London Central DECA Teamlcssdecateam.weebly.com/uploads/8/6/5/2/8652601/fmd… · Web view20. B Protect private property. Trademarks, copyrights, and patents protect exclusive rights

2009 DECA Ontario Provincials Competition FMSTest 1002 FOOD MARKETING 1

1. Which of the following are examples of intellectual property that food marketing businesses can protect by registering trademarks:

A. New products and processes C. Distinctive names and symbols B. Original novels and movies D. Creative formulas and ideas

2. Why would a supermarket chain decide to develop its own distribution system?A. Intermediaries are unavailable. C. Profits would decline.B. Service would decrease. D. Expenses are greater.

3. Some large supermarket chains have successfully integrated information sharing between channel members by incorporating __________ between suppliers, warehouse, and store checkout.

A. bar codes and EDI C. outsourcing and EDIB. PLUs and invoices D. bar codes and PLUs

4. A specialty food manufacturer selling its products through a toll-free phone system, a company web site, and several retailers is a legal example of

A. exclusive dealing. C. tying agreements. B. dual distribution. D. restricted sales territories.

5. Which of the following is a marketing activity that a supermarket should coordinate with distribution in order to successfully sell its product:

A. Orientation C. Production B. Promotion D. Competition

6. One branch in a large supermarket chain complaining about the aggressive pricing tactics used by another of the chain's branches in the same community is an example of __________ channel conflict.

A. vertical C. externalB. horizontal D. functional

7. Why is it important for supermarket employees to identify sources that provide relevant, valid written material?

A. To compile a database C. To understand business communication B. To read useful information D. To prepare a routine message

8. The employee didn't listen to the supermarket manager's explanation about how to perform a certain task because s/he had done a similar job before. Which of the following factors caused the employee not to listen effectively:

A. Past experiences C. Age differencesB. Attention span D. Language skills

9. The purpose of active listening is toA. let the speaker know that you agree with the message and plan to act on it. B. let the speaker know that the message has been received and understood. C. give the speaker your opinion. D. help make boring lectures more interesting.

10. A supermarket employee who is unable to answer a customer's question about where to find a specific brand of liquid laundry detergent needs additional training in

A. taking inventory. C. learning stock location. B. replenishing stock. D. arranging displays.

11. What trait is being demonstrated when grocery store employees treat customers with respect and without prejudice?

A. Honesty C. Consideration B. Integrity D. Empathy

Students ‘Demonstrating Excellence Celebrating Achievement’ since 1979

2009 DECA Ontario Provincials Competition FMSTest 1002 FOOD MARKETING 212. What is a guideline for butcher shop employees to follow when handling disagreeable customers?

A. Act offended C. Serve promptlyB. Interrupt often D. Observe closely

13. An efficient way for a supermarket's warehouse employees to move cartons of goods with a forklift would be

A. with a towline. C. one at a time.B. on a conveyor belt. D. as a palletized load.

14. A grocery store has opening stock value of $75,380, stock purchases of $21,925, net sales transactions of $89,150, and periodic stock count of $7,875. What is the store's dollar amount of inventory shrinkage?

A. $265 C. $280B. $270 D. $295

15. What is an advantage to a grocery store of using a perpetual control system that maintains a continuous record of what the store buys and sells?

A. Predicts discrepancies C. Identifies overstocks B. Verifies inventory levels D. Estimates future sales

16. When processing a customer's special order, which of the following supermarket departments attaches adhesive price tags to the product package indicating the product's price by weight:

A. Dairy C. Canned goods B. Delicatessen D. Frozen food

17. Which of the following is not a main function of distribution centers in the food marketing industry:A. Sorting C. Storage B. Delivery D. Consolidation

18. To ensure consumer safety and food quality, government regulations require that food marketers include manufacturing processes and __________ on food labels.

A. prices C. contaminants B. recipes D. ingredients

19. What type of utility is a grocery store trying to create when it develops a buying plan for the advance purchase of holiday items?

A. Place C. FormB. Time D. Possession

20. Trademarks, copyrights, and patents are issued by the government in order toA. provide for the public welfare. C. provide consumer protection.B. protect private property. D. encourage/maintain competition.

21. One of the functions of certain types of taxes is toA. regulate business activity. C. control employee compensation. B. limit business profit. D. decrease employee liability.

22. A snack food manufacturer asks a team of its factory workers to determine if any inefficiencies existed in the company's production methods. The group recommended to management that the company replace its current manufacturing equipment with robots. What processes did the snack food manufacturer use to increase productivity?

A. Specialization, standardization, and division of laborB. Research and development, quality circles, and automationC. Participative decision making, flextime, and motivationD. Mechanization, automation, and division of labor


2009 DECA Ontario Provincials Competition FMSTest 1002 FOOD MARKETING 323. During the peak phase of the business cycle, producers often

A. lay off workers. C. raise their prices. B. earn less profit. D. lower their prices.

24. Rhonda would like to develop her desirable personal traits so she can be more successful at work. What is the first step she needs to take?

A. Exercise her desirable traits. C. Determine which traits are desirable.B. Analyze her undesirable traits. D. Seek a mentor to help her.

25. When Juan has no customers, he will straighten shelves, do housekeeping, and rearrange the grocery store's displays. Juan's behavior is an example of what personal trait?

A. Interpersonal relationships C. Patience B. Initiative D. Body language

26. Mary, a cashier at Krendal's grocery store, often frowns and shakes her finger when she is communicating with customers. Mary should try to develop self-control by controlling her

A. body language. C. patient behavior.B. service attitude. D. listening skills.

27. The type of feedback that usually makes you want to change your behavior isA. negative. C. positive.B. complimentary. D. indifferent.

28. What should you do first before trying to persuade others?A. Understand your audience. C. Explain the benefits. B. Provide good information. D. Motivate others to act.

29. After Sarah reaches an agreement and establishes terms with Greg, she shouldA. identify a fair compromise. C. assess the negotiating session. B. change Greg's negotiating style. D. determine Greg's position and interests.

30. Lisa was interested in becoming a supermarket assistant manager but was told that she was not assertive enough for the job. What could Lisa begin to do in order to become more assertive?

A. Refrain from expressing her thoughts or ideas B. Say "no" to all requests made of her C. Prevent others from taking advantage of her D. Do her work without asking for help from others

31. Which of the following is the first step in the coaching process:A. Agree on goals. C. Identify the problem. B. Get a response. D. Plan for improvement.

32. At Collin's Bakery, two coworkers who belong to different races ignored their racial difference and created a good working relationship. This is an example of

A. accepting people who are different. C. recognizing people's similarities.B. learning from others who are different. D. having a positive attitude.

33. Of the following ownership investments, which allows access to an “expert” manager:A. Stock mutual funds C. Real estate B. Collectibles D. Stocks

34. Grocery store managers use accounting information to help them toA. pay labor union dues. C. calculate excise taxes. B. reduce insurance premiums. D. allocate their funds.


2009 DECA Ontario Provincials Competition FMSTest 1002 FOOD MARKETING 435. When preparing a balance sheet, which of the following would a bakery owner categorize as a fixed

asset:A. Equipment C. Inventory B. Cash D. Payroll

36. A supermarket chain that loses items to theft includes those items in which category of the income statement?

A. Capital goods C. Cost of goods sold/cost of sales B. Long-term liability D. Operating expenses

37. Which of the following factors impact currency exchange rates when food distributors sell goods to businesses that are located in different countries:

A. Interest rates and food value C. Food quality and inflation rates B. Food value and food quality D. Interest rates and inflation rates

38. What amount will a bakery deposit in its bank account at the end of the day based on the following information: $536.40 in cash sales, $128.75 in checks, $276.20 in credit-card sales, and opening change fund of $50?

A. $715.15 C. $891.35B. $665.15 D. $941.35

39. What is one way that a cereal manufacturer might use marketing information?A. To interpret findings C. To calculate statisticsB. To develop new products D. To identify new vendors

40. Which of the following is an example of a grocer obtaining marketing information about consumers in a way that might be considered unethical:

A. Developing a scientific experiment B. Conducting a random survey C. Sending questionnaires to a specific audience D. Offering a free product in exchange for personal data

41. Grocery store chains can retrieve external marketing data by accessingA. accounts receivable summaries. C. web-based information services. B. computer-generated sales reports. D. inventory management records.

42. Grocery stores need a great deal of information in order to make effective decisions and solve specific problems. This information is usually obtained through

A. marketing research. C. observation.B. financial management. D. data analysis.

43. Food marketing businesses often review salespersons' call records and lost-business reports in order to make effective __________ decisions.

A. hiring C. marketing B. financing D. warehousing

44. Which of the following would a food marketer use to collect information about customer attitudes:A. Questionnaires C. SamplesB. Government reports D. Consumer panels

45. One principle on which the marketing concept is based is that a food marketing business should be able to meet its own goals when it

A. achieves maximum production. C. sells products at fair and reasonable prices. B. focuses on the wants/needs of the business. D. uses promotion effectively.


2009 DECA Ontario Provincials Competition FMSTest 1002 FOOD MARKETING 546. The Martin Baby Food Company determines that it wants to build a second plant in another region of the

country. This is an example of a marketingA. goal. C. strategy. B. tactic. D. plan.

47. Which question do supermarket customers ask in behavioral segmentation?A. How will the product benefit me? C. Where can I buy the product?B. How much does the product cost? D. When will the product be available?

