MAR 3231 Exam 2 | Questions with 100%
Correct Answers | Verified | Latest Update
2026/2027 | University of Florida
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Terms in this set (130)
different types of ownership independent
classification of retail chain
institutions franchise
leased department
independent retailers small businesses
independent retailers - Flexibility in formats, locations, and
advantages strategy
- Control over investment costs,
personnel functions, and strategies
- Easier to manage personal image
- Consistency and independence
- Strong entrepreneurial leadership
,disadvantages of independent lack of bargaining power>hard to carry
retailers other brands
labor intensive operation brands
over dependence on owner
chain retailers multiple outlets under common
ownerships
engage in some level of centralized or
coordinated purchasing and decision
making
advantages of chain retailers bargaining power
efficiency maintained by
computerization, warehouse sharing and
other functions
disadvantages of chain limited flexibility
retailers higher investment costs
complex managerial control
limited independence among personell
excessive standardization due to extreme
concern for bargaining
retail franchising -contractual agreement between a
franchisor and a franchisee
-franchisee pays an initial fee and a
monthly percentage of gross sales in
exchange for the exclusive rights to sell
goods and services in an area
, franchisee civilian who wants to open their own line
franchisor: brand who sells out
examples of franchises mcdonalds (a chain and franchise), jimmy
johns, wing stop, jazzercise, christmas
decor
advantages of franchise low capital required
acquisition of well known names
operating/management skills taught
cooperative marking possible
exclusive rights
disadvantages of franchise oversaturation could occur
franchisors may overstate potential
contractual confinement
royalties based on sales and not profits
leased department space in a retail store that is rented out to
an outside party
ex: walmart leasing out to jackson hewitt,
sephora in jcpenney, gucci section in
bloomingdales
Correct Answers | Verified | Latest Update
2026/2027 | University of Florida
Save
Terms in this set (130)
different types of ownership independent
classification of retail chain
institutions franchise
leased department
independent retailers small businesses
independent retailers - Flexibility in formats, locations, and
advantages strategy
- Control over investment costs,
personnel functions, and strategies
- Easier to manage personal image
- Consistency and independence
- Strong entrepreneurial leadership
,disadvantages of independent lack of bargaining power>hard to carry
retailers other brands
labor intensive operation brands
over dependence on owner
chain retailers multiple outlets under common
ownerships
engage in some level of centralized or
coordinated purchasing and decision
making
advantages of chain retailers bargaining power
efficiency maintained by
computerization, warehouse sharing and
other functions
disadvantages of chain limited flexibility
retailers higher investment costs
complex managerial control
limited independence among personell
excessive standardization due to extreme
concern for bargaining
retail franchising -contractual agreement between a
franchisor and a franchisee
-franchisee pays an initial fee and a
monthly percentage of gross sales in
exchange for the exclusive rights to sell
goods and services in an area
, franchisee civilian who wants to open their own line
franchisor: brand who sells out
examples of franchises mcdonalds (a chain and franchise), jimmy
johns, wing stop, jazzercise, christmas
decor
advantages of franchise low capital required
acquisition of well known names
operating/management skills taught
cooperative marking possible
exclusive rights
disadvantages of franchise oversaturation could occur
franchisors may overstate potential
contractual confinement
royalties based on sales and not profits
leased department space in a retail store that is rented out to
an outside party
ex: walmart leasing out to jackson hewitt,
sephora in jcpenney, gucci section in
bloomingdales
