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InterviewSolution
This section includes InterviewSolutions, each offering curated multiple-choice questions to sharpen your knowledge and support exam preparation. Choose a topic below to get started.
| 1. |
How does market information provided by the wholesalers benefit the manufactures? |
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Answer» Market information provided by the wholesalers benefit the manufacturers with the following services : (1). Information on demand : The wholesaler inform the producers about the interest for goods and the position of demand in the market. (2). A large size of production : It is the wholesaler who makes possible the large scale production by providing a producer with bulk order. (3). Facility of sales organisation : The wholesaler buys the goods in bulk quantity from the producers. The Manufacturer therefore need not to constitute a sales organizations separately. (4) A facility of Advertisement : The wholesaler sells its product and gives advertisement in large quantity. (5) Financial assistance : The wholesaler sometimes, provided the manufacturers with the financial assistance by advancing loans and advance payments for goods.(6) Inventory of goods : The wholesaler maintain sufficient stock of the goods with it. The manufacturer ,therefore need not to make a separate arrangement for storage of goods. (7) Standardization of goods : The wholesaler also discharges the function of grading and developing the standards for the goods. |
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| 2. |
Mansi orders a mixer on the basis of an advertisement in a newspaper specifying the features, price, delivery terms. It specified that the term of payment will be VPP only. Identify this type of retail business. |
| Answer» Mail Order Retailing. | |
| 3. |
Radha recently came across an advertisement of a supply of weight reducing equipment in the news paper. The product is being manufactured by a small trader and is available for sale throughout the country by placing an order throught post.The buyer has been given a option of cash on delivery or digital cash as a payment option. I. Identify the type of retail trade being described in above para. II. State any three features of that trade |
| Answer» I. Mail Order Retailing | |
| 4. |
Sahil owns a coaching centre in Delhi, he has often observed that student buy eatables from street vendors before and after class. For the benefit of students and to provide them hygienical food, he recently installed an automated machine at his. coaching centre, which dispenses various kinds of food items on inserting a coin. I. In the above para, they are discussing about which machine. II. State any two feature of that machine. |
| Answer» I. Automated vending Machine | |
| 5. |
Freight charges are born by seller under:A. FOBB. C & FC. Cl & FD. b & C |
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Answer» Correct Answer - (d) (d)band c is correct |
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| 6. |
Birju is a vegetable seller who sells all kinds of vegetables on his hand cart every morning and moves from one place to another during the day to sell his stock at the doorstep of the customers. In the context of the above case. I. Birju will be classified as which type of Retailer. II. State any two feature of that retailer. |
| Answer» I. Itinerant - Hawkers and Peddlars. | |
| 7. |
Shops having same Interior exterior and sell at uniform price are called:A. Departmental storeB. Chain StoreC. Both (a) & (b)D. None |
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Answer» Correct Answer - (c) (c)both (a)and (b) that is departmental stores and chain stores . |
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| 8. |
Itinerant traders have been an integral part of internal trade in India. Analyse the reason for their survival in spite of competition from large-scale retailers. |
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Answer» Itinerant traders have been an integral part of internal trade in India. The reasons for their survival in spite of competition from large scale retailers : (1) Itinerant traders deal in cheap , non standard commodities such as fruits,vegetables,toys, bangles,ice creams ,utensils etc. They provide great customer service. (2) Itinerant traders reach the consumers themselves, so it is very convenient for housewives and general public to purchase goods from them. (3) Prices charged by them is comparatively lower than the price of the commodity in the market because they need not to establish and maintain costly shops The services and functions of Itinerant traders are numerous and indispensable to the Consumers. They provide door to door service. They are an important link in the retailing chain of good so the business cannot do without Itinerant traders. Itinerant traders are retailer without shops . They include hawkers ,peddlers, street traders, cheap Jacks market traders. They do not have fixed shops. They deal in low price commodities and move from one place to another place.. |
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| 9. |
How would you differentiate between street traders and street shops? |
| Answer» Street traders do not have fixed palce of business. They move from one place to other whereas street shop owners have fixed place of sale. | |
| 10. |
Give one example of chain stores. |
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Answer» CHAIN STORES Multiple shops refer to a number of identical retail shops located in different parts of the city. One example of chain store is BATA ( dealing in footwares) |