48. When a supermarket chain develops a comprehensive marketing plan, it should always include objectives that are

A. inflexible. C. short-term. B. vague. D. action-oriented.

49. Why should a supermarket evaluate its internal environment when changes are occurring in its external environment?

A. To improve distribution C. To revise pricingB. To update advertising D. To remain competitive

50. A cereal manufacturer expects product sales to decrease during the coming year. How does this information affect product production?

A. Production should decrease. C. Production should increase. B. Production should remain the same. D. Production should not be affected.

51. Sara is a supermarket buyer who is sending an e-mail message to her coworker. Which of the following e-mail options provides a brief statement about the content of Sara's message:

A. Send C. To B. Subject D. Reply

52. Many food markets have speeded up the checkout process by installing computers and scanners that read __________ codes.

A. ZIP C. UPCB. GRP D. UPS

53. Certain health and safety regulations require many types of specialty-food businesses toA. routinely inspect equipment. C. offer exercise programs. B. purchase new machinery. D. install security cameras.

54. Many grocery stores train employees to give basic assistance to any ill or injured person until professional help arrives. This assistance is called

A. the Heimlich maneuver. C. 911.B. CPR. D. first aid.

55. A bakery buying certain office products from a specific vendor that delivers at predetermined times and guarantees a set price for one year is an example of using the __________ purchasing method.

A. blank-check C. standing-order B. competitive-bid D. lowest-bidder

56. Amy, an employee at Tasty Snack Foods, helps the company control expenses by which of the following actions:

A. Bringing lunch from home instead of buying it C. Giving customers personalized serviceB. Using suggestion selling D. Coming back from lunch and breaks on time


2009 DECA Ontario Provincials Competition FMSTest 1002 FOOD MARKETING 657. Why should supermarket cashiers count the currency and coins in their cash drawers at the beginning of

their shifts?A. So cashiers can organize their cash drawers to their specifications B. So managers can calculate the previous day's profit marginC. To verify that the fund is equal to the previous day's total sales D. To verify that the opening change fund is accurate

58. Specialty food markets that sell expensive imported items might keep the items in locked compartments to

A. prevent contamination. C. guarantee food safety. B. maintain security. D. control the temperature.

59. For a food-marketing business, obtaining the correct amount of food items at the right time are main objectives of the ___________ process.

A. ordering C. pricing B. selling D. buying

60. Your goal is to become a regional manager for a national supermarket chain within five years after your hiring. This goal would be classified as a __________ goal.

A. short-term, financial C. short-term, socialB. long-term, educational D. long-term, career

61. Which of the following industries exist to protect food-marketing businesses from financial losses:A. Marketing research C. Operations management B. Insurance D. Accounting

62. When completing job applications, the applicants should sign theirA. last names first. C. initials only.B. favorite nicknames. D. proper names.

63. Raul has been promoted to a management position at the Fast and Friendly Supermarket. So he can effectively communicate with the employees that report to him, Raul needs to have excellent _________ skills.

A. mathematical C. creative B. manual D. interpersonal

64. Two common methods for locating a professional organization/association that satisfies the needs of a prospective member are

A. contacting group headquarters or hoping to be sent an invitation. B. questioning other people or contacting group headquarters.C. purchasing a classified advertisement or questioning other people.D. hoping to be sent an invitation or purchasing a classified advertisement.

65. Which of the following supermarket employees are responsible for inspecting merchandise, checking expiration dates, and arranging displays:

A. Management staff C. Stock personnel B. Courtesy clerks D. Grocery cashiers

66. King's Food Mart spends less on advertising than Cameron's Supermarket. Both stores sell the same products, but Cameron's Supermarket charges higher prices than King Food Mart. Which of the following factors has affected the prices of the store:

A. Supply C. ProductB. Promotion D. Place


2009 DECA Ontario Provincials Competition FMSTest 1002 FOOD MARKETING 767. One way that many grocery stores use technology to reduce the costs associated with marking prices on

products is by usingA. automated inventory systems. C. preprinted gummed labels.B. computer-generated tags. D. electronic scanning devices.

68. Which of the following is an illegal pricing practice that attempts to eliminate competition:A. Promotional C. Predatory B. Penetration D. Preferential

69. What type of pricing do supermarkets often use during promotions because their competitors are using that type of pricing to attract customers?

A. Equilibrium C. Market clearing B. Prestige D. Loss leader

70. A snack-food company's president, vice president, treasurer, and all department managers review ideas for new products. If an idea is acceptable to them, it is passed on to others in the business for development. This method is known as product/service planning by

A. acquisition. C. venture teams.B. product-planning committee. D. new-product departments.

71. Advertising efforts for a food item that is in the growth stage of the product life cycle usually focus onA. alternative product uses. C. customer satisfaction. B. product benefits. D. low prices.

72. A primary characteristic of food marketers who can recognize market opportunity is that they areA. trustworthy. C. observant. B. educated. D. detail-oriented.

73. Which of the following is an example of internal resources that food marketers often use to generate product ideas:

A. Customers C. Employees B. Competitors D. Agencies

74. A seller's or manufacturer's promise to stand behind a grocery store display unit is called a productA. testimonial. C. guide.B. application. D. warranty.

75. When a food manufacturer emphasizes a food item's degree of excellence, it is positioning the product by its

A. market. C. quality. B. competition. D. skill.

76. Coca-Cola, Eastman Kodak, and Pillsbury are examples of __________ brands.A. generic C. privateB. national D. unprotected

77. If a grocery store's frozen food department made $8,760 in sales, and the average inventory was $2,320, what is the rate of stock turnover?

A. .75 C. .26 B. 3.78 D. 4.56

78. Superior Supermarket expects monthly sales of $265,500, markdowns equaling 5% of sales, and employee discounts equaling 3% of sales. Calculate the supermarket's planned reductions.

A. $21,240 C. $15,930 B. $18,585 D. $23,895


2009 DECA Ontario Provincials Competition FMSTest 1002 FOOD MARKETING 879. One way that supermarket buyers determine what products to purchase is by

A. analyzing sales forecasting reports for the previous year.B. estimating each supplier's price increases and net sales.C. identifying upcoming seasonal events and holiday traditions.D. evaluating the purchasing habits of convenience stores.

80. What internal marketing factor should a local gourmet market consider when deciding how to promote a new delivery service that will be available only to customers in the downtown area?

A. Price C. LegalB. Place D. Social

81. What type of promotion would the Friendly Food Mart grocery store chain use to inform consumers about the company's commitment to social and environmental issues?

A. Product C. Primary B. Institutional D. Secondary

82. How have technological advancements enhanced a small food marketing business's ability to promote its products?

A. Information can be communicated by more venues, and messages can be customized.B. Small companies now have more money to spend on promotional activities.C. Less time and creativity are required to develop effective promotional campaigns.D. Most companies need fewer channels to coordinate and carry out promotional activities.

83. Which of the following examples is a promotional activity that a government regulates in order to maintain a fair environment among grocery store competitors in the marketplace:

A. Telemarketing sales C. Direct mail B. Bait-and-switch contests D. Comparison advertising

84. A character in a movie eating a certain brand of candy is an example ofA. out-of-home media. C. movie theater advertising. B. product placement. D. broadcast media.

85. When Arm and Hammer advertises that its baking soda gets rid of odors in refrigerators, its ad copy is pointing out the product's

A. producer. C. price.B. uses. D. features.

86. A special event that involves a supermarket holding a contest, demonstrating food preparation techniques, and giving away free samples and gifts is a type of

A. publicity strategy. C. marketing plan.B. advertising campaign. D. sales promotion.

87. A supermarket that stacks wheels of cheese starting with the largest wheel and building up with decreasing sizes to end with the smallest is using the __________ display arrangement.

A. radiation C. progression B. repetition D. presentation

88. When creating displays in grocery stores, which of the following is often an effective technique to use in order to sell more products:

A. Group together many types of foods C. Arrange fruits in a basketB. Organize related items by brand D. Place canned goods on shelves

89. A supermarket chain that includes broadcast media in its promotional mix might coordinate commercial development activities with a(n)

A. production house. C. creative boutique.B. marketing-research firm. D. interactive agency.


2009 DECA Ontario Provincials Competition FMSTest 1002 FOOD MARKETING 990. As a supermarket equipment sales representative, Jason reads the instruction manuals that accompany

the products he sells. This enables him to demonstrate hisA. self-concept. C. ethical standards.B. product knowledge. D. creativity.

91. In selling, the real competition among food-marketing businesses begins withA. customer service. C. setting a price. B. offering products. D. public relations.

92. An employee at a large discount grocery store was abrupt with a customer who was returning an item and disconnected another customer who had called to ask a question about a special sale. What type of attitude was the employee failing to exhibit?

A. Service C. HonestB. Ethical D. Personal

93. Adam's Fruit Market and Johnny's Apples and Seeds are produce suppliers in the same community. Johnny's recently started offering planting classes, and sales have increased by 30%. What external factor should Adam's consider when developing its new selling policies?

A. Actions of competitors C. Financial resourcesB. Corporate objectives D. Production capacity

94. With a high level of selling ethics, you would typically ask which of the following questions in an ethical situation:

A. What is required of me? C. What is the right thing to do? B. What can I get away with? D. What would others advise?

95. An advantage of sales-force automation is that itA. prioritizes each salesperson's responsibilities. B. provides salespeople with quick access to information. C. predicts long-term sales forecasts accurately. D. prevents sales personnel from making order-entry errors.

