Advantages And Disadvantages Of Organized Retail

The competition between the wholesale club industry is pretty strong but is mostly dominated by the three main competitors which are: Costco, Sam’s club and BJ’s Wholesale club. These three wholesale clubs for the most part dominate the industry and take away customers from other retail stores because they can offer much lower prices, brand name items and a wide variety of items to purchase from them. When it comes to shares of warehouse sales, Costco had roughly 56 percent of sales, Sam’s club had 36 percent and BJ’s wholesale had a low 8 percent. Unlike most retail stores, these three display all of their items on pallets or their inexpensive shelving which provides them with low cost on décor, labor and advertising.

Switching Cost: If there is anything that can go in favor of a new entrant is switching cost of the buyer. Only loyalty buyers typically have these days is to value. If a new entrant can offer better value, buyers can switch to the new entrant with no switching cost. Better value can only come from sacrificing profits which might deter new entrants as a low profit margin does not promises long term growth.

These research topics on consumers buying decision making is one of the most interesting topics by different researcher and marketer before, and even still there are research going on it. Different researcher has shown different cause which related to consumers buying decision making that 's why

In the mid-19th century, retail stores started to establish themselves within the diverse American economy. Some of these retail stores gained massive popularity, which led to chains of establishments with names that almost anyone can recognize; for example, Target, Walmart, Best Buy, Barns & Noble, etc. The name, “big-box” was given to these kinds of stores. With regards to the nationwide expansion of these stores, a valuable question to ask is: are big-box stores good for North America? Evaluating the pros and cons of how they compete, I think that the existence of big-box stores is beneficial; therefore, to keep the reasons simple, I will focus primarily on Walmart (which is the largest big-box store).

How does organized retail crime affect the retailer? Organized retail crime affects the retailer because they are losing their product and they are losing their money. These organized retail criminals don’t just steal one item at a time they steal a multitude of items to create an organized a business on their own with the most profitable items for a cheaper price. I don’t believe affects the customer as much as the retailer but they could possibly be affected if they are shopping for an item and the criminals take all the stocked provided at that location. Society, as a whole, is affected because they are stealing these items and putting people at risk due to the fact that they don’t regulate expired items, items that have been recalled, items need specific temperatures so they have to be aware of that and that could put society at risk if it’s not monitored

Over the last 50 years, many claim that there has been a decline in “mom and pop” stores in the States. They believe that this decline is from chain stores, people do not necessary see these afflict effects that cause mom and pop stores. There are many positive effects of having a chain store close to your home, but it also can have negative effect on the community. Before diving into what the pros and cons of having a chain store or a “mom and pop” store, it is necessary to know the definition of what they are. “Mom and Pop” store is a small store, usually independent, and family owned business. Since it is a family owned business, it typically has few employees. It is not a franchises, therefore it is only in a single

Based on the study it was essential to make a hypnotically observation by quickly collecting responses from the selected respondents about the picking of retail format they prefer. As shown in the figure below it was identified that majority of the consumers with 54.99% still prefer to have traditional unorganized retail format as their majority of the choice, while 45.01% of the respondents mostly prefers organized retail format as their 2nd best option.

1. When a consumer shops at an upscale furniture store, what factors determine whether the consumer feels that he or she got a fair value? How does the perception of value differ when that same consumer shops at a discount furniture store?

Entrepreneurship is an excellent opportunity for individuals seeking the independence of running their own business. Starting a business can be a quite daunting task for anyone who is looking to do so. Potential business owners must be ready to invest much of their time and energy to the planning and startup phases of their business. Those activities include conducting research, creating a business plan, securing financing and marketing. Additionally, business owners also have to decide the type of business form that they would like to operate under. There are three main business structures in which entrepreneurs must establish their business.

Retail is when business sells products and provide service to the customer to make a profit. An example of a retail business is TESCO. There are many different types of retail sectors in UK which have different organisation and structures. In order for business to operate they will need to find the appropriate location, products they will sell to customer in order to gain profit for the business.

Inditex ensures that its fashion is fast through its supply chain efforts. They have created new methods to enable store managers to order and display merchandise faster and added cargo routes for shipping goods. The company ships clothing straight from the factory to stores and makes two-thirds of its goods in Spain and nearby countries, compared to most competitors who manufacture most of their clothing in Asia. Inditex has their sales managers monitoring computers, which are reporting sales at every store around the world. When a garment does well or fails, they are able to quickly tell designers if they need to come up with new ideas. They also have generated

The upper middle class and lower middle class consist of white collar workers and small business owners who look at the upper class for guidance on certain behaviours, for example, proper etiquette, fashion selections and leisure activities. The upper middle class consumers are often found living in condominium, executive condominium, and apartments relatively more expensive than normal HDB flats. Driving mid-range cars or taking taxis to transport them to destinations. Whereas, the lower middle class are commonly seen living in four to five room HDB flats, taking public transport as means of transportation. However, these groups of consumers are trying to replicate the upper class’s lifestyle, though may not be able to afford luxurious lifestyle, they compensate by going to neighbourhood wet markets to shop groceries and buy clothes from neighbourhood shopping malls, working harder with extra job and get into small investments, so that they can afford occasional of indulgence of designer labels and holiday at luxurious resort hotels.

Modern marketing management works hard to resolve the common problems of consumption of products. The study of consumer behavior is therefore very significant in marketing in ensuring survivability of the firm. There is a lot of rivalry in every industry, and the company needs to be very innovative and recognize the latest tastes and the need for the consumers. The information gained in studying consumer behavior can be extremely crucial in helping to exploit the available market opportunities. This report analyzes the consumer behavior using two fashion apparel brands, Gucci and Gap. Gucci and Gap are international companies with their bases in different countries and continents. They have both been ranked in Forbes Global 2000 list of largest companies worldwide. The market segment of the two companies is different with Gucci targeting the wealthy folks (including children, youth and old people) and Gap targeting twenty-five to thirty-five middle-class consumer. Due to the difference in the nature of the products sold by the two brands, their consumers portray different kind of behavior. These different behaviors provide the fantastic scenario to analyze and understand consumer behavior.

9.Define what is meant by a cost trade-off. Do you believe that this concept is workable? Why or why not?

The organization I have selected for this assignment is Donut king which is in palms mall Shirley, Canterbury. The main rezone of choosing this retail store is that is very familiar with this store because am working here. An organization is a formal structure of roles and positions put in place to achieve some specific goals. The structure of a retail organization defines the role of employees and the way in which the organization functions. To design an effective retail organization structure, managers/ owners must define store objectives, identify the tasks, classify the tasks and jobs, and assign responsibilities and authority to various positions, and define the relation between them.