World Retailling

CHAPTER 1:

 INTRODUCTION TO THE WORLD RETAILING

Retailing? -->Business activities that adds value to the products and                       services sold to consumers.

Retailer?  --> Business that sells products or services to consumers.
                       Ex: www.Amazon.com

DISTRIBUTION CHANNEL

Supply chain?--> Firms that make and deliver a given set of goods                               and services to the ultimate consumer.

Vertical integration?--> Firm performs more than one set of activities in the channel

                                    Ex: Retailer invest in wholeslling and manufacturing

backward integration?--> Retailer performs some distribution and manufacturing activities

                                        Ex: Jaya Jusco sells Scarlet jeans.

forward integration ?--> Manufacturers undertake retailing activities

                                     Ex: Channel (operate its own store)

Retailers add value --> Product assortment

                              --> Break Bulk

                              --> Hold Inventory

                              --> Offer Services

Job Opportunities in Mnagement = Fincance,Accounting,HRM

Job Opportunities in Entrepreneurs = Start new business with their own brands.

                                                        Ex: Ingvar Kamprad (IKEA)

Retail Management decision Process

DOING  THE RIGHT THING vs DOING THINGS RIGHT 

Decision make through -->Long term

                                   --> Made infrequently 

                                   --> Location,Organization design and system.

Retail strategy before start the business 

• Identifying competition
• Identifying Customer --> Demographic and Life style

                                          --> Target Customer