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WorksheetsBusiness of Retail - Chapter 1C-Types of retailers
Total questions: 28
Worksheet time: 15mins
IKEA
Independent Retailer
Corporation
Private company
Franchise
Franchise - 2 Answers
Pays royalties to a parent company in exchange from brand recognition and support
Johny's Pizza
Sara'N Tara's Bakey
Offers small scale operations with owner involvement in daily decisions
Two Answers
Independent Retailers
Corporations
Direct Competitors
Indirect Competitors
Franchise
What type of competitors are these franchises
Direct Competitors
Indirect competitors
Replacement Competitors
Non Competitors
A retail student argues that Publix Super Markets is a public corporation because it is large and has multiple locations. What is the BEST evaluation?
Correct, all large companies are public
Incorrect, size does not determine ownership type
Correct, because it has many employees
Incorrect, because it is a franchise
Why is it important for a business to correctly identify competitor types?
To develop effective strategies based on market position
To avoid all competition
To copy competitors exactly
To eliminate advertising
A business owner pays to operate under Subway’s brand and system. What type of ownership is this?
Sole proprietorship
Private corporation
Public corporation
Franchise
A local boutique clothing shop is best classified as which type of business?
Public corporation
Franchise
Private company
Independent Retailer
A company is described as “owned by shareholders and traded on the stock market.” Which business BEST fits this description?
Publix Super Markets
Walmart
Local bookstore - "Thrift Peanuts"
Nothing Bundt Cakes
Trader Joe's
A student places IKEA under “local business.” What is the BEST evaluation?
Correct, because it sells furniture
Incorrect, because it operates globally
Correct, because it has physical stores
Incorrect, because it is a franchise
Which example BEST demonstrates a sole proprietorship or independent retailer?
A bookstore run by a single owner
Pizza hut
Target
H&M
A student says Pizza Hut is a public corporation only. Why is this analysis incomplete?
It can also operate as a franchise
It only sells food
It has multiple locations
It does not sell profit shares
Which pair BEST represents direct competition?
Nike vs Adidas
Gym membership vs car wash
Tinsel Town vs Netflix
Kays jewelry vs. Lowes
Which pair BEST represents indirect competition?
T.J. Max vs Dillards
JCPenny Vs. Burlington
Tractor Supply vs. Walmart
Home Depot vs Nike
Which pair BEST represents direct competition? 2 Answers
H&M vs Zara
Netflix vs YouTube
Dillard’s vs Macy’s
AMC Theatres vs BestBuy
A business is privately owned by a family but has multiple locations. How should it be classified?
Public corporation
Franchise
Private company
Sole proprietorship
H&M vs Zara
Direct Competitors
Indirect Competitors
Replacement Competitors
Congruent Competitors
A business owner operates a single store under their own name and does not sell shares. How should this business be classified?
Private company
Sole proprietorship or independent retailer
Public corporation
Franchise
Planet Fitness vs home workout equipment
Indirect Competitors
Replacement Competitors
Direct Competitors
Congruent Competitors
A student groups AMC Theaters vs Netflix as direct competitors. What is the BEST evaluation?
Correct, both provide entertainment experiences
Incorrect, they are indirect competitors meeting the same need differently
Correct, both sell tickets
Incorrect, they are replacement competitors competing for the same money.
A student places “offer completely different products but compete for the same customer dollars” under indirect competition. What is the BEST evaluation?
Correct classification
Incorrect, this defines replacement competition
Incorrect, this defines direct competition
Correct, because products are different
A customer deciding between a gym membership and a car wash subscription is an example of:
Direct competition
Indirect competition
Replacement competition
Market segmentation
Apple iPhone vs Samsung Galaxy
direct competition
indirect competition
replacement competition
congruent competition
Burger King vs Smashburger
direct competition
indirect competition
replacement competition
congruent competiion
Marshalls vs, Nike
direct competition
indirect competition
replacement competition
congruent competition
A student argues that a local restaurant owned by one person is a private company because it is not publicly traded. What is the BEST evaluation?
Correct, because all non-public businesses are private companies
Incorrect, because it is better classified as a sole proprietorship/independent retailer
Correct, because it has only one owner
Incorrect, because it is a franchise
Two businesses both sell coffee. One is a small local café, and the other is a large national chain. A student says they are indirect competitors. What is the BEST evaluation?
Incorrect, because they are direct competitors selling similar products
Correct, because one is larger than the other
Correct, because they have different ownership types
Incorrect, because they are replacement competitors
A student says JCPenney and Walmart are direct competitors because they both sell clothing. What is the BEST evaluation?
Correct, because they sell identical products
Incorrect, because they serve completely different industries
Incorrect, because they sell clothing in different ways and formats
Correct, because all clothing stores are direct competitors
