This document provides an overview of retailing concepts. It discusses what retailing is, its key characteristics, functions and types of retailers. It then summarizes the global and Indian retail scenes and trends, including the growth of organized retail and foreign direct investment. The document outlines different retail formats and categories of shoppers. It aims to help readers understand the retailing industry and considerations in retail management strategies.
The document discusses channel management and conflict resolution. It states that channel management occurs in three broad phases: using power bases, identifying and resolving conflicts, and coordinating the channel. Channel conflicts can arise from differences in goals, responsibilities, or market perceptions between members. There are various styles of resolving conflicts, from avoidance to collaboration, with the latter providing the best results. The document also notes key characteristics of managing channels for the services sector.
This document discusses wholesalers and their role in distribution channels. It defines wholesalers as businesses that sell products to retailers and other merchants rather than directly to consumers. Wholesalers perform important functions like buying products in bulk, storing inventory, breaking bulk for smaller orders, financing customer purchases, and providing market information to suppliers and customers. The document also describes different types of wholesalers and their limitations. It outlines key decisions and factors involved in managing distributors, who act as appointed representatives for companies in designated territories.
This document provides an overview of logistics and supply chain management. It discusses key topics like materials management, logistics functions and principles, inventory management, warehouse management, transportation management, and reverse logistics. The document also compares different modes of transportation like rail and road. The overall purpose is to introduce fundamental concepts in logistics and supply chain management.
The document discusses marketing channels and channel systems. It covers key topics such as channel functions, formats, flows, levels and structures. Channel systems help address issues like spatial and temporal discrepancies. They break bulk, provide assortment and financial support. Channel flows include physical, title, payment and information flows. Common channel formats are producer, seller and service driven systems. Channel levels range from zero to multiple intermediaries. Expectations from channel systems are to efficiently deliver products and services while addressing customer needs.
The document discusses channel design and management. It covers understanding customer needs, defining channel objectives, evaluating alternatives, selecting and training channel partners, and modifying existing networks. Key steps in channel design include segmentation, positioning, focus, and development. Effective design requires evaluating alternatives based on criteria like cost, control, adaptability and volume handling ability.
The document discusses the key steps in the personal selling process. It begins by outlining the learning objectives which are to understand psychology in selling, buying processes, communication skills, and the personal selling process. It then explains the buyer behavior model and differences between household and business buyer processes and situations. Next, it outlines the sales process steps of prospecting, pre-approach, approach, presentation, demonstration, overcoming objections, closing, follow-up, and service. It emphasizes understanding customer needs, using different presentation methods, and the importance of negotiation skills for business sales. In conclusion, it stresses studying customer behavior and using a structured sales process to improve sales effectiveness.
This document discusses channel information systems. It describes the purpose of CIS as collecting and analyzing operational data from within the company and between channel members to support decision making. It outlines the information collection, processing, storage and use process. The document also discusses developing a CIS, elements to include, evaluating channel performance, and factors that influence the implementation approach like intensive, selective or exclusive distribution.
This document discusses key concepts in logistics and supply chain management. It defines logistics as planning activities to ensure the right goods are in the right place at the right time. Logistics functions include planning, procurement, transportation, supply and maintenance. Supply chain management focuses on activities from procurement to consumption and integrates functions like purchasing, manufacturing, and distribution. The document outlines concepts like inventory management, warehousing, transportation principles, and reverse logistics.
The document discusses channel management and conflict resolution. It states that channel management occurs in three broad phases: using power bases, identifying and resolving conflicts, and coordinating the channel. Channel conflicts can arise from differences in goals, responsibilities, or market perceptions between members. There are various styles of resolving conflicts, from avoidance to collaboration, with the latter providing the best results. The document also notes key characteristics of managing channels for the services sector.
This document discusses wholesalers and their role in distribution channels. It defines wholesalers as businesses that sell products to retailers and other merchants rather than directly to consumers. Wholesalers perform important functions like buying products in bulk, storing inventory, breaking bulk for smaller orders, financing customer purchases, and providing market information to suppliers and customers. The document also describes different types of wholesalers and their limitations. It outlines key decisions and factors involved in managing distributors, who act as appointed representatives for companies in designated territories.
This document provides an overview of logistics and supply chain management. It discusses key topics like materials management, logistics functions and principles, inventory management, warehouse management, transportation management, and reverse logistics. The document also compares different modes of transportation like rail and road. The overall purpose is to introduce fundamental concepts in logistics and supply chain management.
The document discusses marketing channels and channel systems. It covers key topics such as channel functions, formats, flows, levels and structures. Channel systems help address issues like spatial and temporal discrepancies. They break bulk, provide assortment and financial support. Channel flows include physical, title, payment and information flows. Common channel formats are producer, seller and service driven systems. Channel levels range from zero to multiple intermediaries. Expectations from channel systems are to efficiently deliver products and services while addressing customer needs.
The document discusses channel design and management. It covers understanding customer needs, defining channel objectives, evaluating alternatives, selecting and training channel partners, and modifying existing networks. Key steps in channel design include segmentation, positioning, focus, and development. Effective design requires evaluating alternatives based on criteria like cost, control, adaptability and volume handling ability.
The document discusses the key steps in the personal selling process. It begins by outlining the learning objectives which are to understand psychology in selling, buying processes, communication skills, and the personal selling process. It then explains the buyer behavior model and differences between household and business buyer processes and situations. Next, it outlines the sales process steps of prospecting, pre-approach, approach, presentation, demonstration, overcoming objections, closing, follow-up, and service. It emphasizes understanding customer needs, using different presentation methods, and the importance of negotiation skills for business sales. In conclusion, it stresses studying customer behavior and using a structured sales process to improve sales effectiveness.
This document discusses channel information systems. It describes the purpose of CIS as collecting and analyzing operational data from within the company and between channel members to support decision making. It outlines the information collection, processing, storage and use process. The document also discusses developing a CIS, elements to include, evaluating channel performance, and factors that influence the implementation approach like intensive, selective or exclusive distribution.
This document discusses key concepts in logistics and supply chain management. It defines logistics as planning activities to ensure the right goods are in the right place at the right time. Logistics functions include planning, procurement, transportation, supply and maintenance. Supply chain management focuses on activities from procurement to consumption and integrates functions like purchasing, manufacturing, and distribution. The document outlines concepts like inventory management, warehousing, transportation principles, and reverse logistics.
