Tag: types of retail organisation

Questions Related to types of retail organisation

The profits earned by consumer cooperative stores are utilised for ________________.

business organisation and correspondence middlemen 2 - retailer types of retail organisation types of retailing retail trade

  1. declaring bonus to members.

  2. strengthening the general reserve.

  3. social and educational benefit of members.

  4. all of the above

Show answer
Correct Option: D
Explanation:

Consumer Cooperative Stores. These are retail stores owned by the consumers themselves for their own benefit. These stores are owned and managed by a group of consumers, and their primary aim is not profit making, but mutual benefits for consumers.

There can be different alternatives for receiving payments for a Mail Order House. They are _______.

business organisation and correspondence middlemen 2 - retailer types of retail organisation types of retailing retail trade

  1. full payment in advance

  2. Value Payable Post (VPP)

  3. the goods may be sent through a bank

  4. All of the above

Show answer
Correct Option: D
Explanation:

A card not present transaction (CNP, MO/TO, Mail Order/ Telephone Order, MOTOEC) is a payment card transaction made where the cardholder does not or cannot physically present the card for a merchant's visual examination at the time that an order is given and payment effected.

To ensure fair management of funds the accounts of the stores are audited by _______.

business organisation and correspondence middlemen 2 - retailer types of retail organisation types of retailing retail trade

  1. Registrar of Cooperative Societies

  2. Registrar of Companies

  3. Registrar of Retail Stores

  4. Joint Stock Company

Show answer
Correct Option: A
Explanation:

A cooperative is an autonomous association of persons united voluntarily to meet their common economic, social, and cultural needs and aspirations through a jointly-owned and democratically controlled enterprise.

The seller approaches the customers by advertising the goods through ______.

business organisation and correspondence middlemen 2 - retailer types of retail organisation types of retailing retail trade

  1. the press

  2. sending circulars

  3. samples and catalogs

  4. all of the above

Show answer
Correct Option: D
Explanation:

A consultative or need based selling approach is where you identify your customer's needs and use it as the basis for a sales approach. It takes the hard edge out of product selling, and you can customize it to meet their needs.

Mail order business is known as shopping by ___. 

business organisation and correspondence middlemen 2 - retailer types of retail organisation types of retailing retail trade

  1. email

  2. fax

  3. post

  4. website

Show answer
Correct Option: C
Explanation:

Mail order business, also called direct mail marketing, method of merchandising in which the seller's offer is made through mass mailing of a circular or catalog or through an advertisement placed in a newspaper or magazine and in which the buyer places an order by mail.

Mail order houses are confronted with the problems like _______.

business organisation and correspondence middlemen 2 - retailer types of retail organisation types of retailing retail trade

  1. damage of goods in transit

  2. excessive operating cost

  3. credit policies

  4. all of the above

Show answer
Correct Option: D
Explanation:
1.  Lack of personal contact
In mail order business, the producer/seller and customers cannot have direct personal contact with each other. The customers cannot get as much satisfaction as desired from the goods. As a result, they may be attracted to other retailing institutions to buy necessary goods.
2. unnecessary delay
Unnecessary delay is a major disadvantage of mail order business. As in this method of purchase order takes a comparatively long time to reach the producers' hand and also to give delivery of goods to buyers by mail, mail order business is a delay-making business.
3. Lack of selection of goods
in mail order business, the customers cannot inspect goods; they cannot get the selection facility and buy preferred goods.

Under ________ system the goods can be sent to all the places having postal services.

business organisation and correspondence middlemen 2 - retailer types of retail organisation types of retailing retail trade

  1. mail order houses

  2. chain Stores

  3. departmental store

  4. specialty shops

Show answer
Correct Option: A
Explanation:

Mail-order house is a company that sells or manages mail-order advertising or a mail-order business. 

A company that creates letters to send out to customers encouraging them to buy something via the mail is an example of a mail-order house.

Mail order retailing is also referred to as _______.

business organisation and correspondence middlemen 2 - retailer types of retail organisation types of retailing retail trade

  1. non-store impersonal retailing

  2. shopping by post

  3. selling by post

  4. (A) or (B) or (C)

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Correct Option: D

What are the disadvantages that Consumer Cooperative store faces?

business organisation and correspondence middlemen 2 - retailer types of retail organisation types of retailing retail trade

  1. Lack of patronage.

  2. Lack of business training.

  3. Shortage of funds

  4. All of the above

Show answer
Correct Option: D
Explanation:
Disadvantages are:
  • Lack of Secrecy: A cooperative society has to submit its annual reports and accounts with the Registrar of Cooperative Societies.
  • Lack of Business Acumen: The member of cooperative societies generally lack business acumen. 
  • Lack of Interest.
  • Corruption.
  • Lack of Mutual Interest.

Name the type of goods that are suitable for trading through mail order houses.

business organisation and correspondence middlemen 2 - retailer types of retail organisation types of retailing retail trade

  1. Goods that can be graded and standardized

  2. Goods that can be easily transported at a low cost

  3. Goods that can be described through pictures

  4. All of the above

Show answer
Correct Option: D
Explanation:

Mail order houses are the retail outlets that sell their merchandise through mail. There is generally no direct personal contact between the buyers and the sellers in this type of trading.

Only the goods that can be:
(i) graded and standardised
(ii) easily transported at low cost
(iii) have ready demand in the market
(iv) are available in large quantity throughout the year
(v) involve least possible competition in the market and
(vi) can be described through pictures etc., are suitable for this type of trading.