Use the Following Information for Questions

question 7

Multiple Choice

Use the following information for questions
Mercantile Corporation has sales of $2,000,000, variable costs of $800,000, and fixed costs of $900,000.
-Mercantile's degree of operating leverage is

• A) 1.33.
• B) 1.67.
• C) 1.50.
• D) 4.00.

Identify characteristics of nonstore retailing methods, including direct mail, catalog retailing, vending machines, and online retailing.

Comprehend the strategic reasons behind retail format choices based on product assortment, target market, and competitive advantages.

Analyze the impact of external factors such as postal service changes and environmental concerns on retail formats.

Appreciate the importance of creating customer value and convenience through various retail formats and channels.

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Definitions:

Control

The power to influence or direct people's behavior or the course of events.

Emotion Management

The process by which individuals control or manage their feelings and expressions based on the social expectations of various situations.

Feeling Rules

Social norms that dictate the appropriate types and intensities of emotions to be felt and expressed in given situations.

Emotion Labour

The process of managing and often suppressing one's emotions to fulfill the emotional requirements of a job or role in society.