The document discusses distribution management and marketing mix. It defines distribution channels and explains their role in providing customers access to products. It describes different types of distribution channels and intermediaries like wholesalers, retailers, distributors. It also discusses strategies for distribution intensity and factors to consider when developing an effective distribution strategy like customer service levels and key performance indicators.
The document discusses management of sales territories and quotas. It covers designing sales territories, assigning salespeople to territories, managing territorial coverage through routing, scheduling and time management tools. It also discusses objectives and types of sales quotas, methods of setting quotas and administering quotas. The key points are that territories consist of existing and potential customers assigned to a salesperson, quotas motivate salespeople and help evaluate performance.
The document provides an overview of sales and distribution management. It discusses the growing importance of sales and defines key concepts like personal selling, sales management, distribution management, and the relationship between sales objectives, strategies, and tactics. It also outlines the roles and skills of a sales manager, different sales positions, and emerging trends in the field. Distribution management plays a key supporting role in executing the plans developed by sales management.
Ch5: Organising and Staffing the Salesforceitsvineeth209
This chapter discusses organizing and staffing the salesforce. It covers key concepts like the types of sales organizations, specialization within the salesforce, and determining the optimal salesforce size. The major stages of the salesforce staffing process are also outlined, including planning, recruiting, selecting, hiring, socialization, and assimilation. Planning involves determining the number and type of salespeople needed. Recruiting activities seek to attract qualified candidates from internal and external sources. Selection tools to evaluate candidates include screening resumes, application forms, interviews, testing, reference checks, and physical examinations.
Introduction to Sales Management – The Sales Organization
– Determining Sales Related Marketing Policies – Sales
Functions and Policies – International Sales Management
– Personal Selling.
Sales Planning – Sales Budgets – Estimating Market
Potential and Forecasting Sales – Sales Quotes – Sales &
Cost Analysis, Sales Force Management: Hiring and Training Sales
Personnel – Time and Territory Management –Compensating Sales Personnel – Motivating the Sales Force
– Leading the Sales Force – Evaluating Sales Force
Performance.
Marketing Logistics - Distribution as Marketing Mix
Element – Distribution Resource Planning – Marketing
Channel Integration – Channel Management – Nature of
Marketing Channels – Evaluating Channel Performance-
Specialized Techniques in selling – Tele Marketing – Web
Marketing
Distribution Cost Analysis: Managing Channel Conflicts –
Channel Information Systems – Wholesaling – Retailing –
Ethical And Social Issues in Sales and Distribution
Management.
Ch8: Distribution Management & The Marketing Mixitsvineeth209
Distribution channels help companies reach more customers by providing products in convenient locations and times for purchase. They create utility for consumers. A company's distribution strategy considers service levels, objectives, network structure, policies, performance metrics and critical factors for success. It aims to efficiently meet customer expectations through intermediaries like distributors, wholesalers and retailers while achieving sales and profitability targets. Effective distribution is key to a company's market presence and requires commitment from top management and channel partners.
Evaluating channel performance can be done from both a macro/societal perspective and micro/managerial perspective. Key metrics for measuring channel performance include effectiveness, efficiency, and equity. Effectiveness measures how well a channel provides required services. Efficiency measures output to input ratios like productivity and profitability. Equity measures how well a channel serves disadvantaged markets. Financial analysis tools like contribution margin analysis and net profit approaches can be used to evaluate relative profitability and performance of different marketing channels, territories, and products. The strategic profit model is also used to determine return on investment and relates income, expenses, assets, and leverage.
This document discusses sales, distribution channels, and distribution management. It defines key distribution concepts like market dimensions, sales techniques, the role of the sales force, and the selling process. It also explains different types of distribution channels including intensive, selective, and exclusive distribution. Finally, it discusses vertical marketing systems and considerations for planning distribution channels.
This document discusses training, motivating, compensating, and leading the salesforce. It covers key topics such as:
- The sales training process including assessing needs, designing programs, and evaluating impact. Various training methods are described.
- The importance of motivating salespeople and different motivational theories and tools that can be used.
- The objectives and steps for designing an effective sales compensation plan, including examining job descriptions, setting objectives, and developing the compensation mix. Common plan types like salary, commission, and combination plans are explained.
- The role and skills of sales leadership in supervising and guiding the salesforce. Methods for evaluating training programs and sales performance are also outlined.
The document discusses various aspects of controlling the salesforce, including salesforce expense plans, salesforce audits, evaluating sales organization effectiveness, and controlling salesperson performance. It covers criteria for effective expense plans, types of plans, purposes of audits and the evaluation process. It also explains analyzing sales, costs, profits and productivity to evaluate effectiveness, and setting standards, reviewing performance, and taking actions to control salesperson performance. Finally, it discusses ethical, social and legal responsibilities of sales managers.
This presentation discusses Amul's distribution strategy. It provides details on Amul's products, supply chain management, and downstream and upstream distribution channels. Amul transports products from manufacturing units to depots to wholesalers to retailers. It also discusses the selection criteria for channel members, motivation strategies, evaluation methods, potential conflicts, and ways to increase cooperation among members. The presentation concludes with observations on Amul's strengths and suggestions for improving promotional activities and margins.
Ch6: Training, Motivating, Compensating, and Leading the Salesforceitsvineeth209
The document summarizes key aspects of training, motivating, compensating, and leading a salesforce. It discusses sales training processes including needs assessment, designing training programs, and evaluating training. It also outlines motivational theories and tools used to motivate salespeople, including financial and non-financial incentives. The document concludes by discussing objectives and considerations for designing an effective sales compensation plan.
This document discusses organizing and staffing a salesforce. It covers the basic types of sales organizations including line, line and staff, functional, and horizontal structures. It also discusses specialization within the sales organization based on geography, product, market, or combinations. Methods for determining optimal salesforce size like workload, sales potential, and incremental are presented. The major stages of the salesforce staffing process - planning, recruiting, selecting, hiring, and socialization - are outlined along with the key steps and considerations for each stage.
This document provides an introduction and overview of sales and distribution management. It discusses the evolution and importance of sales management, the role of sales managers, and types of sales positions. It also outlines the objectives, strategies, and tactics used in sales planning and highlights emerging trends in the field. Finally, it emphasizes the critical linkage between sales management and distribution management in achieving sales goals.