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| 11. |
PQR Ltd. Is a well known company dealing with all kinds of organic products. The company sell its products through a chain of outlets located in well populated areas, which is in the vicinity of residential areas for the convenience of customers across the country. The company sell its products at uniform price at all its outlets and follow some interior and exterior look of the outlets. I. Identify the type of retail outlet being described in above lines. II. Explain any three features of that outlet. |
| Answer» I. Chain Store or Multiple Shops | |
| 12. |
Imagine life without your local market. What difficulties would a consumer face if there is no retail shop? |
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Answer» Consumer will face following problems if there is no retail shop: (i) No continuous supply of commodities. (ii) It will be difficult to have wide choice to purchase variety of goods. (iii) Non-availability of personalized services and credit facilities provided by retailers. (iv) Consumer will also miss the after sale services, e.g., repair of goods such as TV provided by retail shop. |
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| 13. |
Differentiate between itinerants and fixed shop retailers. |
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Answer» Itinerants: It refers to those retailers who do not have fixed place of sale. They move from one place to another in search of customers and according to the intensity of business. They deal in daily use items and require a small investment. They include: -Peddlers and Hawkers -Market Traaders -Street traders -Cheap Jacks Fixed Shop: The retailers having a fixed place for sale of their goods are of this kind.These have their shops in residential localites or market place.They are divided into: -Small Scale Large Scale |
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| 14. |
In which tupe of shops used goods are bought and sold? |
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Answer» Seconds-hand goods shop. These shops deal with second-hand goods or used articles such as books. The main features of second- hand good shop (a) These shops sell used goods. (b) The goods are generally priced low because these are used goods. |
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| 15. |
Identify the type of Internal Trade in the following statements. (a) A businessman buying and selling goods in small quantities. (b) A businessman specialised in one line of product. (c ) A businessman buying large quantities from manufacturers. (d) A businessman dealing with larger variety of goods under one roof. |
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Answer» (a) Retail Trade. (b) Single line store. (c ) Wholesale. (d) Departmental. |
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| 16. |
In which business are goods bought and sold through postal services? |
| Answer» Mail Order Houses.In mail order retailing seller contact the potential buyers through advertisements and mail publicity. | |
| 17. |
Name the retail organization where same type of commodities are sold at uniform prices located all over the country. What are the features of such organisations? |
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Answer» Chain Stores. Chain stores are a number of stores owned by a single firm to offer a limited range of products to the consumer. The following are the features of chain stores. 1) Products - Chain stores offer a limited range of products having identical shapes, sizes and designs in all their stores. The quality of the products is usually above average to superior. 2) Store interiors - The chain stores are designed with same interiors in a detailed manner. The look of each store is deliberately designed to make it identical to the theme. 3) Control- The control of such stores is centralised i.e they are controlled by the staff under one roof only i.e their head office. Various managers are appointed to manage routine transactions in the stores. 4) Price- Since all stores sell identical products, the pricing of the products is uniform in each store. The price of the products offered by these stores is non-negotiable. |
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| 18. |
Give any two services of retailer to the customers. |
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Answer» (i) Wide variety of goods Retailers generally keep stock of a variety of products and different manufacturers. This enables the consumers to make their choice out of a wide selection of goods. (ii) After sale service. It is an important part of after sale services and for a buyers decision for repeat purchase of the products. |
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| 19. |
Aman is a trader dealing in low cost fashionable footwear. In order to sell his goods he opens his shop on fixed days in different market. In context of above case. I. How would you classify Aman as a type of Retailer. II. Name the catrgory of that type of retail trade as identified in part (a) III. Explain any two features of this category. |
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Answer» I. Itinerant II. Market Trader |
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| 20. |
Distinguish between a wholesaler and retailer. |
