Dicks last year acquired which company?

• A. Foot Locker
• B. Nike
• C. Adidas
• D. Under Armour

Answer: (A)

This item is testing how a major retailer thinks about expanding through acquisitions. The idea is that a large sporting-goods retailer would look to buy another retailer in the same space to quickly grow its footprint, combine store networks, and strengthen its position with brands.

Foot Locker fits this pattern because it’s a specialty footwear retailer, closely aligned with Dick’s Sporting Goods’ focus on athletic footwear and apparel. Acquiring Foot Locker would instantly increase Dick’s store count in sneaker-heavy categories, broaden the online and in-store shopping options for customers, and improve bargaining power with suppliers through greater scale. It also reduces overlap and creates a cohesive national footprint in a market where both companies compete.

The other names are primarily brands rather than retail chains, so buying them would shift the business toward manufacturing or licensing rather than expanding retail presence. That mismatch in strategy is why these options don’t fit as well for a question about acquiring a retailer.