Retail Brand Alternatives, National Brands, Manufacturer’s Brands, Licensed Brands, Private-Label Brands, store brands, house brands, own brands, Premium Private-Label Brands, Copycat Brands, Exclusive Brands, Generic Brands, National Brands or Private Brands?, Advantages of Private Labels, Drawbacks of Private Labels
This document discusses key elements of developing a retail strategy. It outlines why a retail strategy is important, including analyzing market requirements, outlining goals, differentiating from competitors, and coordinating efforts. It describes steps to develop a strategy, such as defining the target market and competitive advantages. Elements of a retail strategy are identified as the target market, retail format, competitive advantages, and criteria for selecting markets. Sources of competitive advantage and defining the organization's mission are also discussed.
1) Supply chain management involves managing the flow of materials, information, and finances between suppliers and customers. It aims to meet demand profitably through coordination across companies.
2) Traditional views of supply chains focused on transportation, inventory, and administrative costs, which combined accounted for over 10% of GDP in the 1990s. Effective supply chain strategies can save billions by reducing these costs.
3) Supply chain management strategies must fit a company's overall business strategy regarding product development, marketing, and operations to be effective. Strategic fit is achieved by understanding customer needs and matching supply chain capabilities accordingly.
This document discusses merchandise management in retail. It explains that merchandise management involves having the right products in the right quantities at the right locations, times, and prices. Key aspects of merchandise management include analysis of customer needs, planning product lines, acquiring inventory from vendors, handling inventory, and controlling spending. The roles of merchandisers and buyers are also outlined, such as forecasting, budgeting, guiding buyers, coordinating procurement teams, and assessing performance. Different approaches to buying are described for single stores, chains, and non-store retailers. The concept of lifestyle merchandising targeting specific customer lifestyles is also introduced.
This document discusses strategic planning, sales forecasting, and budgeting. It defines strategic planning as deciding on long-term objectives and strategies. Sales strategies are developed from marketing strategies using various promotional and pricing tactics. Forecasting can use qualitative methods like executive opinions or quantitative methods like regression analysis. The sales budget estimates sales volumes and expenses for planning, coordination, and control purposes.
The document discusses organizing and staffing a salesforce. It covers determining the optimal size of the salesforce using various methods like workload, sales potential, and incremental. It also discusses the major stages of staffing like planning, recruiting, selecting, hiring, and socializing. Planning involves establishing responsibilities, determining headcount needs, and outlining job requirements. Recruiting sources can be internal or external. Selection tools include screening resumes, applications, interviews, testing, references, and examinations.
The document discusses distribution management and marketing mix. It defines distribution channels and explains their role in providing customers access to products. It describes different types of distribution channels and intermediaries like wholesalers, retailers, distributors. It also discusses strategies for distribution intensity and factors to consider when developing an effective distribution strategy like customer service levels and key performance indicators.
The document discusses management of sales territories and quotas. It covers designing sales territories, assigning salespeople to territories, managing territorial coverage through routing, scheduling and time management tools. It also discusses objectives and types of sales quotas, methods of setting quotas and administering quotas. The key points are that territories consist of existing and potential customers assigned to a salesperson, quotas motivate salespeople and help evaluate performance.
The document provides an overview of sales and distribution management. It discusses the growing importance of sales and defines key concepts like personal selling, sales management, distribution management, and the relationship between sales objectives, strategies, and tactics. It also outlines the roles and skills of a sales manager, different sales positions, and emerging trends in the field. Distribution management plays a key supporting role in executing the plans developed by sales management.
Ch5: Organising and Staffing the Salesforceitsvineeth209
This chapter discusses organizing and staffing the salesforce. It covers key concepts like the types of sales organizations, specialization within the salesforce, and determining the optimal salesforce size. The major stages of the salesforce staffing process are also outlined, including planning, recruiting, selecting, hiring, socialization, and assimilation. Planning involves determining the number and type of salespeople needed. Recruiting activities seek to attract qualified candidates from internal and external sources. Selection tools to evaluate candidates include screening resumes, application forms, interviews, testing, reference checks, and physical examinations.
Introduction to Sales Management – The Sales Organization
– Determining Sales Related Marketing Policies – Sales
Functions and Policies – International Sales Management
– Personal Selling.
Sales Planning – Sales Budgets – Estimating Market
Potential and Forecasting Sales – Sales Quotes – Sales &
Cost Analysis, Sales Force Management: Hiring and Training Sales
Personnel – Time and Territory Management –Compensating Sales Personnel – Motivating the Sales Force
– Leading the Sales Force – Evaluating Sales Force
Performance.
Marketing Logistics - Distribution as Marketing Mix
Element – Distribution Resource Planning – Marketing
Channel Integration – Channel Management – Nature of
Marketing Channels – Evaluating Channel Performance-
Specialized Techniques in selling – Tele Marketing – Web
Marketing
Distribution Cost Analysis: Managing Channel Conflicts –
Channel Information Systems – Wholesaling – Retailing –
Ethical And Social Issues in Sales and Distribution
Management.
Ch8: Distribution Management & The Marketing Mixitsvineeth209
Distribution channels help companies reach more customers by providing products in convenient locations and times for purchase. They create utility for consumers. A company's distribution strategy considers service levels, objectives, network structure, policies, performance metrics and critical factors for success. It aims to efficiently meet customer expectations through intermediaries like distributors, wholesalers and retailers while achieving sales and profitability targets. Effective distribution is key to a company's market presence and requires commitment from top management and channel partners.
Evaluating channel performance can be done from both a macro/societal perspective and micro/managerial perspective. Key metrics for measuring channel performance include effectiveness, efficiency, and equity. Effectiveness measures how well a channel provides required services. Efficiency measures output to input ratios like productivity and profitability. Equity measures how well a channel serves disadvantaged markets. Financial analysis tools like contribution margin analysis and net profit approaches can be used to evaluate relative profitability and performance of different marketing channels, territories, and products. The strategic profit model is also used to determine return on investment and relates income, expenses, assets, and leverage.
This document discusses sales, distribution channels, and distribution management. It defines key distribution concepts like market dimensions, sales techniques, the role of the sales force, and the selling process. It also explains different types of distribution channels including intensive, selective, and exclusive distribution. Finally, it discusses vertical marketing systems and considerations for planning distribution channels.
This document discusses training, motivating, compensating, and leading the salesforce. It covers key topics such as:
- The sales training process including assessing needs, designing programs, and evaluating impact. Various training methods are described.
- The importance of motivating salespeople and different motivational theories and tools that can be used.