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Answer» Wholesalers -It is the first link in the chain of distribution which links between manufactures and retailers. -The wholesaler trade is conducted in bulk quantities. -Most of the transactions are effected on the basis of credit. -The capital requirement of this business is heavy. -This type of trade deals in specific goods. -It does not emphasize on proper display of goods. -It does not experience direct dealing with consumers. -It avails the economics of bulk purchasing. -They operate in big cities and towns. -It does not give emphasis on home delivery facility. -It does not provide facility. -It does not provide after sale service. Retailers -It is the last link in the chain of distribution which links wholesalers and consumers. -It is conducted in small quantities. -Most of the transactions take place on cash basis. -This type of business usually require less capital. -This type of trade deals in variety of goods. -It gives a lot of emphasis on proper display and advertisement. -It always deals directly with the ultimate consumers. -It does not avail such economies because it does not incur bulk purchase of goods. -They operate in small villages and in big cities. -It gives much emphasis on home delivery facility. -It provides after sale service to the consumers. |
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| 21. |
The Retailer having no fixed place of selling are called:A. VendorsB. SellerC. ItinerantsD. None of the above |
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Answer» Correct Answer - (c) Itinerant retailers: Itinerant retailers are those traders who do not have a fixed place for business. They operate their business from different places by moving from one location to another. So that they can get more and more different customers. Their moving shops are moved from one place to another with the aim of locating new customers for them. Another trait of Itinerant retailers is that they sell their goods in small quantities. Some of the best example of itinerant retailers are Peddlers and Hawkers. |
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| 22. |
Goods with minor defects are sold at:A. Second hand goods shopB. Seconds shopC. general storeD. None of the above |
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Answer» Correct Answer - (b) (b)second shops Seconds Shops There are the shops to sell goods which are not produced according to the required specification. The main features of second-hand goods shop (a) These shops deal in the products which have some manufacturing defect. (b) Goods are sold at a heavily discounted price. |
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| 23. |
The retailer who sell their goods in weekly markets are known as:A. HawkersB. Periodic Market TradersC. Cheap JacksD. Sheet Traders |
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Answer» Correct Answer - (b) (b)Periodic Market Traders |
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| 24. |
What is a super bazar? |
| Answer» A super bazar is a large scale retail organisation housed in a very large building. It deals mainly in food stuff and other products of daily use. It operates on a self service basis. There are no salesmen or shop assistants. | |
| 25. |
Describe the role and functions of the Chamber of Commerce. |
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Answer» The following points highlight the role and functions performed by Chamber of Commerce and Industry. a. Facilitates interstate movement of goods- It facilitates the activities related to the inter-state movement of goods by registering vehicles, formulating transport policies and by constructing roads and highways. b. Levies Octroi and other local taxes- Octroi and local taxes are charged on goods or from people entering into a state or municipal boundaries. c. Brings together the sales tax and VAT structure of different states- Chamber of Commerce and Industry ensures that these taxes are uniform across states for maintaining a balance in trade. d. Development of a sound infrastructure- Chamber of Commerce and Industry interacts with the government and convince them to invest in the development of infrastructure such as roads, highways, ports, railways, electricity, etc. e. Formulation of laws- Another important function by them is to interact with the government to formulate policies and measures to avoid duplication of brands. f. Ensures uniform excise duty across states- Chamber of Commerce and Industry ensures that the excise duty imposed by the central government is uniform across states. g. Promotes and markets agro- products- Chamber of Commerce and Industry often interacts with the associations of agriculturalists and other cooperative societies for marketing agro- products. |
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| 26. |
Write a note on shopping malls. |
| Answer» Shopping malls are larger permanent structures with large space. It comprises of various shops or retail oulets that offer a wide variety of good and services under one roof.Mall may have multiple building units, connected with each other | |
| 27. |
State any two benefits of super markets. |
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Answer» Super market are organised by co-operative societies as well as by private traders. Advantages(a) Wide choice (b) Low price (c) No, bad debts (d) Convenience in shopping |
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| 28. |
Explain the meaning of Automatic Vending Machine. |