96. Identifying customers' objections is a purpose of which phase of the selling process?A. Reaching closure C. Gaining confidenceB. Discovering needs D. Prescribing solutions

97. What cut of meat might a supermarket employee recommend to a customer who wants to purchase a very tender piece of beef?

A. Beef brisket C. Side beefB. Prime rib D. Round steak

98. When a health food store is willing to place a special order for a customer, the store benefits byA. making a quick sale. C. creating customer goodwill.B. offering a new product. D. outsmarting the competition.

99. To prevent errors, supermarket bakery department employees taking routine telephone orders from customers often find it necessary to

A. speak loudly. C. return the calls.B. ask questions. D. talk to managers.

100. As a supermarket employee, you are allowed a 20% discount on all purchases. Calculate the discounted selling price for a purchase that sells for $19.95.

A. $19.95 C. $15.96 B. $3.99 D. $23.94


2009 DECA Ontario Provincials Competition FMSTest 1002 FOOD MARKETING

101. C

Distinctive names and symbols. Intellectual property is a type of intangible personal property that many food marketing businesses own. Businesses are able to obtain protection for certain types of intellectual property through a variety of laws. For example, a business can protect its distinctive name and symbol by registering a trademark. A trademark is a symbol, design, or word used by a business to identify a good or service. By registering its trademark, others are prohibited from using or copying it without the business's permission. Original novels and movies are protected by copyrights. New products and processes and creative formulas and ideas may be protected with patents. SOURCE: BL:001SOURCE: Jennings, M.M. (2000). Business: Its legal, ethical and global environment (5th ed.)

[pp. 494-501]. Cincinnati: West Legal Studies in Business, South-Western College Publishing.

2. A

Intermediaries are unavailable. If no appropriate distributor or dealer is available, the supermarket chain may have no other choice than to do its own distribution. Businesses would not develop their own distribution systems if these systems were more expensive to operate, if service to customers would decrease, or if company profits would decline.SOURCE: CM:001SOURCE: Farese, L. S., Kimbrell, G., & Woloszyk, C. A. (2009). Marketing essentials

(pp. 449-452, 454-455). Woodland Hills, CA: Glencoe/McGraw-Hill.

3. ABar codes and EDI. Bar codes are a way of marking food products and other types of merchandise that allows for electronic data interchange (EDI). This is an example of integrated information sharing that has advanced most areas of physical distribution. Merchandise information stored on the magnetic bar code is used for pricing, inventory control, reordering, market research, etc. PLUs or price look-ups are codes assigned to merchandise that typically changes price frequently. The number is entered into the checkout system and the assigned price ID rung. Outsourcing requires an outside business to complete a specified task.SOURCE: CM:004SOURCE: Pride, W.M. & Ferrell, O.C. (2000). Marketing: Concepts and strategies (2000e)

[pp. 355-356]. Boston: Houghton Mifflin.

4. BDual distribution. When a specialty food manufacturer uses more than one channel to reach consumers, it is known as dual distribution. Dual distribution is legal as long as it promotes competition. When a supplier requires an intermediary to purchase other products in its line as well as the initial purchase, it is known as a tying agreement. Exclusive dealing occurs when a manufacturer forbids an intermediary from carrying a competitor's product. Restricted sales territories prohibit intermediaries from selling products outside a designated area.SOURCE: CM:005SOURCE: Pride, W.M., & Ferrell, O.C. (2000). Marketing: Concepts and strategies (pp. 366-367).

Boston: Houghton Mifflin.

5. BPromotion. Promotion is a marketing function that communicates information about goods, services, images, and/or ideas to achieve a desired outcome. In order to successfully sell its product, a supermarket needs to coordinate all the components of marketing, which include distribution, promotion, product, and price. For example, if a supermarket develops an effective distribution system but fails to promote the product, customers will not know about the product or want it although it is readily available. Orientation is job preparation or induction training for new employees. Production is the creation of goods and services from economic resources. Competition is the rivalry between two or more businesses to attract customer dollars.SOURCE: CM:007SOURCE: Kotler, P., & Armstrong, G. (2008). Principles of marketing (12th ed.)

[pp. 10-11, 12-17, 44-45]. Upper Saddle River, NJ: Prentice-Hall.


Test 1002 FOOD MARKETING—KEY 11

6. BHorizontal. Horizontal conflict occurs between stores at the same level in the distribution channel. Two branches of a large supermarket chain operating in the same community are on the same level. If one branch complains about the aggressive pricing tactics used by the other branch, horizontal conflict exists. Vertical conflict occurs between different levels of the same channel, such as between the local branch and the corporate office. External and functional are not types of channel conflict.SOURCE: CM:008SOURCE: Kotler, P., & Armstrong, G. (1999). Principles of marketing (8th ed.) [pp. 357-359]. Upper

Saddle River, NJ: Prentice Hall.

7. BTo read useful information. Supermarket employees often read written material to obtain useful information that they can use to apply to a specific task or problem. For the information to be useful, the sources must provide relevant, valid written material. For example, supermarket employees might read industry publications to identify trends so the supermarket can take steps to remain competitive. Industry information is relevant and valid and useful to supermarkets. It is not important to identify sources that provide relevant, valid written material to compile a database, understand business communication, or prepare a routine message. SOURCE: CO:054SOURCE: Farese, L.S., Kimbrell, G., & Woloszyk, C.A. (2006). Marketing essentials (pp. 612-614). New

York: Glencoe/McGraw-Hill.

8. APast experiences. People often think they know what someone is going to say before they say it and, as a result, do not listen well. People's past experiences may influence how well they listen because they think they already know the answer or understand the explanation. Effective listeners try to block out past experiences and focus on what the speaker is saying. Age differences, attention span, and language skills are other factors that may affect how well people listen.SOURCE: CO:119SOURCE: Miculka, J.H. (1999). Speaking for success (pp. 37-41). Cincinnati: South-Western

Educational.

9. BLet the speaker know that the message has been received and understood. Active listening is primarily about understanding a speaker's meaning, not about communicating your agreement or voicing your own opinion. Active listening can help to make boring lectures more interesting, but that is not its purpose.SOURCE: CO:017SOURCE: QS LAP 1—Listen Up

10. CLearning stock location. Supermarket employees need training in order to know where products are located in the store. Customers expect employees to be able to answer questions and direct them to the location of specific products. Training in replenishing stock, taking inventory, or arranging displays will not help employees to answer questions about the location of products.SOURCE: CO:076SOURCE: Farese, L.S., Kimbrell, G., & Woloszyk, C.A. (2006). Marketing essentials (pp. 280-282). New


11. CConsideration. Grocery store employees should treat others, whether they are customers, coworkers, or supervisors, with consideration. This means being helpful and respectful and not being prejudiced. Business image, work environment, and employees' personal images are all reflected in the manner in which people are addressed. Empathy is the ability to put oneself in another's place. Honesty and integrity refer to a person's truthfulness and ethics.SOURCE: CR:003SOURCE: Kimbrell, G., & Vineyard, B.S. (2006). Succeeding in the world of work (p. 262). New York:

Glencoe/McGraw-Hill.



12. CServe promptly. The disagreeable customer is often surprised and calmed by employees who are composed, courteous, and efficient. When dealing with disagreeable customers, butcher shop employees should serve them promptly in order to eliminate a reason for complaining. Shop employees should observe closely those customers whom they think may be dishonest. Butcher shop employees should avoid interrupting disagreeable customers or acting offended by their unpleasant behavior.SOURCE: CR:009SOURCE: EI LAP 1—Making Mad Glad (Handling Difficult Customers)

13. DAs a palletized load. Several cartons can be stacked on a pallet, lifted, and moved as one unit. The pallet stabilizes the load. Moving one carton at a time would not be efficient. Moving cartons on a conveyor belt or with a towline would not involve the forklift.SOURCE: DS:085SOURCE: Coyle, J.J., Bardi, E.J., & Langley, C.J. (2003). The management of business logistics:

A supply chain perspective (7th ed.) [pp. 308, 310, 313]. Mason, OH: South-Western.

14. C$280. To calculate the grocery store's dollar amount of inventory shrinkage, begin with the dollar figure from the opening stock value and add the purchases made since then ($75,380 + $21,925 = $97,305). This will indicate the total dollar value of inventory that should be on hand. Then, subtract the total sales transactions from this figure ($97,305 - $89,150 = $8,155). This figure is then compared with the periodic stock count, and if the current stock value is lower than the figure from inventory records, inventory shrinkage has occurred ($8,155 - $7,875 = $280).SOURCE: DS:026SOURCE: Berman, B., & Evans, J.R. (2004). Retail management: A strategic approach (9th ed.)

[pp. 383-385]. Upper Saddle River, NJ: Prentice Hall.

15. CIdentifies overstocks. Perpetual inventory control is a method of inventory control that updates inventory information on a continuous basis as transactions occur. An advantage of using this system is that it identifies overstocked items so the grocery store does not order more of the items that are not currently selling. By reviewing the perpetual inventory records, store managers will be able to identify overstocks and make decisions about how to increase sales. It is important for stores to know which items are overstocked, because those items take up shelf space but are not generating a profit for the store. Stores usually conduct a physical count to verify inventory levels. A perpetual control system cannot predict discrepancies or estimate future sales. However, stores use the information provided by a perpetual system to identify sales patterns and trends.SOURCE: DS:091SOURCE: Mill, R.C. (1998). Restaurant management: Customers, operations, and employees (p. 203).

Upper Saddle River, NJ: Prentice Hall.