- The objectives and steps for designing an effective sales compensation plan, including examining job descriptions, setting objectives, and developing the compensation mix. Common plan types like salary, commission, and combination plans are explained.
- The role and skills of sales leadership in supervising and guiding the salesforce. Methods for evaluating training programs and sales performance are also outlined.
The document discusses various aspects of controlling the salesforce, including salesforce expense plans, salesforce audits, evaluating sales organization effectiveness, and controlling salesperson performance. It covers criteria for effective expense plans, types of plans, purposes of audits and the evaluation process. It also explains analyzing sales, costs, profits and productivity to evaluate effectiveness, and setting standards, reviewing performance, and taking actions to control salesperson performance. Finally, it discusses ethical, social and legal responsibilities of sales managers.
This presentation discusses Amul's distribution strategy. It provides details on Amul's products, supply chain management, and downstream and upstream distribution channels. Amul transports products from manufacturing units to depots to wholesalers to retailers. It also discusses the selection criteria for channel members, motivation strategies, evaluation methods, potential conflicts, and ways to increase cooperation among members. The presentation concludes with observations on Amul's strengths and suggestions for improving promotional activities and margins.
Ch6: Training, Motivating, Compensating, and Leading the Salesforceitsvineeth209
The document summarizes key aspects of training, motivating, compensating, and leading a salesforce. It discusses sales training processes including needs assessment, designing training programs, and evaluating training. It also outlines motivational theories and tools used to motivate salespeople, including financial and non-financial incentives. The document concludes by discussing objectives and considerations for designing an effective sales compensation plan.
This document discusses organizing and staffing a salesforce. It covers the basic types of sales organizations including line, line and staff, functional, and horizontal structures. It also discusses specialization within the sales organization based on geography, product, market, or combinations. Methods for determining optimal salesforce size like workload, sales potential, and incremental are presented. The major stages of the salesforce staffing process - planning, recruiting, selecting, hiring, and socialization - are outlined along with the key steps and considerations for each stage.
This document provides an introduction and overview of sales and distribution management. It discusses the evolution and importance of sales management, the role of sales managers, and types of sales positions. It also outlines the objectives, strategies, and tactics used in sales planning and highlights emerging trends in the field. Finally, it emphasizes the critical linkage between sales management and distribution management in achieving sales goals.
Retail Brand Alternatives, National Brands, Manufacturer’s Brands, Licensed Brands, Private-Label Brands, store brands, house brands, own brands, Premium Private-Label Brands, Copycat Brands, Exclusive Brands, Generic Brands, National Brands or Private Brands?, Advantages of Private Labels, Drawbacks of Private Labels
This document discusses key elements of developing a retail strategy. It outlines why a retail strategy is important, including analyzing market requirements, outlining goals, differentiating from competitors, and coordinating efforts. It describes steps to develop a strategy, such as defining the target market and competitive advantages. Elements of a retail strategy are identified as the target market, retail format, competitive advantages, and criteria for selecting markets. Sources of competitive advantage and defining the organization's mission are also discussed.
1) Supply chain management involves managing the flow of materials, information, and finances between suppliers and customers. It aims to meet demand profitably through coordination across companies.
2) Traditional views of supply chains focused on transportation, inventory, and administrative costs, which combined accounted for over 10% of GDP in the 1990s. Effective supply chain strategies can save billions by reducing these costs.
3) Supply chain management strategies must fit a company's overall business strategy regarding product development, marketing, and operations to be effective. Strategic fit is achieved by understanding customer needs and matching supply chain capabilities accordingly.
This document discusses merchandise management in retail. It explains that merchandise management involves having the right products in the right quantities at the right locations, times, and prices. Key aspects of merchandise management include analysis of customer needs, planning product lines, acquiring inventory from vendors, handling inventory, and controlling spending. The roles of merchandisers and buyers are also outlined, such as forecasting, budgeting, guiding buyers, coordinating procurement teams, and assessing performance. Different approaches to buying are described for single stores, chains, and non-store retailers. The concept of lifestyle merchandising targeting specific customer lifestyles is also introduced.
This document discusses strategic planning, sales forecasting, and budgeting. It defines strategic planning as deciding on long-term objectives and strategies. Sales strategies are developed from marketing strategies using various promotional and pricing tactics. Forecasting can use qualitative methods like executive opinions or quantitative methods like regression analysis. The sales budget estimates sales volumes and expenses for planning, coordination, and control purposes.
The document discusses organizing and staffing a salesforce. It covers determining the optimal size of the salesforce using various methods like workload, sales potential, and incremental. It also discusses the major stages of staffing like planning, recruiting, selecting, hiring, and socializing. Planning involves establishing responsibilities, determining headcount needs, and outlining job requirements. Recruiting sources can be internal or external. Selection tools include screening resumes, applications, interviews, testing, references, and examinations.
Ch2: Personal Selling: Preparation and Processitsvineeth209
This document discusses the key steps in the personal selling process. It outlines the learning objectives of understanding psychology in selling, the buyer's decision process, buying situations, and the sales process. The sales process involves prospecting, pre-approach planning, approaching the buyer, presenting and demonstrating the product, overcoming objections, closing the sale, following up, and potentially negotiating. The document also explains different buying processes for households and businesses, as well as buying situations. It emphasizes understanding the buyer's needs and using different sales presentation methods and styles.
The document outlines the framework and process for developing an advertising plan and budget. It begins with a situation analysis to understand the brand, market, and competitors. This informs the marketing programme which determines the role of various marketing mix elements including advertising. The advertising plan includes setting objectives, messages, media strategy and tactics, and implementation. Budgeting approaches can be top-down like percentage-of-sales or bottom-up based on specific communication tasks. Models like DAGMAR provide frameworks for setting measurable objectives at different stages from awareness to action.
Ch1: Introduction to Sales and Distribution Managementitsvineeth209
This document provides an overview of sales and distribution management. It discusses the evolution and importance of sales management, defines sales management, and outlines the roles and skills of a modern sales manager. It also describes the relationship between sales objectives, strategies, and tactics, emerging trends in sales management, and the linkage between sales and distribution management.
Sales and distribution management involves planning, staffing, training and controlling resources to achieve sales force goals effectively and efficiently. The modern sales manager plays a strategic role in forecasting, managing the sales force, and overseeing multiple sales channels. Personal selling involves face-to-face interactions between sellers and customers to provide service, sell products, maintain sales records, and achieve targets. Distribution management refers to efficiently moving goods from manufacturers to consumers through various channels that may include wholesalers, retailers, and agents.
