Scribd
Upload
44 views

Traditional Retail Function

This document discusses the traditional functions of retail. It outlines several key functions including: 1) Creating an assortment of goods and services from many categories to make shopping easier for consumers. 2) Breaking bulk by purchasing goods in large quantities and breaking them down into smaller portions for consumers. 3) Bridging geographical and temporal gaps between manufacturers and customers. 4) Additional functions include carrying out transactions, product-related services, and providing efficiency benefits as intermediaries between producers and consumers.

Uploaded by

Nicole Ann Cardenas
Copyright
© © All Rights Reserved
Available Formats
Download as DOCX, PDF, TXT or read online on Scribd
44 views

Traditional Retail Function

This document discusses the traditional functions of retail. It outlines several key functions including: 1) Creating an assortment of goods and services from many categories to make shopping easier for consumers. 2) Breaking bulk by purchasing goods in large quantities and breaking them down into smaller portions for consumers. 3) Bridging geographical and temporal gaps between manufacturers and customers. 4) Additional functions include carrying out transactions, product-related services, and providing efficiency benefits as intermediaries between producers and consumers.

Uploaded by

Nicole Ann Cardenas
Copyright
© © All Rights Reserved
Available Formats
Download as DOCX, PDF, TXT or read online on Scribd
You are on page 1/ 2

Nicole Ann M.

Cardenas
BSBA 2-N
Retail Management

Traditional Retail Functions

Is all about these things:

First is the Catalogue of functions l, In order to respond to the core question of why shops
exist, rather than, in the worst case scenario, every all of the ultimate consumers who want
to purchase these are sold by the producer with their goods and services. Several listings or
catalogs of retail activities (also known as “distribution service outputs”) have been
suggested. The next explanation does not adhere to any a list of tasks that merchants often
carry out in the value chains is derived instead of a precise list of activities. A synthesis of
the sources described above between producers and consumers. In addition to that is the
Creating An assortment which explains Retailers provide value by providing a large
selection of goods and services, enabling customers to mix purchases from many categories
inside the same store and to select from a variety of goods within a single category. This
selection has a marketing purpose as well by making the consumer’s search easier. Due to
the variety, customers can manage the complexity of the product and compare the brands
and models of their preferred printers easily within the same store. Also the Breaking Bulk
retailers offer customers alternative lot sizes compared to manufacturers’ typical orders.
They purchase goods in bulk and break them down into portions based on consumption
habits. This function is often referred to as “Breaking bulk” in various languages, referring
to the wholesale level. Furthermore the Bridging space and time talks about geographical
and temporal gaps must be filled in the system that connects manufacturers and customers
be defeated. Another duty of merchants is to fill these gaps. Next is a Creating demand
retailers generate demand by conducting market analyses, recognizing consumer needs,
and communicating this knowledge to providers. They exhibit products in stores and
online, offering tailored advice and targeted costs. Both brick-and-mortar stores and online
retailers engage in promotional efforts to increase demand. The “informational market”
involves knowledge sharing, decentralization, and information on products, trends, and
technologies, allowing manufacturers to better understand and meet customer needs.
Additionally is the Carrying out transaction retailers manage transactions by ordering,
pricing, and paying for goods and services, often minimizing expenses. Products are sold for
a set price in physical or online stores, with price labels to prevent price haggling. The
purchasing contract is closed, and ownership is transferred to the customer at checkout.
However, the process can involve protracted talks, customization, and individual pricing.
Offering customers the option to pay later or in installments increases demand, but can be
challenging due to distance. Next one is the Product Related Service, Retailers have
traditionally been involved with the final putting together of goods in some industries, such
as the assembly of bicycles or furniture. Additionally, they offer the maintenance, repair,
and installation services that are increasingly being provided by merchants. For instance,
computer shops can actually construct and configure computers, whereas home
improvement shops can hire craftspeople to put the products together. Products that are
ready to cook and ready to eat are made ready for takeout in the food retail industry. By
offering value-added services, these services assist in setting the retailer’s offer apart from
that of rivals. The last is Efficiency Benefits of Intermediaries. Catalogs of retail activities
frequently represent the activities now performed by shops without defending their
existence. Although they frequently outsource the execution of these activities, retailers
frequently control many of them. Vertically integrated manufacturers may do these tasks
independently, but cutting away the middleman does not lower the price of the
intermediary services. As long as they are able to carry out specific distribution tasks more
effectively or efficiently than other institutions, retailers continue to be viable members of
the distribution channel. Vertical disintegration can lower production costs by
concentrating on particular tasks. By selling a variety of items from several manufacturers,
retailers can gain economies of scale for activities with large fixed costs. Additionally,
grouping products from many manufacturers into a product line can help buyers save
money on transaction expenses, notably search.

You might also like