QUESTION 14 When two discount department stores such as Sears and JCPenney compete for the same customer, what type of competition is occurring? Intertype Intratype Divertive Intercept

QUESTION 15 Which one of the following institutions involved in a supply chain would take title to the goods it is dealing with? Trucking company Insurance company Market researcher Retailer

QUESTION 16 An attempt by a wholesaler to preserve a market for its products by strengthening the retailers that it sells to is an example of what type of channel arrangement? Retailer-owned cooperative Wholesaler-sponsored voluntary group Corporate system Retail-sponsored marketing system

QUESTION 17 An example of coercive power is a manufacturer’s: Refusal to sell merchandise to any retailer who sells to diverters Offer to increase the cash discounts if the retailer meets a sales quota Offer a co-op promotional plan to all retailers in a key city Act of sending the retailer a Christmas card without a year-end bonus

QUESTION 18 When all airlines agree to set fares at the same price, they are: Engaging in price discrimination Violating fair trade laws Engaging in horizontal price fixing Violating the Federal Trade Commission Act

QUESTION 19 All of the pub owners in a small college town met and decided to charge $7.99 for a burger and beer during the school year.

The pub owners may be in violation of the: Wheeler-Lea Act Clayton Act Federal Trade Commission Act Sherman Antitrust Act

QUESTION 20 A salesperson tells a customer, "Ninety percent of the people we've sold these tires to over the past five years have gotten at least 25,000 miles of use out of them without any problems. Therefore, I can assume that you should get no less than 30,000 miles with them given the way you drive." The salesperson: May be creating an expressed warranty Is engaging in false advertising Could never be held responsible for the tire's longevity May be creating an implied warranty of merchantability

Paper For Above instruction

Economic and technological transformations driven by e-tailing have fundamentally reshaped the retail landscape, leading to significant shifts in power dynamics between retailers and consumers. This essay explores how the advent of the internet has redistributed influence, primarily empowering consumers by expanding their access to information and global markets while constraining retailer control over pricing and product presentation. This shift has profound implications for retail strategies, competition, and consumer behavior.

One of the central aspects of this change is the increased purchasing power of consumers across borders. The internet provides access to international retailers, effectively transforming local consumers into global shoppers. As a result, retailers are compelled to compete on price, quality, and convenience on a much broader scale. This globalization of shopping options diminishes the traditional dominance of bricks-and-mortar retailers, creating more competitive pressures and reducing retailers' control over pricing strategies (Laudon & Traver, 2017).

Another critical factor is the dissemination of pricing information. The internet enables consumers to research and compare prices instantly, leading to a loss of pricing control for retailers. This transparency heightens price competition and makes it more difficult for retailers to manipulate prices without risking customer attrition (Turban et al., 2018). Moreover, the availability of detailed product information shifts power to the consumer, who can make more informed purchasing decisions, thereby decreasing their reliance on salesperson interventions or retailer guidance.

Scrambled merchandising, a retail strategy involving the mixing of different product lines within a store, is less likely to be adopted by certain retail formats like convenience markets. These establishments focus on offering a limited range of essential goods, emphasizing quick and easy access rather than broad product variety (Levy & Weitz, 2019). Conversely, supermarkets and specialty stores are more apt to implement scrambled merchandising to attract more customers and increase sales by offering a diverse product assortment in a single location.

Inventory turnover ratios serve as vital measures of retail operational efficiency. For example, a retailer with an average inventory of $80,000 and annual sales of $480,000 has an inventory turnover rate of six times per year, calculated by dividing annual sales by average inventory. This ratio indicates how effectively a retailer manages stock displacement and replenishment, with higher turnover generally correlating with better performance and cash flow management (Kotler et al., 2019).

Leadership and delegation are essential attributes for successful retail management. The scenario describing a store manager entrusting the assistant manager with hiring responsibilities illustrates the importance of empowering employees with autonomy while maintaining regulatory oversight through scheduled meetings. This approach exemplifies effective leadership and organizational skills that foster accountability and staff development (Berman, 2020).