Sales organisation sales force management(2)Gurjit
The document discusses organizing and staffing a salesforce. It covers different types of sales organizations including line, line and staff, functional, and horizontal organizations. It also discusses specialization within sales organizations based on geography, products, markets, and combinations. The size of the salesforce can be determined using workload, sales potential, and incremental methods. Staffing the salesforce is a multi-stage process involving planning, recruiting, selecting, hiring, and socializing. Planning involves determining needs, job analysis and descriptions. Recruiting sources can be internal or external. Selection tools include screening, interviews, testing, and reference checks.
Ch4: Management of Sales Territories and Quotasitsvineeth209
The document discusses managing sales territories, quotas, and performance. It covers designing sales territories, assigning salespeople, and managing territorial coverage through routing, scheduling, and time management tools. It also discusses the different types of sales quotas used, including sales volume, financial, and activity quotas. Finally, it outlines several methods for setting sales quotas, including using total market estimates, territory potential, past sales experience, and executive judgement. Companies should select a few realistic quotas and administer them flexibly.
The document discusses strategic planning, sales forecasting, and budgeting. It defines strategic planning as deciding on long-term objectives and strategies. Marketing plays a key role in strategic planning by providing market information and developing competitive advantages. Sales strategy is developed from marketing strategy through marketing mix and promotional strategies. There are qualitative and quantitative methods for sales forecasting, including executive opinion, regression analysis, and moving averages. The sales budget estimates sales volume and expenses for purposes of planning, coordination, and control.
This document discusses system support in distribution management. It explains that there are two levels of system support: systems that support operations and systems that support decision making. It also discusses how ERP software packages can integrate information across functions by preparing a brief of integration needs. Previously, functions like stock records and sales records were managed separately without interconnection, but ERP allows for cross-functional integration of information. The overall aim of system support is to reduce costs, improve customer service, and make more accurate decisions through integrated data.
This document provides an overview of industrial marketing. It defines industrial marketing as marketing products and services to business organizations to help them produce goods and services or operate their enterprises more effectively. The key differences between industrial and consumer marketing are discussed. Industrial marketing focuses on satisfying the unique needs of business customers through partnerships between buyers and sellers. Technical aspects tend to be more important in industrial marketing decisions compared to consumer marketing. The goals of industrial marketing include understanding customer needs and helping them achieve their organizational goals through product exchanges and information sharing.
Distribution channels help companies reach customers by making products available for consumption. They include intermediaries like distributors, wholesalers and retailers. Companies must decide on their distribution intensity, structure their distribution network, and implement policies and procedures to govern channel members. Key performance indicators are used to measure the effectiveness of the distribution strategy and critical success factors like commitment, fairness and customer service are important for the strategy's success.
Ch3: Planning, Sales Forecasting, and Budgetingitsvineeth209
Strategic planning involves deciding an organization's long-term objectives and strategies. Sales strategy is developed from marketing strategy through marketing mix and promotional strategies. There are two approaches to sales forecasting - top-down breaks forecasts down from the market level while bottom-up builds forecasts up from individual salespeople. Sales budgets estimate sales volume and expenses for planning, coordination and control purposes.
The steel industry in India is currently an oligopoly with the top 7 companies controlling over 50% of the market. Concentration is expected to increase as industry growth rates of 11.3% are projected to 2027, which could allow major players to gain more market share. Costs are currently similar between companies due to comparable access to raw materials and technology. However, future adoption of different production techniques may introduce some cost differentials. Rivalry in the industry is high as products are largely undifferentiated, customers face low switching costs between producers, and prices are very similar between companies.
This document provides an overview of retailing and retail management strategies. It defines retailing as any business selling directly to consumers, and notes key retail functions like creating time/place/possession utilities. The document outlines global and Indian retail scenes and trends, including the growth of organized retail. It also describes types of retailers, factors influencing customer choice, and retail formats/trading areas. Finally, it discusses retail management strategies around positioning, merchandising, customer service, communication, pricing, and performance measurement. Franchising and e-tailing models are also summarized.
The document discusses strategies used by various successful retail companies. It describes 3-4 key strategies used by each of the following retailers:
1. Walmart - cost advantage, IT/RFID technology, strong distribution and inventory systems
2. McDonald's - consistent low-priced food, global real estate strategy, dedicated Indian supply chain
3. Café Coffee Day - retail cafes, focus on customer experience not just coffee, local supply chain
4. Pantaloons - cost control through manufacturing and logistics, quality, fast delivery, flexibility
5. Bata - retail chain expansion, reinvented stylish products, quality footwear, multi-format stores.
Business Model Innovation Big Bazaar Case Final Presentation Jodi Liu
The document discusses the business models of traditional Indian retailers and Big Bazaar, an organized retailer. Some key differences highlighted include:
- Big Bazaar offers a wider selection of products under one roof, fixed pricing, return policies and in-store amenities not available at traditional small stores.
- Traditional retailers target mass markets with an emphasis on cost, while Big Bazaar focuses on middle/upper class customers and families.
- Barriers to entry for modern retailers in India included the difficulty acquiring large real estate, poor infrastructure, and government policies favoring domestic retailers until 2009.
Retailing from three different perspectives, Characteristics, Activities performed by Retailers, Organized Retail Trade, Advantages of organized retail, Types of Retailing, Store & Non-Store Retailing, Internet Retailing, Catalog Retailing (Mail-order retailing), Direct Selling (door-to-door retailing), Tele Selling, TV Home Shopping, Vending Machines (Automatic Retailing), Retail Formats, On the basis of Merchandise Offered or Store Strategy Mix, Super Market, Hyper Market, Shopping Mall, Form of Ownership, Independent, Retal, Franchising, Leased Department, Co-Operative Outlet
This document provides an overview and introduction to the world of retailing. It defines key terms like retailing and retailer. It discusses the differences between retail and wholesale operations. It also outlines the value retailers provide to both consumers and manufacturers. Retailers add value by breaking bulk, holding inventory, providing assortment and offering services. The document notes that retailing is a dynamic, high-tech industry with many career opportunities beyond just store-level jobs. It also emphasizes that retailers play an important role in the distribution channel.
