Retail Trade

The advancements in both economic and technical domains have given rise to various contemporary trends in the retail trade sector.   Key developments in retail trade: Self-Service System: Customers independently select goods from store shelves and make payments at the cashier, often without assistance. Features include well-organized displays, provision of trolleys and baskets, clear price […]

The advancements in both economic and technical domains have given rise to various contemporary trends in the retail trade sector.

 

Key developments in retail trade:

Self-Service System:

    1. Customers independently select goods from store shelves and make payments at the cashier, often without assistance.
    2. Features include well-organized displays, provision of trolleys and baskets, clear price tags, and payment near exits.

 

   Advantages:

  1. Increased sales through attractive displays.
  2. Reduced need for sales clerks, minimizing overhead costs.
  3. Time-saving and convenient shopping experience.

 

   Disadvantages:

  1. Potential for theft (shoplifting).
  2. Limited inspection of goods due to pre-packaging.
  3. Reduced personal attention to customers.

 

Branding:

  1. Assigning a name or mark to a product to distinguish it from similar ones.
  2. Examples include Toyota, Sony, Chivita, and Pampers.

 

   Advantages:

  1. Uniform pricing and easy recognition.
  2. Prevention of product adulteration.
  3. Assurance of high-quality and standardized products.

 

   Disadvantages:

  1. High advertising costs.
  2. Encouragement of excessive buying.
  3. Potential confusion among consumers leading to higher prices.

 

Pre-Packaging:

Goods are packed, weighed, and priced before placement on store shelves (e.g., sweets).

 

   Advantages:

  1. Protection against damages.
  2. Effective advertising and increased sales.
  3. Recycling of packaging material.

 

   Disadvantages:

  1. Higher costs of pre-packaged products.
  2. Deceptive information on packaging.
  3. Limited actual inspection of goods.

 

Automatic Vending:

Machines dispense pre-packed items upon inserting a specified amount.

 

   Advantages:

  1. Suitable for selling convenience goods.
  2. 24-hour service and uniform pricing.
  3. Self-service convenience for customers.

 

   Disadvantages:

  1. High costs associated with machine operation.
  2. Low profit margins due to operational expenses.
  3. Potential for theft and vandalism.

 

  1. Credit Cards:

Involves using plastic cards to make credit purchases from specific sellers.

 

   Advantages:

  1. Encourages credit purchases.
  2. Convenient to carry.

 

   Disadvantages:

  1. Goods may have higher prices.
  2. Limited bargaining and potential for bad debts.

 

  1. Electronic Retailing (E-Retailing):

An emerging trend involving online retail shopping with global accessibility.

 

   Advantages:

  1. 24-hour services.
  2. Multimedia prospects.
  3. Information provision to customers.
  4. Increased sales.

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