16. BDelicatessen. In the delicatessen, supermarket customers can order various deli products, such as meat, cheese, and potato salad, by weight. The delicatessen employee weighs the product on an electronic scale that is programmed to calculate the price by using a certain increment (e.g., pound, kilogram). The employee prints an adhesive price tag that indicates the amount the customer owes for the item, based on its weight. Then, the employee adheres the pricing information to the package in which s/he places the food product, such as a sealable plastic bag. When the customer checks out, the supermarket cashier scans the bar code on the sticker, which indicates the product's price. Dairy items, canned goods, and frozen foods are prepackaged goods and are not items that customers usually order by specific increments.SOURCE: DS:120SOURCE: Kenco Label and Tag (n.d.). Store supplies catalog. Retrieved October 28, 2008, from

http://kencolabel.com/supplies.php



17. CStorage. A distribution center is basically a warehouse that receives products and quickly moves them to the intended destination. Many large supermarket chains operate distribution centers in order to move products to individual stores as quickly as possible. Therefore, one of the main functions is not to store products but to sort and deliver them. Distribution centers also consolidate orders and distribute them to individual stores.SOURCE: DS:128SOURCE: Farese, L.S., Kimbrell, G., & Woloszyk, C.A. (2006). Marketing essentials (pp. 474-475). New


18. DIngredients. Governments regulate food distribution practices in order to protect the consumer. Food companies are required to list manufacturing processes and ingredients on food labels so the buyer knows the contents (ingredients) of packaged food goods. Listing manufacturing process and ingredients on food labels helps people with allergies or dietary concerns make informed buying decisions. Consumer safety and food quality are not affected by placing recipes or prices on food labels. All food should be free of contaminants, which may cause serious illness.SOURCE: DS:133SOURCE: Ninemeier, J.D. (2000). Management of food and beverage operations (3rd ed.) [p. 90].

Weimar, TX: Culinary and Hospitality Industry Publications Services.

19. BTime. Time utility is created by having food products available when a grocery store's customers want them. The buying plan will tell what food products need to be ordered and when in order to make them available when needed. Form utility is usefulness created by altering or changing the shape of a good to make it more useful to the consumer. Place utility is usefulness created by making sure that goods or services are available at a place where they are needed or wanted by consumers. Possession utility is the usefulness created when ownership of a product is transferred from seller to user.SOURCE: EC:004SOURCE: EC LAP 13—Use It

20. BProtect private property. Trademarks, copyrights, and patents protect exclusive rights of ownership; the reproduction, publication, and sale of literary or artistic works; and the owner control of original inventions or processes. The Federal Trade Commission administers the laws that apply to fair competition. Consumer protection is provided by such government agencies as the Federal Food and Drug Administration, which regulates food, drug, and cosmetic standards.SOURCE: EC:008SOURCE: EC LAP 16—Regulate and Protect (Government and Business)

21. ARegulate business activity. Governments levy taxes on businesses and individuals. One of the reasons for levying certain types of taxes on businesses is to regulate business activity. For example, governments often tax imports to control the amount of foreign products that enter the country. Governments also tax certain products, such as alcohol and tobacco, to discourage consumers from buying them. These taxes have an impact on the businesses that produce and sell these products. Although business profit is taxed, the function of the tax is not to limit profit. Employee compensation is taxed; however, the goal is not to control the compensation. Taxes do not decrease employee liability.SOURCE: EC:072SOURCE: Everard, K.E., & Burrow, J.L. (2001). Business principles and management (11th ed.)

[p. 178]. Cincinnati: South-Western.



22. BResearch and development, quality circles, and automation. The company paid its own workers to research a work situation. They recommended a solution to management (quality circles), which included the use of automatic equipment (automation). Specialization is the process of making the best use of resources in the production of goods and services. Standardization refers to the use of interchangeable parts in mass production. Division of labor occurs when a large job is divided into units or job tasks. Mechanization is the use of machines to perform certain tasks. Participative decision making was utilized in the quality circle. Flextime is the adjustment of working hours to fit an individual worker's schedule.SOURCE: EC:013SOURCE: EC LAP 18—Make the Most of It (Concept of Productivity)

23. CRaise their prices. During the peak phase of the business cycle, the demand for goods and services begins to exceed the production capacities of producers. When this happens, producers raise their prices to offset the high demand. Producers begin to earn less profit, lay off workers, and lower their prices during the contraction phase of the business cycle.SOURCE: EC:018SOURCE: Farese, L. S., Kimbrell, G., & Woloszyk, C. A. (2009). Marketing essentials (pp. 64-67).

Woodland Hills, CA: Glencoe/McGraw-Hill.

24. CDetermine which traits are desirable. Betty needs to decide which of her traits are desirable in order to know which ones she should develop. Analyzing undesirable traits is a first step in getting rid of those traits. Exercising or putting the desirable traits into action can only be done after determining which traits are desirable. It is not necessary to seek a mentor in order to change personal traits.SOURCE: EI:018SOURCE: EI LAP 9—You've Got Personality (Personal Traits)

25. BInitiative. Initiative is the willingness to act without having to be told to do so. Juan is demonstrating initiative by working without being told. Body language is nonverbal communication. Patience is the ability to endure life's aggravations and difficulties calmly. Interpersonal relationships are the ways in which we get along with others.SOURCE: EI:024SOURCE: EI LAP 2—Hustle! (Taking Initiative at Work)

26. ABody language. Body language is gestures, facial expression, posture, or any other form of communicating without words. People who exhibit self-control make sure that their forms of nonverbal communication do not send a negative message. Customers probably would interpret frowning and finger shaking as negative gestures. Patience is the ability to endure life's aggravations and difficulties calmly. A service attitude is an employee's commitment to the customer's needs as expressed through professional behavior. Employees try to improve their listening skills in order to better assist customers.SOURCE: EI:025SOURCE: EI LAP 14—Control Yourself! (Demonstrating Self-Control)

27. ANegative. Negative feedback is criticism or disapproval. Negative feedback can be unpleasant to receive because it points out your weaknesses. The benefit of negative feedback is that it makes you want to change. Indifferent feedback would have little effect because of the lack of thought behind it. Positive feedback is praise or approval, such as compliments, which tend to reinforce current behavior.SOURCE: EI:003SOURCE: QS LAP 20—Open to Suggestions (Handling Feedback)



28. AUnderstand your audience. Before trying to persuade others, it is important to understand your audience. You need to know whom you are trying to persuade because different people or groups have different needs and concerns. You need to know what they want or care about before trying to persuade them. Once you understand your audience, you will be able to provide good information and explain the benefits of agreeing with you. Motivating others to act is the last step in the persuasion process.SOURCE: EI:012SOURCE: QS LAP 10—Win Them Over

29. CAssess the negotiating session. Once both parties reach an agreement and establish terms, the negotiating session is complete. This is the stage when the negotiator assesses how the session went. When a negotiator reviews or evaluates his/her actions, s/he can make adjustments for the next negotiating session. Negotiators cannot change the other person's negotiating style after the session occurs. For optimal success, negotiators should know the other person's position and interests before the negotiation begins. Negotiators reach a compromise during the negotiation.SOURCE: EI:062SOURCE: EI LAP 8—Make It a Win-Win (Negotiation in Business)

30. CPrevent others from taking advantage of her. Assertive people don't take advantage of others or allow others to take advantage of them. They don't refrain from expressing their thoughts and ideas. They do not say "no" to all requests and do not feel guilty about saying "no" when necessary. They also ask for help when it is needed.SOURCE: EI:008SOURCE: Kimbrell, G., & Vineyard, B.S. (2006). Succeeding in the world of work (pp. 200-201). New


31. CIdentify the problem. Identifying the problem is the first step in the coaching process. You must identify the problem before you can get a response from your coachee, agree on goals, or form a plan for improvement.SOURCE: EI:041SOURCE: QS LAP 7—Bring Out the Best

32. AAccepting people who are different. Accepting differences and then forgetting them is a starting point for creating good relationships. Learning from others who are different means sharing information about different backgrounds in order to broaden one's view of life. Taking a positive attitude means looking for the good rather than the bad. Recognizing people's similarities means focusing on what people have in common rather than on their differences.SOURCE: EI:036SOURCE: HR LAP 24—Treating Others Fairly at Work

33. AStock mutual funds. Stock mutual funds are ownership investments that allow access to an "expert" manager—called a fund manager. Collecting popular items may or may not involve a manager. You can collect on your own, if you want to. The same with purchasing real estate: You are not given access to any expert, in particular. And, stock purchases do not provide an "expert" to help you.SOURCE: FI:077SOURCE: QS LAP 32—Risky Business



34. DAllocate their funds. Grocery store managers use the accounting information that tells them the amount of funds available in order to develop operating budgets. These budgets specify how much money may be spent for such expenses as rent, salaries, insurance, etc. Insurance premiums are the monies paid to cover a contractual agreement in which one party will pay for specified losses incurred by the other party. Excise taxes are determined by government. They apply to certain items, such as gasoline, and are paid by the buyer. Labor union dues are paid by the union members.SOURCE: FI:085SOURCE: FI LAP 5—Show Me the Money (Nature of Accounting)