The document discusses various types of retail store locations including freestanding/isolated stores, business districts, and shopping centers. It describes factors to consider when selecting a retail location such as market size and demographics, competition, transportation access, and property costs. The document also outlines different types of shopping centers like neighborhood centers that serve local areas and regional centers that attract customers from a wider region. Key decisions for retailers include assessing the trade area, traffic patterns, and estimating whether a location can generate sufficient sales.
The document discusses the evolution and current state of retailing in India. It notes that retailing in India is highly unorganized, fragmented, and has a rural bias. Most stores are small, family-owned shops. However, organized retailing is growing, with the emergence of various formats like malls, department stores, and specialty stores. Retailers are also experimenting with new formats. While retailing is advancing, India still lacks large, organized retailers on the scale of Western countries. The industry remains at a nascent stage of development.
This document provides an overview of mass retailers and their functions. It begins with introducing the members of Group 7 and providing definitions and background on retailing. It then discusses distribution channels and the need for them. The document outlines different types of channels and describes mass retailers and how they differ from typical retailers. It proceeds to list and describe various types of mass retailers and their key functions, which include reasonable discounts, bulk transactions, emphasis on brands and standards, customer service, variety, and bargaining power with suppliers. The retail product lifecycle and functions of mass retailers like qualified staffing are also summarized.
MODULE 1 - RETAIL AND SUPPLY CHAIN MANAGEMENT (1).pptxLakshmiKVN1
Retailing and supply chain management module discusses retailing management. It defines retailing as activities that add value to products for final consumer use. Retailing involves sorting, holding stock, and providing additional services. The evolution of retailing in India saw the emergence of organized retailers in the 1990s due to liberalization. Retail organization structure involves specifying tasks, grouping them into jobs, and developing organizational charts. Strategic retail planning follows developing a retail value proposition and deciding the retail mix.
The document provides an overview of the Retail Course 201. It discusses the size and structure of retail in India compared to other parts of the world. It then covers the history and emergence of organized retail formats in India like hypermarkets, supermarkets, and malls. The document also discusses concepts like trading area analysis, site selection factors, and the importance of product, price, place, and promotion for retail. The course aims to help students understand the process of planning, setting up, and managing a retail store.
The document discusses different types of retail classifications including organized retailers like department stores, hypermarkets, and supermarkets as well as unorganized retailers like kirana stores. It also covers the evolution of retail in Pakistan from traditional formats to modern retailers. Finally, the document outlines factors that are increasing the importance of retail like the changing nature of products, media fragmentation, and a more discerning Pakistani consumer.
Wal-Mart was founded by Sam Walton in 1962 and has grown to be the largest retailer in the world. It employs over 1.6 million associates across over 3,700 stores in the US and 1,500 stores internationally. Wal-Mart's strategy has been to offer low prices every day. Its vision is to provide good quality and services to customers while remaining the market leader. Wal-Mart has a significant presence in the retail market in India as well through joint ventures. There is significant growth potential for retailers in India as modern retail makes up only 8% of the total $200 billion retail market.
Retail management involves promoting greater sales and customer satisfaction through understanding consumer behavior. Retailing includes selling goods and services for personal use. Retailers sort, break bulk, hold stock, provide additional services, act as communication channels, and facilitate transportation between wholesalers/suppliers and consumers. Factors influencing retail location include the range of merchandise, convenience, travel time, socioeconomic factors, and family lifecycle stage. Setting up a retail business requires considering target markets, positioning strategy, merchandising, format, customer service, and communication.
This document provides an overview of Walmart's history and business model. It discusses how Sam Walton opened the first Walmart store in 1962 in small towns ignored by other retailers. It details Walmart's expansion across the US and pioneering use of technology. The document also examines Walmart's expansion into new retail formats like Sam's Club and entry into international markets. Several questions are posed about the sources of Walmart's competitive advantage, its ability to transfer advantages to new sectors and countries, and sustainability of its advantages against competitors.
The document provides an overview of retailing and sales management. It discusses key concepts like what constitutes retailing, the functions of retailers, different retail formats organized by ownership, merchandise, and store type. It also covers topics like evolution of Indian retail, private label brands, theories of retail development, consumer behavior and decision making, merchandising, and the role of merchandisers.
Retail formats refer to the types of retail stores that are classified based on factors like ownership, merchandise offered, location, and store size. The main store formats include convenience stores, supermarkets, hypermarkets, specialty stores, department stores, discount stores, and warehouse stores. Stores are also classified as being store-based which require a physical location, or non-store which do not have a physical presence and include formats like direct marketing, vending machines, and e-commerce. Within store-based formats, locations can be high street, destination, or convenience based on their intended draw of customers.
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The document provides information about a retail management course. It includes a famous quote about retailing, course details such as objectives, content, and evaluation. The content is divided into 4 modules which cover topics like customer behavior, retail strategies, supply chain management, and contemporary issues. References and the lesson schedule for the first module on introduction to retail management are also provided.
The document provides an overview of the global and Indian retail industry. It discusses key segments in Indian retail like fashion, food and grocery, and formats like supermarkets, department stores, and specialty stores. Organized retail is growing rapidly in India and will reach 10% of the total retail market by 2010. The case study focuses on global retail giant Walmart, discussing its founding, business model centered around "everyday low prices", global presence and strategies. It indicates Walmart sees potential to grow in India through a joint venture with Bharti Enterprises to explore retail opportunities while respecting local markets.
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2) Retailers are classified based on ownership, operations, services, merchandising, and location of sales.
3) Successful retailers adapt to environmental factors like the economy, technology, and demographics.
4) Large retailers are increasingly dictating terms to suppliers through private labels, data analysis, and inventory management.
