Question

QUESTION Dailies is a large retail chain in New Jersey. Apart from selling to customers. Dailies supplies bread and vegetables to a large number of restaurants in and around New Jersey. Therefore, Dailies is engaged in when selling to restaurants 1. wholesaling 2. retailing 3. merchandising 4. breaking bulk QUESTIONS facility where it produces private-label food products. Therefore Essentials, a retail store, manages its own warehouse. It also owns Essentials is practicing 1. scrambled merchandising 2. backward Integration 3. cross-selling 4. forward integration

Answer 1

Ans 4 The details of the first case reveals that it is a concept of wholesaling as Dallies, apart from selling products to customers, also supplies large quantities of bread and vegetables to people living within New Jersey. Hence option 1, Wholesaling is the ideal choice.

Ans 5 The second case is an example of backward integration whereby Essentials is controlling the market by internally producing parts of its supply chain. In this case Essentials is not only producing its private label products, but also has its own warehouse to control the supply of products. Hence the correct option is 2.backward integration.