ANALYSING RETAIL COMPETITION

What is the main focus during the "growth" phase of the retail life cycle?

• Expanding product offerings and locations

• Reducing prices

• Improving store design

• Closing stores

In the Retail Accordion theory, what happens during the "narrow" phase?

• The retailer offers a broader range of products

• The retailer focuses on fewer products with a deeper assortment

• The retailer closes down stores

• The retailer reduces costs

Which of the following is a feature of the "maturity" phase in the retail life cycle?

• Rapid growth in sales and market share

• Decline in product offerings

• A market is filled with so many similar products or services that there are few new customers to acquire, and increased competition.

• Introduction of new products

In the "decline" stage of the retail life cycle, which of the following is likely to occur?

• Increased profits

• Reduced sales and market share

• Expansion of stores

• Introduction of new product lines

Which of the following is NOT a characteristic of the "entry" phase in the retail life cycle?

• Low prices

• Establishing brand recognition

• High market share

• Limited product offerings

Which of the following is a key characteristic of the "growth" phase?

• High level of market saturation

• Business model refinement

• Aggressive expansion and increased customer base

• Loss of brand recognition

The Wheel of Retailing suggests that retailers start with low prices and gradually raise them as they mature.

• True

• False

The decline phase in the retail life cycle typically involves a strong customer base and increasing market share.

• True

• False

During the maturity phase, retailers need to find ways to maintain their customer base and may introduce new services or product lines to differentiate from competitors.

• True

• False

In the "entry" stage of a retailer's life cycle, the business focuses primarily on innovation and product diversification.

• True

• False