35. AEquipment. A balance sheet is a financial statement that captures the financial condition of the bakery at that particular moment. The bakery summarizes its financial condition by categorizing financial data into three groups—assets, liabilities, and equity. An asset is anything that the bakery owns or that can be converted into cash. A fixed asset is something that a bakery owns over a long period of time (at least one year) and is not expected to change. The equipment that a bakery uses to operate is an example of a fixed asset. Cash and inventory are examples of current assets, which tend to change or vary several times a year. Payroll is a liability, or debts, that a bakery owes to others.SOURCE: FI:093SOURCE: Farese, L.S., Kimbrell, G., & Woloszyk, C.A. (2006). Marketing essentials (pp. 772-773). New


36. CCost of goods sold/cost of sales. This element of the income statement includes all costs to obtain and/or produce the goods or services that a supermarket chain sells. Some of these costs include shoplifted or stolen items because the supermarket chain purchased those items even though they eventually were not available for sale due to theft. Operating expenses are all the expenses involved in running a supermarket chain and are a separate category on an income statement. Capital goods are manufactured resources used to produce goods and services. Long-term liabilities are debts that will take longer than a year to pay. Capital goods and long-term liabilities are not separate categories on an income statement.SOURCE: FI:094SOURCE: FI LAP 4—Watch Your Bottom Line (Income Statements)

37. DInterest rates and inflation rates. A nation's currency exchange rate is the value of its money at any given time. Changes in a nation's currency exchange rate are affected by the strength of the nation's economy. When the economy is strong, the currency value is high, and when the economy is unstable, the currency value tends to drop. The state of a nation's economy is influenced by many factors, including interest rates and inflation rates. Food marketers who engage in international trade must consider these factors to determine if it is feasible to trade with businesses that are located in foreign countries. Food value and food quality are primary factors that the food buyer considers when selecting a vendor. SOURCE: FI:290SOURCE: Kunken, J. (2005, April 16). Factors influencing a currency pair exchange rate. Retrieved

October 28, 2008, from http://ezinearticles.com/?Factors-Influencing-a-Currency-Pair-Exchange-Rate&id=27086

38. B$665.15. Bakeries usually deposit the money received from customers after the bakery closes for the day. To do this, they fill out a deposit slip and indicate the type of funds received, such as cash or check. Then, they total the two figures to determine the deposit amount ($536.40 in cash + $128.75 in checks = $665.15). Credit-card sales are not deposited in bank accounts at the end of the day because the bakery will receive those funds from the credit-card company at a later date. The opening change fund is not deposited, but usually held over to open the cash register the next day.SOURCE: FI:298SOURCE: American Bankers Association (2005). Today's teller: Developing basic skills (pp. 48-49).

Washington: Author.



39. BTo develop new products. Cereal manufacturers often use marketing information to analyze what customers want and need in order to develop new products. Many manufacturers maintain internal records that indicate the types of products that currently are selling well and to which customers are attracted. Manufacturers can use this information to develop similar products that will appeal to specific markets. In order to use marketing information, cereal manufacturers often need to calculate statistics and interpret findings. Manufacturers do not use marketing information to identify new vendors, although vendors are often a source of marketing information.SOURCE: IM:012SOURCE: Farese, L. S., Kimbrell, G., & Woloszyk, C. A. (2009). Marketing essentials (p. 598).


40. DOffering a free product in exchange for personal data. Certain ways of obtaining marketing information may be considered unethical even though they are legal. An example is offering free products in exchange for personal data. Consumers may be persuaded to provide information that they normally would not provide simply because the offer is so tempting, or they need the product being offered. Furthermore, consumers have no guarantee that the grocer will keep the personal data confidential. In some cases, the grocers try to obtain this information in order to sell it to others. Most grocers follow ethical procedures when obtaining marketing information about consumers. These procedures might include conducting a random survey, sending questionnaires to a specific audience, and developing an experiment.SOURCE: IM:025SOURCE: Boone, L.E., & Kurtz, D.L. (2002). Contemporary marketing (pp. 66-67). Mason, OH: South-

Western.

41. CWeb-based information services. External marketing data is information from outside the grocery store chain. The Internet is a technological tool that allows a chain to retrieve external marketing information quickly. Web-based information services, such as online libraries, provide a wide range of information for marketers. Sales reports, accounts receivable summaries, and inventory records are examples of internal sources of marketing information.SOURCE: IM:183SOURCE: Armstrong, G., & Kotler, P. (2000). Marketing: An introduction (5th ed.) [pp. 114-115]. Upper


42. AMarketing research. Marketing research is the systematic gathering, recording, and analyzing of data about a specific problem. Grocery stores use the information that is obtained through marketing research in decision making and problem-solving. Data analysis is usually a part of the research process that involves interpreting the information that has been collected. Observation is a marketing-research method that gathers data by watching consumers. Financial management is the decision making involved in allocating funds.SOURCE: IM:010SOURCE: Soloman, M. R., Marshall, G. W., & Stuart, E. W. (2008). Marketing: Real people, real

choices (5th ed.) [pp. 113-114]. Upper Saddle River, NJ: Pearson Prentice Hall.

43. CMarketing. Most food marketing businesses use the information provided by salespersons to make effective marketing decisions. This type of sales information often indicates what customers like or don't like about the business and its products. For example, it might indicate why a customer no longer buys from the business, which would enable the business to make changes to its marketing strategy. The more information a business obtains from sales reports, the better able it is to make useful and effective marketing decisions. Businesses do not review salespersons' call records and lost-business reports in order to make effective financing, hiring, and warehousing decisions.SOURCE: IM:184SOURCE: Kotler, P. (2000). Marketing management (10th ed.) [pp. 47, 633-634]. Upper Saddle River,

NJ: Prentice Hall.



44. AQuestionnaires. Food marketers use questionnaires and interviews to gather information about customer attitudes. Marketers use government reports to obtain information about the economy. They use samples to conduct product research and consumer panels to determine the effectiveness of advertising.SOURCE: IM:187SOURCE: Farese, L.S., Kimbrell, G., & Woloszyk, C.A. (2002). Marketing essentials (3rd ed.) [p. 533].


45. CSells products at fair and reasonable prices. The marketing concept is a philosophy of conducting business based on the belief that all business activities should be aimed toward satisfying consumer wants and needs while achieving company goals. When a food marketing business sets reasonable prices, customers want to buy the products, and the company meets its goal of making a profit. Achieving maximum production and using promotion effectively do not guarantee that the business will meet its goals. Focusing on the business's wants/needs is contrary to the marketing concept.SOURCE: MK:001SOURCE: BA LAP 11—Have It Your Way! (Marketing)

46. AGoal. A goal is an objective or want that you plan to fulfill—a desired outcome. A baby food company that wants to build a second plant in another region of the country is an example of a goal. Tactics are specific actions that a business will use to carry out strategies. Strategies are plans of action for achieving goals and objectives. A plan is a management function of deciding what will be done and how it will be accomplished.SOURCE: MP:001SOURCE: IM LAP 7—Pick the Mix (Marketing Strategies)

47. AHow will the product benefit me? In behavioral segmentation, marketers note that customers ask the question, "How will the product benefit me?" Part of behavioral segmentation is looking at the process customers go through as they make a purchase, so that responses to stimuli can be evaluated. The other questions (factual, not customer-oriented) may be involved in the customers' buying process, but they are not as relevant to the cause-and-effect nature of this type of segmentation.SOURCE: MP:003SOURCE: IM LAP 9—Have We Met?

48. DAction-oriented. Objectives are goals or desired results. A specific course of action must be taken to meet the goals or achieve the desired result. Vague is a term that means unclear. A characteristic of a good marketing plan is that it contains specific (comprehensive) information. Because marketing plans can be developed to address short- and long-term objectives, not every marketing plan may consist of short-term objectives. Because environmental factors (e.g., economy) can change, marketing objectives might need to be revised. Therefore, objectives should be flexible rather than inflexible.SOURCE: MP:007SOURCE: Zikmund, W., & d'Amico, M. (2001). Marketing: Creating and keeping customers in an

e-commerce world (7th ed.) [pp. 45, 633]. Mason, OH: South-Western.

49. DTo remain competitive. When a supermarket's external environment changes, it should evaluate its internal environment in order to remain competitive. External changes, such as industry growth or a slowdown in the economy, often make it necessary for a company to change the way it does business. These types of external changes might make it more difficult for a supermarket to compete and remain successful. In response to external changes, a supermarket might update its advertising, revise its pricing, and improve its distribution in order to remain competitive.SOURCE: MP:008SOURCE: Farese, L. S., Kimbrell, G., & Woloszyk, C. A. (2009). Marketing essentials (p. 593).




50. AProduction should decrease. Cereal manufacturers need to forecast the amount of products they can expect to sell in order to plan the most efficient production of those products. In this case, anticipated decreases in sales should be matched by decreased production in order to meet the shift in demand. Increasing production or keeping it at the same level will create too much inventory. The manufacturer might have to reduce its prices in order to sell the inventory.SOURCE: MP:013SOURCE: Burrow, J.L. (2006). Marketing: Instructor's wraparound edition (2nd ed.) [pp. 538-539].

Mason, OH: Thomson/South-Western.

51. BSubject. When a supermarket employee composes an e-mail message, s/he places information in several fields of the message template before it goes to the message receiver. The "subject" field is an area in which the sender describes the topic of the e-mail message. The "subject" field immediately advises the message receiver about the type of information that the message contains. The message sender clicks the "send" button when s/he wants to transmit the e-mail message to the intended receiver. The message sender places the message receiver's e-mail address in the "to" field. When the receiver wants to respond to the e-mail sender's message, s/he clicks on the "reply" button.SOURCE: NF:004SOURCE: Hyden, J.S., Jordan, A.K., Steinauer, M.H., & Jones, M.J. (1999). Communicating for

success (2nd ed.) [pp. 301-302]. Cincinnati: South-Western Educational.

