Question 1

The Summer Place has decided consumers will be drawn to its offering of outside furniture and will even be willing to drive out of their way. The store really needs to keep its overhead costs (such as rent) low and wants to avoid locating near competitors. For a location, what will the Summer Place probably choose?

Accepted Answer

A freestanding store is likely the best choice for The Summer Place because it allows for lower overhead costs compared to options like shopping centers or regional malls, and it avoids direct competition by not being clustered with similar stores. Additionally, it can provide ample space for displaying outdoor furniture and can be more accessible for customers willing to travel specifically for their offerings.

Question 2

The Bay announced it would open a 9,000-plus square metre freestanding store in the new West Grand Promenade. This would be the largest store on the promenade, with other smaller stores selling food, tires, and shoes. How else can this Bay store be described?

Accepted Answer

A destination store is a large retail store that attracts customers due to its size and variety, making it a primary reason for visiting the shopping area.

Question 3

Scenario 15-1
The Grape Vine Market is a 1,700-square-metre store offering highly collectible food and wine. Greeted by warm lighting, a muted colour scheme, and REM or Fleetwood Mac on the sound system, customers first enter the wine department, a 900-square-metre oval featuring more than 5,500 labels from around the world. There are no aisles; instead, racks are arranged asymmetrically to create flow and movement. A wine expert helps customers choose the appropriate product and helps pack the wine and food.
-Refer to the scenario. Which of the following does this scenario best describe?

Accepted Answer

The scenario describes the atmosphere of the Grape Vine Market, including the warm lighting, muted colour scheme, and music.

Question 4

Customer service means different things to different people in different retail locations. What should retailers do to improve service recovery?

Accepted Answer

The answer of Customer service means different things to different...

Question 5

Whenever a customer buys a stencil at Staples, a sales clerk asks the customer whether she needs brushes, paints, or tape for her stencilling project. What is the sales clerk engaging in?

Accepted Answer

The sales clerk is engaging in suggestion selling by recommending additional products that the customer may need for her stencilling project.

Question 6

Safeway grocery stores are usually classed as anchor stores. This means that other smaller stores locate themselves around Safeway in the hopes that they will also be noticed. What are anchor stores also known as?

Accepted Answer

Anchor stores are also known as generator stores because they generate foot traffic that benefits surrounding smaller stores.

Question 7

What P helps to determine the store's image?

Accepted Answer

Presentation refers to the physical appearance and layout of the store, including the design, cleanliness, lighting, and overall atmosphere. This is an important factor in determining the store's image as it can affect the customer's perception of the brand and influence their purchasing decisions. A well-presented store can create a positive image and attract customers, while a poorly presented store can have the opposite effect.

Question 8

Les Ailes de la Mode is a Quebec retailer that has built its name around customer relationships and experience. The shopping experience at the store includes little extras such as free coat check, free shoe shines, baby feeding rooms, a highly trained staff (and more of them on the floor), and a place for people to sit and read the newspaper. What is this an example of?

Accepted Answer

This is an example of emphasizing customer service, as the store is providing various little extras and a highly trained staff to ensure a positive experience for customers.

Question 9

This form of retail location first became popular in the 1950s when the population started migrating to the suburbs. It places a diverse group of retailers together in one location. What is it?

Accepted Answer

A shopping centre is a retail location where multiple retailers are located together in one place. This concept became popular in the 1950s as people moved to the suburbs and needed convenient shopping options. Shopping centres often include anchor tenants, such as large chain stores, and smaller stores and restaurants.

Question 10

Apple Stores are famed for the stark white walls and furnishings and a minimalistic style. What is the main element of the Apple Store's presentation conveyed by the store's physical layout, decor, and surroundings called?

Accepted Answer

The main element of the Apple Store's presentation conveyed by the store's physical layout, decor, and surroundings is the atmosphere. It is designed to create a sense of simplicity and elegance that reflects the brand's values and aesthetic.

