Marketing Retail Management Notes

MKT 307 Wednesday, January 16, 2008

Retail can occur in more than just a store… (i.e., Doctor’s Office, Hair Salon, etc.)

As long as there is a monetary transaction; can be tangible or IN-tangible

What is RETAILING?

RETAILING is a set of business activities that adds value to the products and services sold to consumers for their personal or family use.

A RETAILER is a business that sells products and/or services to consumers por personal or family use.

THE CHANNEL OF DISTRIBUTION

Manufacturing  Wholesaler  Retailer  Consumer

*In some cases, steps can be eliminated to save money & increase profit

Manufacturing, Wholesaling, and Retailing

Vertical Integration- firm performs more than one set of activities

Ex. Retailer invests in wholesaling or manufacturing

Backward Integration- retailer performs some distribution and manufacturing activities

Ex. JCPenny sells Arizona Jeans (Private Label)

Forward Integration- manufacturers undertake retailing activities

Ex. Ralph Lauren operates its own stores

Friday, January 18, 2008

*4 Functions of a Retailer*

1. Provides an assortment of products and services

2. Breaking Bulk Breaking down large shipments so products can be distributed accordingly

3. Holding Inventory to keep inventory ready for purchase; works hand-in-hand with “breaking bulk”

4. Providing services (lay-away, catalogs, cleanliness, etc.)

*These 4 functions create value for the retailers

Changes in the Retail Industry

Technology- self check-out, TV shopping, online shopping

Customer Service

Product Knowledge of sales associates

Store Hours

MKT 307 Retail Mgt Wednesday, January 23, 2008

List of retail entrepreneurs among Forbes top 400

Walton Family