52. CUPC. This stands for Universal Product Code, a symbol containing merchandise information that can be read by an electronic scanner. The scanner transmits the information to the computerized register, which prints a list of the customer's purchases. UPS refers to United Parcel Service. GRP refers to gross rating point, the percentage of people reached by a media vehicle multiplied by the frequency of exposure to the advertisement. ZIP codes are used to route mail by the postal service.SOURCE: NF:057SOURCE: Farese, L.S., Kimbrell, G., & Woloszyk, C.A. (2002). Marketing essentials (3rd ed.) [p. 274].


53. ARoutinely inspect equipment. Some specialty-food businesses operate equipment that may present a safety hazard if the equipment is not operating properly. As a result, certain health and safety regulations require these businesses to routinely inspect equipment to make sure it is safe. In some cases, government inspectors routinely visit the specialty-food business to inspect equipment. If the inspectors find that the equipment is malfunctioning, they have the authority to force the specialty-food business to stop using the equipment until it has been repaired and inspected again. Health and safety regulations do not require specialty-food businesses to purchase new machinery, offer exercise programs, or install security cameras.SOURCE: OP:004SOURCE: Everard, K.E., & Burrow, J.L. (2001). Business principles and management (11th ed.)

[p. 373]. Cincinnati: South-Western.

54. DFirst aid. First aid is very basic assistance that tries to prevent further harm to the sick or injured individual until medical help arrives. Many grocery stores have their own training programs or send their employees to be trained by the Red Cross or a school. CPR is cardiopulmonary resuscitation, the efforts to restore breathing to someone whose heart has stopped. The Heimlich maneuver is a technique for dislodging anything that is stuck in the windpipe. Both of these forms of first aid are meant for special circumstances and would not be used on any ill or injured person. The number 911 is a telephone number that can be called in many areas of the country to obtain emergency assistance of various kinds.SOURCE: OP:009SOURCE: Health World Online. (n.d.). Emergency and first aid. Retrieved October 28, 2008 from

http://www.healthy.net/scr/MainLinks.asp?Id=170



55. CStanding-order. Bakeries often negotiate a long-term price from a specific vendor for various staple items. The vendor guarantees the price and delivers the products at regular intervals, such as every other day or twice a week. This is an example of the standing-order purchasing method because the vendor automatically delivers the predetermined amount at a predetermined time for a guaranteed price; the bakery does not need to call the vendor each time it needs an order of a particular item. The competitive-bid method involves obtaining several prices before placing an order, often with the vendor that offered the lowest bid. The blank-check method involves allowing some vendors to deliver goods without negotiating a price.SOURCE: OP:016SOURCE: Mill, R.C. (2001). Restaurant management: Customers, operations, and employees (2nd ed.)

[pp. 211, 213]. Upper Saddle River, NJ: Prentice Hall.

56. DComing back from lunch and breaks on time. The snack-food company pays Amy and other employees to put in a full day of work. It loses money when employees take extended lunches and breaks. Using suggestion selling and giving customers personalized service contributes to increased sales. Bringing lunch helps Amy control her personal expenses.SOURCE: OP:025SOURCE: MN LAP 56—Employee Role in Expense Control

57. DTo verify that the opening change fund is accurate. It is important that the cash drawer start with the exact amount that is established by store procedures. There are many reasons why cash drawers have discrepancies. Counting errors, theft, or paper currency that sticks together are just a few reasons why discrepancies occur. Supermarket cashiers should immediately notify the manager if the amount in the opening fund is incorrect, so steps can be taken to solve the problem when it occurs. A shortage, even a seemingly small one, can cause drawer balancing and accounting problems. All cash drawers are counted at the end of the shift to verify and account for funds received for each sales transaction. The sales total less the opening change fund is generally deposited in the bank. Therefore, the opening drawer fund does not usually equal the previous day's total sales, nor is it used to calculate profit margins. Supermarkets often have policies as to how cash drawers are organized.SOURCE: OP:195SOURCE: Stull, W.A. (1999). Marketing and essential math skills: Teacher's edition (pp. 129-131).

Cincinnati: South-Western Educational.

58. BMaintain security. Specialty food markets often sell expensive imported items, such as caviar and truffles, that sell for hundreds of dollars. To maintain the security of those items and avoid theft, markets might keep the items in locked compartments. When customers want to purchase the items, an employee unlocks the compartment and removes the selected product. Keeping expensive imported items in locked compartments does not prevent contamination, guarantee food safety, or control the temperature.SOURCE: OP:073SOURCE: Ninemeier, J.D. (2000). Management of food and beverage operations (3rd ed.)

[pp. 172-173]. Weimar, TX: Culinary and Hospitality Industry Publications Services.

59. DBuying. The buying process involves purchasing the correct amount of the right quality of food items at the right time from the right vendor and for the best price. Having the right amount of goods on hand when they are needed is extremely important to food-marketing businesses because without those goods, food-marketing businesses would not be able to operate. The selling process involves determining client needs and wants and responding through planned, personalized communication that influences purchase decisions and enhances future business opportunities. The pricing process involves determining and adjusting prices to maximize return and meet customers' perceptions of value. The ordering process is the actual placing of an order to purchase a good or service.SOURCE: OP:117SOURCE: Longenecker, J.G., Moore, C.W., & Petty, J.W. (2000). Small business management: An

entrepreneurial emphasis (11th ed.) [pp. 444-445]. Cincinnati: South-Western College.



60. DLong-term, career. The goal is long term because it will take more than a year to accomplish, and it is a career goal because it involves a job. Educational goals involve learning activities, financial goals involve money, and social goals involve entertainment and interpersonal relationships.SOURCE: PD:018SOURCE: PD LAP 16—Go for the Goal (Goal Setting)

61. BInsurance. The insurance industry, which exists to protect food-marketing businesses from financial losses, delivers "products" that transfer risk from a food-marketing business to an insurance company. Marketing research jobs focus on marketing activities that involve determining information needs, such as designing data-collection processes, collecting data, analyzing data, presenting data, and using data for marketing planning. Employees working in operations management focus on planning, organizing, coordinating, and controlling the resources needed to produce/provide a food-marketing business's goods and/or services. Accounting encompasses careers that record, classify, summarize, analyze, and communicate a food-marketing business's financial information and business transactions for use in management decision making.SOURCE: PD:025SOURCE: PD LAP 15—Go For It! (Careers in Business)

62. DProper names. Job applicants should always sign their proper names on the application form so that their names will be correct in the business's records if they are hired. The correct format is to sign the name in the order that it reads, which is first name, middle initial, and last name. Applicants should not sign their last names first. It is not correct to sign a nickname, even if the applicant prefers to be called by that name, or to use initials only.SOURCE: PD:027SOURCE: Bailey, L.J. (2003). Working: Career success for the 21st century (3rd ed.) [p. 47]. Mason,

OH: South-Western.

63. DInterpersonal. A skill is the ability to perform a task that is developed through knowledge, training, and practice. Interpersonal skills are the abilities to communicate with others. As a manager, Raul must be able to communicate with different people with unique needs and personalities, so interpersonal skills are an important part of his job. Manual skills are tasks that a person does with his/her hands, such as typing or carpentry. Creative skills deal with the ability to generate unique ideas or products. People with mathematical skills can effectively manipulate and work with numerical data.SOURCE: PD:035SOURCE: Kimbrell, G., & Vineyard, B.S. (2006). Succeeding in the world of work (pp. 266-267).


64. BQuestioning other people or contacting group headquarters. Asking other people in their profession, industry, or geographic area and contacting organization/association headquarters found in telephone directories or library listings are methods that may help prospective members find an organization/association which meets their needs. Purchasing an advertisement is costly and unnecessary. Waiting to be sent an invitation is time consuming and usually impractical.SOURCE: PD:036SOURCE: Farese, L. S., Kimbrell, G., & Woloszyk, C. A. (2009). Marketing essentials (pp. 789-790).




65. CStock personnel. Stock personnel are important to supermarkets because they handle the delivery of goods and make sure the store is ready for customers. There are a variety of jobs available in the stockroom that includes responsibility for unloading trucks, inspecting goods, and tracking inventory. Stock personnel also check expiration dates on goods to make sure they are fresh, stock shelves, and arrange displays. There is a continuous demand for reliable stock personnel in the food marketing industry. Courtesy clerks, management staff, and grocery cashiers do not inspect merchandise, check expiration dates, or arrange displays.SOURCE: PD:039SOURCE: Ferguson Publishing (2001). Careers in focus: Food. (pp. 178-179). New York: Ferguson

Publishing Co.

66. BPromotion. Cameron's Supermarket is spending more on its advertising and is passing the costs on to the customer through higher prices. Place involves getting products in the right place at the right time. Product decisions involve deciding what goods, services, or ideas to produce or to sell in order to satisfy customers' needs and wants. Supply is the quantity of a good or service that sellers are able and willing to offer for sale at a specified price in a given time period.SOURCE: PI:001SOURCE: PI LAP 2—The Price is Right (Pricing)

67. BComputer-generated tags. Many grocery stores buy computer systems that allow them to generate their own price tags. These systems enable stores to print price tags that are unique to them and contain the information that they need. The computerized systems help stores reduce the costs associated with marking prices because they are quick and efficient. Also, stores are able to easily change prices at various times because the computerized systems are in-house. Automated inventory systems and electronic scanning devices are not used to mark prices on products. The use of preprinted gummed labels is a manual way of marking prices that is not associated with technology.SOURCE: PI:016SOURCE: Berman, B., & Evans, J.R. (1998). Retail management: A strategic approach (7th ed.)


