Retailing - Strand 2 - Buying and Merchandising - 1 of 2

What is the role of a retail buyer?

• To manage the hiring and training of employees across departments.

• To evaluate sales performance through analyzing store KPIs regularly.

• To plan and purchase goods that meet customer demands and store needs.

• To optimize in-store product placement and visual merchandising design.

What is inventory control in retail?

• A strategy for ensuring enough stock to meet customer needs without overstocking.

• A pricing model used to minimize costs for retail operations and sales campaigns.

• A set of rules for employees to follow during inventory counts and stock audits.

• A software tool used to create store layouts based on stock levels and demand.

What does forecasting help retailers determine?

• Expected sales trends and product demand in upcoming periods.

• The average time customers spend browsing different product categories.

• The long-term profit margins for products based on manufacturing costs.

• The effectiveness of promotions for increasing foot traffic and conversions.

What does stock turnover measure?

• The frequency with which inventory is sold and replenished.

• The number of products returned to the store for exchanges or refunds.

• The percentage of inventory sold at a discount during promotional events.

• The amount of time inventory remains in storage before becoming obsolete.

What is the lead time in retail operations?

• The time between identifying low stock levels and placing a replenishment order.

• The time from placing an order with a supplier to receiving the inventory.

• The average time it takes customers to check out during peak hours.

• The time it takes employees to restock shelves after a shipment arrives.

What is perishability in the context of inventory?

• The ability of certain goods to remain sellable over an extended period.

• The duration products can be stored before expiring or becoming unusable.

• The likelihood of products being damaged during shipping and handling.

• The average time between stock deliveries for non-perishable goods.

What is supply chain management?

• Coordinating the delivery of goods to retailers efficiently and cost-effectively.

• Tracking inventory losses due to theft, damage, or stock mismanagement.

• Analyzing sales data to identify trends and predict future product demand.

• Managing employee workflows related to receiving and restocking inventory.

What is the purpose of a merchandise plan?

• To ensure goods are available at the right time, place, and price.

• To train employees on effective customer engagement and selling techniques.

• To monitor sales trends and recommend new products for store offerings.

• To create a visual representation of the layout for in-store displays.

What is markup in retail pricing?

• The percentage added to the cost price of goods to generate profit.

• The amount subtracted from the selling price to encourage bulk purchases.

• The total cost of manufacturing and distributing products for sale.

• The calculated difference between wholesale costs and retail revenue.

What does markdown mean in retail?

• A price reduction on goods to clear inventory or encourage sales.

• An increase in pricing to reflect higher production and distribution costs.

• A temporary promotional event to introduce new products to customers.

• A strategy to upsell complementary items during customer transactions.