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2. Learning Objectives
• Understand what retailing is all about
• Global retail scene and trends
• Indian retail scene and trends
• Types of retailers
• Trade and retail formats, trading area
• Retail management strategies and operations
• Measuring retail performance
• Franchising and e-tailing
• FDI in retail in India
SDM- Ch 10 Tata McGraw Hill Publishing 2
3. What is Retailing?
• Any business entity selling to consumers
directly is retailing – in a shop, in person, by
mail, on the internet, telephone or a vending
machine
• Retail also has a life cycle – newer forms of
retail come to replace the older ones – the
corner grocer may change to a supermarket
• Includes all activities involved in selling or
renting products or services to consumers for
their home or personal consumption
SDM- Ch 10 Tata McGraw Hill Publishing 3
4. Retailing
• Term retail derived from French word
‘retaillier’ meaning ‘to break bulk’
• Characteristics:
– Order sizes tend to be small but many
– Caters to a wide variety of customers. Keeps a
large assortment of goods
– Lot of buying in the outlet is ‘impulse’- inventory
management is critical
– Selling personnel and displays are important
elements of the selling process
– Strengths in ‘availability’ and ‘visibility’
– Targeted customer mix decides the marketing mix
of the retailer
SDM- Ch 10 Tata McGraw Hill Publishing 4
5. Retailing
• Retail stores are independent of the
producers – not attached to any of them
• A survey shows that only 35% of
supermarket purchases are pre-
planned. The rest are ‘impulse’- greatly
influenced by quality of the
merchandising efforts
SDM- Ch 10 Tata McGraw Hill Publishing 5
6. Functions of Retailers
• Marketing functions to provide
consumers a wide variety
• Helps create time, place and
possession utilities
• May add form utility (alteration of a
trouser bought by a customer)
• Helps create an ‘image’ for the products
he sells
SDM- Ch 10 Tata McGraw Hill Publishing 6
7. Functions of Retailers
• Add value through:
– Additional services – extended store
timings, credit, home delivery
– Personnel to identify and solve customer
problems
– Location in a bazaar to facilitate
comparison shopping
SDM- Ch 10 Tata McGraw Hill Publishing 7
8. How do Customers Decide on
a Retailer?
• Price
• Location
• Product selection
• Fairness in dealings
• Friendly sales people
• Specialized services provided
SDM- Ch 10 Tata McGraw Hill Publishing 8
9. Kinds of Retailers
Type of Characteristics
retailer
Specialty store Narrow product line with deep assortment – apparel,
furniture, books
Department Several product line in different departments – Shoppers
store Stop, Big Bazaar
Supermarket Large, low-cost, low-margin, high volume, self-service
operation with a wide offering
Convenience Small stores in residential areas, open long hours all
store days of the week – limited variety of fast moving
products like groceries, food
Discount store Standard merchandise sold at lower prices for low
margins - Subhiksha
SDM- Ch 10 Tata McGraw Hill Publishing 9
10. Kinds of Retailers
Type of Characteristics
retailer
Corporate More outlets owned and controlled by one firm – Globus
chains
Voluntary chain Wholesaler sponsored group of independent retailers
Retailer co-ops Independent retailers with centralized buying operations
and common promotions
Consumer co- Co-op societies of groups of consumers operating their
ops own stores – farmers, industrial workers etc
Franchise Contractual arrangement between the producer and
organisation retailers – selling products exclusively – Kemp Toys
SDM- Ch 10 Tata McGraw Hill Publishing 10
11. Retailing Scene - Global
• Well organised in most developing countries
• Global biz worth about $ 6.6 trillion
• Retail market size is $2325 bln in the US and
$ 280 bln in India.
• Organised retail is 85% in the US and about
5% in India. China 20% Taiwan 80%
• Retail sector is part of the service sector and
if organised, is a major contributor to a
country’s GDP
SDM- Ch 10 Tata McGraw Hill Publishing 11
12. Retailing Scene - Global
• High potential for generating employment – 2
mln retail outlets in the US employ about 22
mln people
• Retail sector contributes significantly to the
growth of the economy
• Organised retail is becoming powerful over its
suppliers (who may also be big corporates)
• Producers of goods taking action to protect
their turf
SDM- Ch 10 Tata McGraw Hill Publishing 12
13. Retailers’ Strengths
• Choice of merchandise is their prerogative –
put pressure on producer suppliers
• Many new products on offer. Can charge
penalty if products do not do well
• New developments in IT help them run
operations optimally and keep track of loyal
customers. Also helps them identify profitable
store locations.
SDM- Ch 10 Tata McGraw Hill Publishing 13
15. Salient Features
• Estimated over 12 mln retail outlets with
most of them in the unorganized sector
• 10 outlets per 1000 population
• Average per capita space – 2 sq ft
compared to 15 sq ft in the US
• Organized retail is estimated between 4
to 7% but growing fast
SDM- Ch 10 Tata McGraw Hill Publishing 15
16. Organized Retail
• Growing trends attracting global players
• Some of them like Wal Mart and Tesco have
already created buying hubs here.
• In Jan 2006, GOI has permitted FDI upto 51%
in single brand retail outlets
• Well known brands like Marks & Spencer,
Reebok, Levis, Adidas, Nike, Reebok,
McDonalds, KFC, Swarowski are already in
India.
SDM- Ch 10 Tata McGraw Hill Publishing 16
17. Organized Retail - Features
• Sponsored by companies or corporate groups
• Large formats like supermarkets, department
stores and now hypermarkets
• Right ambience to make shopping a pleasure
• Use latest technology for customer care and
supply chain management.
• Large employment potential
• Effectively manage operating costs
• Offer consumers value for money
SDM- Ch 10 Tata McGraw Hill Publishing 17
18. Retailing Trends - India
• Consumer wants more benefits without
additional costs
• Rising income levels – cheap no longer
works, but ‘value for money’
• Explosion of communication channels
influences choices of products
• Increased literacy has made consumer more
conscious of his bargaining power
• Growing number of urban nuclear families
SDM- Ch 10 Tata McGraw Hill Publishing 18
19. Retailing Trends - India
• Influence of retailer increasing – assortment
plus other facilities offered
• Rural consumers want the same things and
as their urban counterparts and are willing to
pay for it
• Better organized supply chains to cater to a
large number of outlets in different locations
• Improved infrastructure helping the
consumers
• Bigger volumes help in economies of scale
SDM- Ch 10 Tata McGraw Hill Publishing 19
20. FDI in Retail in India
• MNC players showing interest to operate in
India
• Resistance from the existing players
• So far only cash-and-carry permitted
• Franchisees also allowed – KFC, Tag Heuer,
Swatch, McDonalds
• Jan 2006, 51% FDI permitted in single brand
businesses:
– All products should be under the same brand
name
– Same brands should be sold internationally
– Branding at the time of manufacturing itself
SDM- Ch 10 Tata McGraw Hill Publishing 20
21. Trade / Retail Format
• Range of goods and customer service
dimensions determine the ‘format’. Elements
distinguish between stores and include:
– Store ambience. (Kemp Fort)
– Saving in time for shopping – interiors of practical
design – reduce time for search and pick-up of
goods
– Location
– Physical characteristics – external appearance,
arrangement of goods
• All these are parts of the positioning strategy
and influence the ‘footfalls’ to the store.