68. CPredatory. Predatory pricing is a strategy in which businesses price products to sell below cost for the purpose of driving their competitors out of business. In some countries, such as the United States, predatory pricing is illegal. Penetration pricing is a strategy in which a business sets the initial price of a product very low in order to attract a lot of buyers quickly. Promotional pricing is pricing products at low levels and advertising them heavily. As long as promotional prices are not set for the purpose of driving competitors out of business, it is not illegal. Preferential is not a widely used term to describe a pricing strategy. SOURCE: PI:017SOURCE: Kotler, P., & Armstrong, G. (1999). Principles of marketing (8th ed.) [p. 344]. Upper Saddle

River, NJ: Prentice Hall.

69. DLoss leader. Loss leader pricing involves selling products below cost. Because the food marketing industry is so competitive, supermarkets often use loss leader pricing as a promotional technique to attract customers. This often occurs because competitors are using loss leader pricing and supermarkets feel they must do the same to generate business. The use of loss leader pricing impacts promotional activities because supermarkets may actually lose money selling a large number of items below cost. Prestige pricing is deliberately putting an artificially high price on a good or service to suggest high quality and status. Marketing-clearing price is the equilibrium price which is the point at which the quantity of a good that buyers want to buy is equal to the quantity that sellers are willing to sell at a certain price.SOURCE: PI:059SOURCE: Etzel, M.J., Walker, B.J., & Stanton, W.J. (2007). Marketing (14th ed.) [p. 360]. Boston:

McGraw-Hill/Irwin.



70. BProduct-planning committee. A product-planning committee is composed of snack-food company executives and department heads who review ideas for new products. Acceptable ideas are then passed on to others in the firm for development. New-product departments are permanent departments that deal only with product planning and development. Venture teams are small, separate groups formed within the company to seek new ventures, or opportunities. Acquisition is when a firm acquires new products by taking over a company that is already making a product in which it is interested.SOURCE: PM:001SOURCE: PM LAP 17—Rapping Up Products (Product/Service Management)

71. CCustomer satisfaction. During the growth stage of a product's life cycle, sales for the food product rise rapidly. By this stage, consumers are aware of the product, its features, and its benefits. Because some consumers have tried or know about the product, the business tends to focus advertising efforts on customer satisfaction, so it can maintain consumer interest and keep the sales momentum going. Advertising tends to focus on product benefits during the introduction stage of the product life cycle. Advertising for products that are in the decline stage may emphasize alternative uses or lower prices, if applicable.SOURCE: PM:024SOURCE: Farese, L.S., Kimbrell, G., & Woloszyk, C.A. (2006). Marketing essentials (pp. 644-645). New


72. CObservant. Market opportunity exists when an economic want exists, and there is an idea for a good or service to fulfill that want for which people are willing and able to pay. To identify a market opportunity, a food marketer often identifies a want by watching people and noticing existing problems. Therefore, one characteristic of a food marketer who effectively identifies market opportunity is that the person is observant. A person does not necessarily need to be educated, trustworthy, or detail-oriented to identify a market opportunity.SOURCE: PM:127SOURCE: PM LAP 11—Unleash Your Oh! Zone

73. CEmployees. A food marketer uses many resources to generate ideas for new products. Employees are internal resources for product ideas. Competitors, customers, and agencies are external resources.SOURCE: PM:128SOURCE: Longenecker, J.G., Moore, C.W., & Petty, J.W. (2003). Small business management:

An entrepreneurial emphasis (12th ed.) [p. 379]. Cincinnati: Thomson/South-Western.

74. DWarranty. A warranty is a promise made by the seller to the consumer that the seller will repair or replace a product, such as a grocery store display unit, that does not perform as expected. A guide may be any aid developed to help consumers in making wise purchases. A testimonial is a statement by an identified user of a product proclaiming the benefits received from the use of the product. Product application refers to the way in which a product is used.SOURCE: PM:020SOURCE: Farese, L. S., Kimbrell, G., & Woloszyk, C. A. (2009). Marketing essentials (pp. 674-677).


75. CQuality. Quality is a product's degree of excellence. Ingredients, grade, and brand are often associated with a food product's high degree of excellence. Price is also a factor that people associate with quality. Competition, market, and skill do not always indicate a food product's degree of excellence.SOURCE: PM:042SOURCE: Etzel, M.J., Walker, B.J., & Stanton, W.J. (2007). Marketing (14th ed.) [pp. 235-236]. Boston:

McGraw-Hill/Irwin.



76. BNational. National brands are those for which the manufacturer assumes all the responsibility of branding. They are also called manufacturers' brands. Private brands are owned by middlemen. Generics are unbranded items that are plainly packaged, have standard or lower quality, are sold at lower prices than branded products, and receive little or no promotion. All of the brands listed are protected by trademark laws.SOURCE: PM:021SOURCE: PM LAP 6—It's a Brand, Brand, Brand World! (Nature of Product Branding)

77. B3.78. The rate of stock turnover can be determined by dividing the total sales of merchandise for the period by the average value of the merchandise on hand ($8,760 ÷ $2,320 = 3.78).SOURCE: PM:062SOURCE: Stull, W.A. (1999). Marketing and essential math skills: Teacher's edition (pp. 183-184).

South-Western Educational Publishing.

78. A$21,240. Planned reductions is the difference between the original price of goods and the final price. Reductions occur because of markdowns, discounts, and shortages. For example, if a supermarket marks down the price of an item, the supermarket is accepting less for that item than originally planned. Giving employees discounts also reduces the final price. To calculate planned reductions, the supermarket first estimates the amount of sales. Then, the supermarket estimates the total percent of reductions (5% + 3% = 8%) and multiplies that percentage by the sales estimate to calculate planned reductions ($265,500 x 8% or .08 = $21,240).SOURCE: PM:063SOURCE: Berman, B., & Evans, J.R. (2004). Retail management: A strategic approach (9th ed.)


79. CIdentifying upcoming seasonal events and holiday traditions. For example, supermarket buyers in the U.S. tend to purchase higher quantities of turkey, canned pumpkin, and cranberries in the late fall (October, November) to accommodate those individuals who celebrate Thanksgiving. Other factors, such as vendor discounts, shipping terms, and return policies, are also considered when deciding what merchandise to stock. Sales forecasting reports are summaries indicating expected or future sales within a given time period. These reports do not necessarily influence purchasing decisions. However, past product sales reports, which are summaries of actual sales, might be used as one factor in determining purchasing needs. Because convenience stores do not always stock the same products or serve the same market, supermarkets probably would not evaluate or monitor their purchasing habits. Although supermarkets can try to estimate supplier increases and use it to determine what to purchase, estimating is not always accurate. In addition, supermarkets would probably not estimate each supplier's net sales.SOURCE: PM:260SOURCE: Berman, B., & Evans, J.R. (2004). Retail management: A strategic approach (9th ed.)

[p. 356]. Upper Saddle River, NJ: Prentice Hall.

80. BPlace. Place is the internal marketing factor that involves promoting a product only where and when it is available. A local gourmet market that will be offering a new delivery service in only one area should consider targeting customers in that section of town. It would be useless for the market to promote the service in a place where customers are unable to use it. Price is a marketing element requiring marketers to determine the amount of money they will ask in exchange for their products. Legal and social are external factors that a business should consider when deciding which promotional tools to use.SOURCE: PR:001SOURCE: PR LAP 2—Promotion



81. BInstitutional. Institutional promotion aims to create a certain image in the eyes of consumers. Institutional promotion does not attempt to sell a good or service, but tries to inform customers about the company, its ideas, its philosophy, and its position on important issues. Institutional promotion often is used to make consumers aware of a company's interest in social or environmental issues. Product promotion aims to persuade consumers to buy a good or service. Primary product promotion is intended to stimulate demand for an entire class of goods or services. Secondary product promotion is intended to stimulate demand for a particular brand of a product.SOURCE: PR:002SOURCE: PR LAP 4—Know Your Options (Types of Promotion)

82. AInformation can be communicated by more venues, and messages can be customized. Since there are more people who are using personal computers, new computer software programs are being developed to help food marketing businesses of all sizes to personalize promotional messages. Personalized messages can be developed for specific target market members and can be communicated through traditional direct mail or Internet (e.g., electronic mail, web sites) channels. Although technological advancements often help companies become more productive and cost-efficient, it does not necessarily mean that the businesses have additional funds to spend on promotional activities. Although computer advancements have helped accelerate the time to develop promotional campaigns, it does not necessarily affect creativity. The number of channels needed to carry out promotional plans is highly dependent on the type of promotional activity.SOURCE: PR:100SOURCE: Kotler, P., & Armstrong, G. (1999). Principles of marketing (8th ed.) [p. 438]. Upper Saddle

River, NJ: Prentice Hall.