Establishing priorities, planning, and ensuring follow-through are critical for retail success. These steps relate to organizational competence, helping managers handle multiple issues simultaneously and achieve desired outcomes efficiently. Such organizational skills underpin effective problem-solving, decision-making, and operational execution necessary for competitive retailing (Solomon, 2020).

The mission statement of “Dad’s Tasty Dogs” highlights commitment to high-quality products and customer satisfaction but lacks explicit references to resource utilization, strategic environment, or specific customer value propositions. An effective mission statement should clearly articulate how the retailer plans to deliver value and differentiate itself in the competitive landscape (Drucker, 2019).

Sales volume and market share are primary indicators of a retailer’s performance in terms of financial productivity and market dominance, reflecting the effectiveness of marketing strategies and operational efficiency. They are less direct measures of merchandise productivity or human resource effectiveness but crucial for assessing overall market success (Garrett & Morris, 2018).

Calculating financial leverage involves dividing total assets by net worth. Given total assets of $6 million and net worth of $3 million, the leverage ratio is 2.0, indicating the extent to which the retailer uses borrowed funds to finance its assets, which can amplify returns but also increase financial risk (Brigham & Houston, 2021).

When evaluating store remodeling needs and training program deficiencies, retailers typically conduct a SWOT analysis. This strategic tool helps identify internal strengths and weaknesses, as well as external opportunities and threats, facilitating informed decision-making to improve performance and competitiveness (Hill & Jones, 2018).

The “echo boomers,” more accurately known as Millennials, were the first to grow up with a fully developed internet. They tend to prioritize career ambitions but also value family and home life, reflecting a balanced approach to personal and professional aspirations. Their demographic decline influences retail targeting and marketing strategies (Howe & Strauss, 2000).

Contrary to some assumptions, Gen Yers (Millennials) are interested in promotions and entertainment when shopping, despite being skeptical of superficial marketing efforts. Banks and retailers that adopt online and mobile-friendly interfaces cater effectively to their preferences, emphasizing ease of access and personalized service (Fromm & Garton, 2013).

Members of the college-educated market exhibit heightened sensitivity to quality, price, and truthful advertising claims. Their purchasing behavior reflects a sophisticated understanding of products and values, making them a critical demographic for brands that emphasize authenticity and value (Roberts & Lohan, 2017). The advent of the internet enhances their access to information but does not eliminate the need for in-store human interaction entirely.

The described exotic produce market competes mainly on product selection. Offering a wide variety of fresh, high-quality items, such markets attract customers seeking specialty and premium products, emphasizing differentiation over pricing or service levels (Kotler et al., 2019).

Competition between discount department stores like Sears and JCPenney primarily falls under intertype competition, as they operate within the same retail category but target similar customer segments, leading to direct rivalry on various fronts including pricing, promotions, and store location (Porter, 2008).

In a supply chain, a retailer takes title to goods, meaning it owns the products until they are sold to consumers. This ownership involves assuming responsibilities such as inventory management and risk, distinguishing retailers from entities like trucking companies or market researchers which do not typically hold title (Christopher, 2016).

A wholesaler attempting to preserve market share by strengthening its retail clients exemplifies a wholesaler-sponsored voluntary group. Such arrangements involve mutual cooperation and support to facilitate sales and market penetration (Coughlan et al., 2016).

Coercive power in channel relationships often manifests when manufacturers refuse to sell to certain retailers or apply pressure through penalties, such as withholding product supplies to influence retailer compliance or behavior. This type of power is rooted in the manufacturer’s ability to threaten supply disruptions (Keller & Buckman, 2018).

Horizontal price fixing occurs when competitors, such as airlines, agree to set identical fares, which is illegal under antitrust laws designed to promote fair competition by preventing price collusion (United States Department of Justice, 2020).

When pub owners in a small college town agree to uniform pricing, they potentially violate antitrust laws, specifically the Sherman Antitrust Act, which prohibits price-fixing agreements that restrict competition (U.S. Department of Justice, 2020).

The salesperson’s statement about tire miles potentially creates an implied warranty of merchantability, implying the product is fit for the general purpose for which tires are used, thus providing assurance about the product’s quality without explicit guarantees (Thelen, 2014).

References

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