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Answer» Vending Machines A vending machine is a new form of direct retailing. It is a machine operated by coins or tokens. The buyer inserts a coin or token in the machine and receive a specific quantity of product from the machine. (i) Advantages (a) Buying round the clock is possible. (b) The customer gets fresh supply of goods. (c) No, requirement of salesman. (ii) Limitations (a) Initial investment to install the machine is quite high. (b) Machine requires regular repair and maintenance. (c) Coins of exact shape and size are required to operate the machine. |
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| 29. |
What are general stores? Explain the features of general stores. |
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Answer» General stores are small shops located in residential areas. The main features of general stores are (a) They have a large variety in each line of product. (b) They provides free home delivery, credit facility |
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| 30. |
Explain the benefits of Automatic Vending Machine. |
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Answer» Benefits of Automatic Vending Machine are as follows: 1. Customer gets fresh supply of goods. 2. Goods are of uniform weight and quality. 3. Salesman not required.,br>4. Available for 24 hours and 7 days. 5. Convenient for customers especially at places like gas station, petrol pump, railway stations etc., 6. Easy to use. |
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| 31. |
Who is the Chair person of GST Councilors:A. Prime MinisterB. PresidentC. Finance MinisterD. None of the above |
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Answer» Correct Answer - (c) FINANCE MINISTER IS THE CHAIRPERSON OF THE GST COUNCIL.therefore option (c) is correct. |
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| 32. |
What do you mean by Internal Trade ? |
| Answer» Buying and selling of goods within the geographical limits of a country is known Internal Trade. | |
| 33. |
Explain the difference between a departmental store and chain store. |
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Answer» Difference between Departmental Store and Chain Store are as follows- 1. Nature of Goods Dealt with A Departmental Store deals with a large number of goods in a large variety. Multiple shops or chain stores deal in the goods of one manufacturer only. 2. Prices of Goods Prices of goods are generally higher than market prices at departmental stores. Prices of goods are kept comparatively low at chain stores or multiple shops. 3. Credit Facility A Departmental Store sells goods both for cash and credit. Chain stores sale only on cash payment. 4. The Facility of Home Delivery A Departmental store sometimes provides the facility of home delivery. Chain stores do not provide the facility of home delivery. 5. Other Facilities to Customers Many other facilities are also provided to customers by a Departmental Store, like postage and telegram, telephone, restaurant, toilet, etc. No such facility is provided by chain stores or multiple shops. 6. Location A Departmental Store is located at Central Place of a city. Chain stores located at various places and or various cities of the country. 7. Utility Departmental Store is considered to be useful only for rich people. Chain stores for multiple to be useful both for poor people and the middle class. 8. Risk departmental store involves higher risk. multiple store involves a lesser risk. 9. Purchase of Goods Every department is independent in making its purchases. All the stores are supplied with goods from the central office. 10. Decoration and Display Decoration and display of All the departments are different decoration. Decoration and display of all the chain stores are exactly similar. 11. Main Object The main object of a Departmental Store is to make all the goods of daily use available under one roof. The main object of multiple shops or chain stores is to distribute the goods of a manufacturer at all the places. |
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| 34. |
Give two points of difference between single line store and speciality store. |
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Answer» Single line stores are those stores which deal in one line of product only; for example, sweet shop, chemist shop, garment shop, Stationary shop etc. 2 Speciality stores are those stores which deed in particular product of one line of product. For example, sweet shops dealing in Bengali sweets only, garment shop selling jeans only. Yes, we can identify such stores in our locality. |
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| 35. |
What is the difference between a hawker and a pedlar? |
| Answer» hawker sold the goods on back of animals or carts but peddler sold it by putting the goods on the back or heads | |
| 36. |
What is meant by internal trade? |
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Answer» Internal Trade When buying and selling of goods and services takes place within the geographical limits of a country. It is known as internal trade. The main features of internal trade are (i) The buying and selling of goods and services takes place within a country. (ii) The payment are made and received in the home country only. (iii) There are no or very few formalities to be completed by the traders. |
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| 37. |
What do you understand by wholesale trade? |
| Answer» Wholesale trade is a form of trade in which goods are purchased and stored in large quantities and sold, in batches of a designated quantity, to resellers, professional users or groups, but not to final consumers. | |