1. You’re an employee in accessories of a department store.
A customer complains about your lack of silk scarves after she saw an
advertisement in the newspaper. You are unable to provide a tangible restitution
as you aren’t management. Knowing the concept of procedural fairness, what else
could you do to satisfy your customer?

A. Make a note to the manager in front of the customer about
the lack of merchandise.

B. Offer a rain check.

C. Call other stores to see if it is in stock and direct the
customer to the other store.

2. Which of the following statements about the use of scent
to change or augment the atmospherics in a store is true?

A. The gender of the target market should be used to
determine the intensity of the scent.

B. There are no ethnic differences in the way scents are
received and decoded.

C. The methods used to introduce scent into a store are
relatively expensive.

3. Marcel works in the linen department of a large
department store. When a customer arrived Friday morning to pick up a
Thanksgiving tablecloth she had specially ordered, she was disappointed to find
deliveries were late, and the cloth had not yet arrived. She was planning to
use it at a Thanksgiving gathering at her home this weekend. Marcel was able to
use empowerment to bridge the _______ gap by offering to bring the tablecloth
to her home himself as soon as it arrived at the store.

A. research

B. knowledge

C. delivery

4. Which of the following statements about the location of
departments within retail department and discount stores is true?

A. Because many customers turn left when entering a store,
the left side is especially desirable floor space.

B. The best locations on any floor are those that are
closest to the store’s entrances, main aisles, escalators, and elevators.

C. In general in a multilevel store, space’s value increases
the further it is from the entry-level floor.

5. When Karen went to Amazon.com, based on her past
purchases, the site asked her if she was interested in a new book by Deepak
Chopra. It also asked her if she wanted to be reminded when new books by Chopra
or authors of similar books became available. Karen was even able to review her
past purchases. All of these unique customer services enable Amazon.com to

A. differentiate itself from other retailers of books.

B. combat the problems associated with service
intangibility.

C. prevent price comparisons with other electronic retailers
of books.

6. Which of the following does not describe appropriate
space management?

A. A retailer over allocates space to some low productivity
categories such as milk because an extensive assortment in these categories
attracts customers to the store and positively affects the sales of categories
with higher GMROIs.

B. Less is allocated to fast selling merchandise to allow
more shelf space to encourage sales of slower moving items.

C. A retailer over allocates space to categories purchased
by their platinum customers, the customers with the highest lifetime value.

7. Glamour Shots uses makeup and clothes to try to make each
of its customers look attractive. Then it takes photos of these individuals. It
makes money by selling these photos. Since each individual is different, End of
exam each makeover is different as is each camera shoot. Glamour Shots uses
a/an _______ approach to customer service.

A. standardization

B. individualized retailing

C. personalization

8. Why is it important for stores to be designed with
flexibility in mind?

A. It’s less expensive for retailers to build several
different types of flexible fixtures than to build one inflexible fixture.

B. Stores with flexible designs can respond to market
changes without large-scale renovations.

C. Customers find it hard to locate merchandise if fixtures
are rigid.

9. Which of the following is not considered an objective to
be met when designing a store?

A. The design should recognize the needs of the disabled.

B. The design should be inexpensive.

C. The design should be flexible.