Question

40. Select one:

a. Increasing the amount of space allocated to this category, since it has a very good space productivity index.

b. Reducing the amount of space allocated to this category, since it is underperforming.

c. Firing the buyer, because 1.65 is a very poor space productivity index number.

d. Moving the product class to a more visible location within the store in hopes of improving the department’s weak performance.

e. Lowering the price of the merchandise in this department in order to boost its sales per sq. ft., which will improve its index.

51. Merchandise management is one aspect of customer service that should be carefully managed for the reasons listed EXCEPT which one?

Select one:

a. To be able to always be a leader with new product trends.

b. Manage markdowns regularly to ensure slow-sellers are moved out and inventory is fresh.

c. Make sure you have sufficient inventory in stock to sell to avoid stockouts.

d. For apparel, always make sure you have a full range of sizes for each style.

e. Maintain an assortment of products that your customer expects.

54. Consider these 3 pairs of retailers: 1. Costco & 99¢ Store; 2. Macy's and Safeway; and 3. Saks 5th Avenue & Tiffany. What 3 pricing policies have these retailers adopted, in order?

Select one:

a. Below market; market; above market

b. Economy, standard, luxury

c. Competitive, discount, skimming

d. Low ball, middle ball, high ball

e. Discount, standard, high-end

55. Percentage markup on retail price equals:    

Select one:

a. initial markup - maintained markup.    

b. (retail price – cost price) / retail price    

c. 100 percent - percentage markup on cost.    

d. markup/cost.    

e. percentage markup on retail price/(100 percent - percentage markup on selling price).

Answer 1