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Module I Self Assessment

1.Assume you have been hired to consult with The Gap on sourcing decisions for sportswear. What issues
would you consider when deciding whether you should buy from Mexico or China or find a source within the United
States?
2. What is the difference between counterfeit, graymarket, and black-market merchandise? Is the selling of this type of
merchandise legal? Do you believe that selling these types of merchandise should be allowed? Provide a rationale for your
position. Would you purchase a counterfeit wallet? What about a counterfeit car part or prescription medication?
3. What are the advantages and disadvantages of manufacturer’s brands versus private-label brands? Consider both the
retailer’s and customer’s perspectives.
4. Does your favorite clothing store have a private-label brand strategy? If yes, how does it build store loyalty? If no, how
could a private-label brand create loyalty?
5. Explain why a grocery store, such as Kroger, offers more than one tier of private-label brands within a particular
product category.

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