Exam (elaborations)
MAR 3231 Exam 2 Hopkins
- Course
- Institution
MAR 3231 Exam 2 Hopkins
[Show more]
Seller
Follow
lydiaomutho
Content preview
MAR3231 Exam 2 HopkinsDestination Retailer - CORRECT ANSWER--Combination of price-orientated,
cost-efficient, exclusive merchandise, superior customer service.
-People will drive long distance.
-Ex: Trader Joes, Ikea, Bass Pro Shop
-Hopkins Ex: American Girl Store.
The Wheel of Retailing - CORRECT ANSWER--Describes how retailers capture
market share and create brand value.
Ex: Kmart
Low-end strategy - CORRECT ANSWER--Low prices.
-Limited Facilities.
-Price-sensitive consumer.
Medium strategy - CORRECT ANSWER--Moderate prices.
-Improved facilities.
-Broader base of value and service to consumer.
High-end strategy - CORRECT ANSWER--Higher prices.
-Excellent facilities.
-Excellent service.
Entry Phase------->Maturity Phase - CORRECT ANSWER-Ex: Target has
differentiated themselves from Walmart and Kmart.
-Higher brand of clothing and super market.
Ex: Walmart started to deliver groceries to homes and will even stock the
groceries in the fridge.
-Moving away from "low-end" strategy.
The 4 Principles of The Wheel of Reatailing - CORRECT ANSWER-1. There are
many price-sensitive shoppers.
-Not loyal to the brand/store but to the price.
, 2. Price sensitive shoppers are not loyal and will switch brands to find lowest
price.
3. New institutions often have lower operating costs than existing institutions.
4. Retailers move up the wheel to increase sales, broaden target market, and
improve their image.
Lessons of the Wheel of Retailing - CORRECT ANSWER--Don't lose sight of
your prime customers price consciousness.
-Beware of the dangers in upgrading target markets- Old segments get sticker
shocked and new segment does not accept retailers revised positioning.
-Employ customer benefit costing to weigh the cost and benefits of specific
service upgrades.
-Use unbundled pricing to separately charge for select services such as delivery,
installation etc.
Ex: Spirit Airlines...Charges for everything.
Ex: Delta gives a lot of added stuff with plane ticket price.
Scrambled Merchandising - CORRECT ANSWER-Would you buy....
-appliances from Starbucks?
-clothing from grocery stores?
-ready-to-eat food from a furniture store?
Why Scrambled Merchandising? - CORRECT ANSWER--desire for one-stop
shopping
-concern to adopt "hot" products to increase store traffic
-looking to increase store sales per square foot and same store sales especially
in a recessionary period.
Ex: convenience stores are bad at it...too much random stuff.
The benefits of buying summaries with Stuvia:
Guaranteed quality through customer reviews
Stuvia customers have reviewed more than 700,000 summaries. This how you know that you are buying the best documents.
Quick and easy check-out
You can quickly pay through credit card or Stuvia-credit for the summaries. There is no membership needed.
Focus on what matters
Your fellow students write the study notes themselves, which is why the documents are always reliable and up-to-date. This ensures you quickly get to the core!
Frequently asked questions
What do I get when I buy this document?
You get a PDF, available immediately after your purchase. The purchased document is accessible anytime, anywhere and indefinitely through your profile.
Satisfaction guarantee: how does it work?
Our satisfaction guarantee ensures that you always find a study document that suits you well. You fill out a form, and our customer service team takes care of the rest.
Who am I buying these notes from?
Stuvia is a marketplace, so you are not buying this document from us, but from seller lydiaomutho. Stuvia facilitates payment to the seller.
Will I be stuck with a subscription?
No, you only buy these notes for $7.99. You're not tied to anything after your purchase.
Can Stuvia be trusted?
4.6 stars on Google & Trustpilot (+1000 reviews)
76800 documents were sold in the last 30 days
Founded in 2010, the go-to place to buy study notes for 14 years now