SDM- Ch 10 Tata McGraw Hill Publishing 21
22. Categories of Shoppers (1)
• Identified by Cook & Walters
• Task focused shopper – visits the store to
buy specific things he has planned for
– Convenience, minimum time, easily accessible
goods, pleasing store format
– Grocery shopping is an example
• Leisure shopper – more interested in the
ambience and environment
– Has plenty of time, wants to have a good time
while shopping
– Lifestyle stores are examples
SDM- Ch 10 Tata McGraw Hill Publishing 22
23. Category of Shoppers (2)
• Convenience goods (low value): probable
gain from shopping and making comparisons
is small compared to the time, effort and
mental discomfort required in the search
-toothpaste
• Shopping goods (high value): gain is large -
refrigerator
• Specialty goods: clearly distinguished by
brand preferences – Maruti Zen car or Tag-
Heuer watch
SDM- Ch 10 Tata McGraw Hill Publishing 23
Trading area…
24. Trading Area
• Catchment area from where most of the
customers of a retail store come
– Corner grocery store caters to the locality in which
it is situated
– Discount stores have a wider area. Subhiksha
locations for consumers in 2 km radius
– Specialty stores have a much wider trading area –
MTR, Shoppers’ Stop etc
• Trading area increases with the size of the
store and the variety it offers
SDM- Ch 10 Tata McGraw Hill Publishing 24
25. Retail Strategy
• Positioning of the retailer
• Merchandising
• Customer service
• Customer communication
SDM- Ch 10 Tata McGraw Hill Publishing 25
26. Positioning Strategy
• Wide range with a high value add –
Lifestyle brand of stores
• Limited range but a high value add –
Tanishque jewelry store
• Limited range with a limited value add –
Bata stores
• Wide range of goods but a limited value
add – a Food World outlet
SDM- Ch 10 Tata McGraw Hill Publishing 26
27. Merchandising
• A set of activities involved in acquiring goods
and services and making them available at
the places, times and prices and the quantity
that enable a retailer to reach his goals
• The most critical function in retail
• Directly effects the revenue and profitability of
the store
• Also takes into account the assortment of
goods and their quality
SDM- Ch 10 Tata McGraw Hill Publishing 27
28. Customer Service Strategy
• Developed to create ‘stickiness’ in customers
• Personal data collected using IT – including
purchasing practices and preferences
• Customer loyalty programs planned
• Create ‘customer’ delight
• Location strategy to give competitive
advantage
• Understanding the buying profile of the
customers
Communication …
SDM- Ch 10 Tata McGraw Hill Publishing 28
29. Customer Communication
• The manner in which the retailer makes
himself known to his customers. Has two
parts to it:
– The messages which the retailer sends to his
customers and prospects
– The word of mouth support which satisfied
customers give to the retailer by talking to others
• Retailer communicates about:
– Announcing the opening of a store
– Promotions running in the store
– Additional facilities introduced by the stores
SDM- Ch 10 Tata McGraw Hill Publishing 29
30. Pricing Strategy
• Premium and indicating high value
• Reasonable pricing with good value
• Low pricing but high value for money
• All strategies are focused on giving
value to the customer
Product differentiation….
SDM- Ch 10 Tata McGraw Hill Publishing 30
31. Product Differentiation
• Feature exclusive national brands not
available in competing retailers – unlikely
• Exclusivity of products – specialty stores
• Mostly private labels – Westside
• Feature, big, specially planned
merchandising events – Kemp Fashion sows
• Introduce new products before competition -
-again unlikely
Performance measures…
SDM- Ch 10 Tata McGraw Hill Publishing 31
32. Retail Performance Measures
• Gross margin return on inventory
investment – GMROI
– Gross margin multiplied by ratio of sales to
inventory (50%*4= 200%)
• Gross margin per full time equivalent
employee
• Gross margin per square foot
SDM- Ch 10 Tata McGraw Hill Publishing 32
33. Franchising
• Franchisor is the firm which wants to
sell its goods or services
• Franchisee is the firm or group that are
willing to sell the products or services
on behalf of the franchisor
– The first party gives advice and help to the
second to find good locations, blue prints
for a store, financial, marketing and
management assistance
Franchisor benefits…
SDM- Ch 10 Tata McGraw Hill Publishing 33
34. Benefits to Franchisor
• Faster expansion
• Local franchisee pays lower advertising
rates than a national firm
• Owners motivated to work more hours
than mere employees
• Local taxes and licenses are
responsibility of franchisees
Franchisee benefits…
SDM- Ch 10 Tata McGraw Hill Publishing 34
35. Benefits to Franchisee
• Quick recognition among potential customers
• Management training provided by principal
• Principal may buy ingredients and supplies
and sell to franchisee at lower prices
• Financial assistance
• Promotional aids, in-store displays etc
Electronic channels…
SDM- Ch 10 Tata McGraw Hill Publishing 35
36. Retailing on the Internet
• Unlimited assortment
• Items may not be on hold – someone has to
deliver the product – delays
• No product touch or feel
• More info makes the customer a better
shopper
• Comparison shopping possible
• Consumer has to plan purchases ahead
• No need to handle cash – payment can be
on-line
• Shopping is 24X7
SDM- Ch 10 Tata McGraw Hill Publishing 36
37. E-tailing Issues
• Logistics support to selling
• Payment gateway
• Customer product returns
• Conflicts with Brick &Mortar – overcome
by selling separate products
FDI in retail….
SDM- Ch 10 Tata McGraw Hill Publishing 37
38. Key Learnings
• Any business selling / renting a product or
service to a consumer is retailing
• A consumer selects a retailer based on price,
location, merchandise selection, fairness in
dealings, helpful sales people and other
services
• Organized retail is growing strong and
negotiating better terms from producer
suppliers
• In India, upto 51% foreign investment is
permitted in single brand businesses
SDM- Ch 10 Tata McGraw Hill Publishing 38
39. Key Learnings
• Format defines the physical features of the
store and its service
• Trading area is the catchment area from
where the customers of store come from
• Retail strategy is built on positioning, product
offerings, merchandising and communication
• Retail performance is measured by utilisation
of space, inventory and manpower
• E-tailing is buying goods on the Internet
SDM- Ch 10 Tata McGraw Hill Publishing 39