Question 11

Scenario 15-1
The Grape Vine Market is a 1,700-square-metre store offering highly collectible food and wine. Greeted by warm lighting, a muted colour scheme, and REM or Fleetwood Mac on the sound system, customers first enter the wine department, a 900-square-metre oval featuring more than 5,500 labels from around the world. There are no aisles; instead, racks are arranged asymmetrically to create flow and movement. A wine expert helps customers choose the appropriate product and helps pack the wine and food.
-Refer to the scenario. What is the Grape Vine Market using to differentiate itself from supermarkets?

Accepted Answer

The answer of Scenario 15-1
The Grape Vine Market is a...

Question 12

Geoff Hudson wants to open a specialty store to sell sports memorabilia and is considering locating it in a regional shopping mall. Before opening his new store, what does he need to understand?

Accepted Answer

Understanding the mall atmosphere and the appeal of neighbouring stores can help draw in shoppers to the specialty sports memorabilia store.

Question 13

Which group is the targeted market by lifestyle centres?

Accepted Answer

Lifestyle centres are designed to attract wealthier consumers who may be turned off by traditional malls. They offer a more upscale and sophisticated shopping experience with a focus on unique, high-end stores and restaurants. This makes them most appealing to the upper-income demographic.

Question 14

The Home Depot has selected orange as its corporate colour. It's a good choice. At the gut level, orange connotes happiness and warmth. A recent article in one of the company's advertising brochures spoke about choosing colours for home decorating. It referred to this colour as "joyful orange." What is the colour orange part of at The Home Depot stores?

Accepted Answer

The question specifically mentions that orange is the Home Depot's corporate colour and that it is used in the company's advertising brochures. This suggests that the colour is part of the atmosphere or overall look and feel of the Home Depot stores, rather than being specifically tied to the merchandise mix or promotional strategy.

Question 15

Les Ailes de la Mode is a Quebec retailer that wants to portray an image of quality to help reinforce its prestige image. What would be the key element in this store's positioning strategy and classification?

Accepted Answer

The answer of Les Ailes de la Mode is a...

Question 16

A specialty store is considering locating a retail store in a regional shopping mall. Which of the following is NOT a likely benefit associated with locating in a mall?

Accepted Answer

Inexpensive leases are not typically associated with locating in a mall. In fact, mall leases can be costly due to the high foot traffic and desirable location within the mall. The other options listed, such as anchors that attract customers, ample parking, and a unified image of the mall, are all common benefits of locating in a mall.

Question 17

The Bay department stores are usually classed as anchor stores. This means that other smaller stores locate themselves around The Bay in the hopes that they will also be noticed. Which of the following best describes The Bay?

Accepted Answer

The Bay is a large department store that acts as an anchor for other stores in the mall. It is often strategically located at opposite ends of the mall to create a heavy pedestrian traffic flow.

Question 18

When Boris went into Sears to buy his wife a new iron for her birthday, he planned to spend only about $30, but the sales clerk was able to show him the superiority of a $60 iron to the less expensive model. What did the sales clerk engage in?

Accepted Answer

The sales clerk engaged in trading up by convincing Boris to buy a more expensive version of the product than he originally intended to.

Question 19

What is the newest generation of shopping centre?

Accepted Answer

The newest generation of shopping centers is the lifestyle center. These centers offer a variety of retail and dining options, with a focus on creating a unique experience through entertainment and events. They often have open-air designs, walkable layouts, and upscale amenities, appealing to a younger and more affluent demographic.

Question 20

Loblaws has set up a new service in their grocery stores where they are encouraging their customers to shop online and then pick up the merchandise in the store. What trend in retailing are they following?

Accepted Answer

Loblaws is following the trend of click-and-collect, where customers can shop online and pick up the merchandise in the store. This is a popular trend in retailing as it offers convenience to customers who prefer to shop online and pick up their products at their own convenience without having to wait for delivery.

Quiz 15: Retailing