83. DComparison advertising. A comparison advertisement is a promotional message in which the advertiser pays for a message that compares its product to another grocery store's similar product. The advertiser's intent is to focus on the positive attributes of its product while pointing out negative aspects of its competitor's product. Sometimes, advertisers make false or deceptive statements about the competitors' products, which can negatively impact the competitors' businesses. To help maintain a fair competitive environment, governments often regulate the way businesses can use comparisons in their advertising efforts. Bait-and-switch refers to an advertising tactic that businesses use that includes promoting a low-priced item to attract customers and then trying to sell a higher priced item to them. However, bait-and-switch contests do not exist. Direct mail and telemarketing sales are not specific promotional activities that governments regulate for the primary purpose of maintaining a fair, competitive environment for businesses.SOURCE: PR:101SOURCE: O'Guinn, T.C., Allen, C.T., & Semenik, R.J. (2003). Advertising and integrated brand

promotion (3rd ed.) [p. 131]. Mason, OH: South-Western.

84. BProduct placement. Characters in a movie eating a certain brand of candy, drinking a certain brand of soft drink, or flying on a certain airline are examples of product placement. The product manufacturers have paid millions of dollars in fees for the right to use their brand as a movie prop. They hope that viewers will become just as loyal to their product as the characters in the movie. This is not an example of out-of-home media, which include billboards and transit ads. This is not an example of movie theater advertising, which includes an ad before the movie begins. Broadcast media are television and radio.SOURCE: PR:007SOURCE: PR LAP 3—Ad-quipping Your Business



85. BUses. Copy that tells readers different ways they can use the product is focusing on the product's uses. If an advertiser gives factual information about the product, the copy is focusing on the product's features. The producer of the product is found in the identification element. Price was not mentioned.SOURCE: PR:014SOURCE: Farese, L. S., Kimbrell, G., & Woloszyk, C. A. (2009). Marketing essentials (pp. 425-426).


86. DSales promotion. A sales promotion involves promotional activities other than advertising, personal selling, and publicity that stimulate customer purchases. A special event is a type of sales promotion intended to attract customers. For example, the goal of holding a contest, demonstrating food preparation techniques, and giving away free samples and gifts during a special event, is to generate traffic and draw customers into the supermarket in an effort to increase sales. An advertising campaign is a series of advertisements planned around a central theme. A marketing plan is a set of procedures or strategies for attracting the target customer to the supermarket. A publicity strategy is a plan of action a supermarket follows to reach its publicity goals.SOURCE: PR:068SOURCE: Berman, B., & Evans, J.R. (2004). Retail management: A strategic approach (9th ed.)


87. CProgression. The progression display arrangement involves the use of graduated sizes or shapes to create interest and attract attention. An example is a display of wheels of cheese that starts with the largest wheel on the bottom. Then, progressively smaller wheels are placed on the stack with the smallest wheel being on top. The repetition arrangement repeats the same size or shape. The radiation arrangement moves out from a central point. Presentation is not a type of display arrangement.SOURCE: PR:026SOURCE: Diamond, J., & Diamond, E. (1999). Contemporary visual merchandising (p. 117). Upper


88. BOrganize related items by brand. Creating related-item displays that feature one brand is an effective way to attract customers' attention and sell more products. It reminds customers of additional products and encourages them to buy items that are featured together. For example, a display of a specific brand of canned fruits, vegetables, and juices promotes the sale of the related items that customers might not otherwise think to buy because the items usually are not displayed together. Grouping together many types of foods might confuse customers and discourage them from buying. Arranging fruits in a basket or placing canned goods on shelves does not promote the sale of additional products.SOURCE: PR:047SOURCE: Wemischner, R., & Karp, K. (1998). Gourmet to go: A guide to opening and operating a

specialty food store (pp. 242-244). New York: John Wiley & Sons.

89. AProduction house. Most supermarket chains do not have the in-house capabilities to develop professional television commercials. Supermarket chains often look to advertising agencies for creative ideas and to production houses for commercial production. It often takes many people to film a commercial, including filming crews, directors, and actors. A marketing-research firm might be used to find or compile information that a supermarket chain requests. A creative boutique is a firm that specializes in graphic design. An interactive agency is a business that provides services for web-based promotional activities.SOURCE: PR:076SOURCE: Arens, W.F. (1999). Contemporary advertising (7th ed.) [pp. 97, 111, 176-179]. Boston:

Irwin/McGraw-Hill.



90. BProduct knowledge. Salespeople can learn a great deal of specific product information about the items they sell by taking the time to read the manuals. Creativity is the ability to generate unique ideas. Ethical standards are unwritten rules of good conduct. Self-concept is the image you have of yourself.SOURCE: SE:017SOURCE: SE LAP 117—Sell Away (The Nature and Scope of Selling)

91. ACustomer service. In selling, customer service is where the real competition among food-marketing businesses begins. Over time, the quality of certain products can be easily matched among competitors. Therefore, customer service becomes key. A salesperson must be able to show that his/her company meets or exceeds customer-service expectations to take business away from the company's competitors. The real competition among food-marketing businesses does not begin with offering products or setting a price. Public relations is a function of business designed to establish good relations between the business and the public.SOURCE: SE:076SOURCE: SE LAP 130—Go Beyond the Sale

92. AService. A service attitude is a grocery store employee's commitment to the client's needs as expressed through his/her professional behavior. This attitude is frequently revealed by the way an employee treats customers. Employees who are polite, handle difficult situations tactfully, and show an interest in the customer are exhibiting a service attitude. Employees who do not exhibit this type of behavior may offend customers and cause them to take their business elsewhere. Personal attitude is the way a person looks at life. Honest is truthful. Ethical is moral.SOURCE: SE:828SOURCE: SE LAP 115—Keep Them Loyal

93. AActions of competitors. Johnny's Apples and Seeds is offering a special service to customers. Adam's Fruit Market should consider the actions of its competitors when developing its new selling policies in order to stay competitive. Corporate objectives, financial resources, and production capacity are internal factors that affect selling policies.SOURCE: SE:932SOURCE: Levy, M., & Weitz, B. A. (2007). Retailing management (6th ed.) [pp. 251-252]. Boston:

McGraw-Hill/Irwin.

94. CWhat is the right thing to do? With a high level of selling ethics, you would typically ask, "What is the right thing to do?" You would not consider what you could get away with, and you would not do only what is required. Although you might consider someone else's advice, the right thing to do may be different from that advice.SOURCE: SE:106SOURCE: SE LAP 129—Keep It Real—In Sales (Selling Ethics)

95. BProvides salespeople with quick access to information. Sales-force automation refers to the technology that a firm uses to maximize its sales department's efficiency. For example, a computer can provide salespeople with quick access to a customer's purchasing history or inventory-status information. Sales-force automation does not necessarily prioritize each salesperson's responsibilities, predict long-term sales forecasts accurately, or prevent order-entry errors.SOURCE: SE:107SOURCE: Boone, L.E., & Kurtz, D.L. (2004). Contemporary marketing (11th ed.) [p. 577]. Mason, OH:

Thomson/South-Western.



96. AReaching closure. Reaching closure is the fourth phase of the selling process which actually has two purposes: identifying any remaining resistance, or objections, the customer may have and getting the order. Salespeople should anticipate objections and learn to use them to their advantage in a sales presentation. Once customers' objections have been satisfactorily addressed, it is time for salespeople to close the sale. Discovering needs, prescribing solutions, and gaining confidence are other phases of the selling process.SOURCE: SE:048SOURCE: SE LAP 126—The Selling Process

97. BPrime rib. Prime rib is generally considered one of the most tender cuts of beef. Although it depends on the way it is prepared and cooked, it is generally more tender than brisket or round steak. Beef does not have a cut of meat referred to as side beef. Pork has a cut of meat called a side.SOURCE: SE:141SOURCE: Kirkham, M., Weiss, P., & Crawford, B. (2000). The waiting game: The ultimate guide to

waiting tables (pp. 76-79). Austin, TX: Twenty Per Cent.

98. CCreating customer goodwill. Most customers have a good feeling toward a health food store that is willing to give special service. The long-term benefit of this goodwill is that the customer may become loyal to the health food store and may give it positive word-of-mouth promotion. The sale may not be completed quickly since special orders sometimes take longer than regular orders. The health food store will not be offering a new product unless it decides to add the item that the customer requested to its product mix. This is not a case of outsmarting the competition but of gaining a customer who might have turned to the competition for assistance.SOURCE: SE:009SOURCE: Bond, R. (2001). Retail in detail: How to start and manage a small retail business (2nd ed.)

[pp. 87-88]. Central Point, OR: Oasis Press.

99. BAsk questions. Customers ordering by telephone may have several choices concerning the bakery items they are ordering. Supermarket bakery department employees taking telephone orders often need to ask customers questions about their orders to make sure they are giving the customers exactly what they want. Employees may need to ask questions about sizes of cakes, decoration colors, quantity of cookies, etc., in order to avoid making mistakes. Employees taking telephone orders usually do not need to speak loudly, return the calls, or talk to managers unless there is a specific problem with an order.SOURCE: SE:835SOURCE: Miculka, J.H. (1999). Speaking for success (pp. 108-109). South-Western Educational

Publishing.

100. C$15.96. Many supermarkets offer a discount to employees on their purchases. This enables employees to purchase products at a cost less than that available to other customers. To calculate the discount, convert the percent to a decimal, multiply the discount rate by the selling price of the item, and subtract the discount amount from the selling price. In this problem, the selling price was $19.95, and the discount rate was 20%; therefore, $19.95 x .20 = $3.99 (amount of discount). Subtract the discount from the original price to determine the discounted selling price ($19.95 - $3.99 = $15.96).SOURCE: SE:116SOURCE: Stull, W.A. (1999). Marketing and essential math skills: Teacher's edition (p. 147). Cincinnati:

South-Western Educational.


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