DON HONORIO VENTURA STATE UNIVERSITY

Villa de Bacolor, Bacolor, Pampanga

RETAIL
MANAGEMENT
Introduction to
the World of
Retailing
RICHARD S.
JIMENEZ,ChBA,DBA
Instructor
Guiding Question: 1
1. What is Retailing?

2. What do retailers do?

3. Why is retailing important in our society?

4. What career and entrepreneurial opportunities does retailing offer?

5. What types of decisions do retail manager make?

Levy, Michael & Weitz, Barton A, Retailing Management 7th edition International edition McGraw-Hill Education Asia. Philippines.2009
What is Retailing? 1

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

Levy, Michael & Weitz, Barton A, Retailing Management 7th edition International edition McGraw-Hill Education Asia. Philippines.2009
A Retailer’s Role in a Supply Chain 2

Levy, Michael & Weitz, Barton A, Retailing Management 7th edition International edition McGraw-Hill Education Asia. Philippines.2009
Why are retailers
needed?
Levy, Michael & Weitz, Barton A, Retailing Management 7th edition International edition McGraw-Hill Education Asia. Philippines.2009
How Retailers Add Value 3
Retailers Create Value
• Breaking Bulk

• Breaking Bulk
-Buy it in quantities customers want

1 -Buy it in quantities customers want

• Holding Inventory

• Holding Inventory
-Buy it at a convenient place when you want it

2 -Buy it at a convenient place when you want it

• Providing Assortment
3 -Buy other products at the same time
• Offering Services
4 -See it before you buy, get credit, layaway
Levy, Michael & Weitz, Barton A, Retailing Management 7th edition International edition McGraw-Hill Education Asia. Philippines.2009
Why is retailing important
in our society?

Levy, Michael & Weitz, Barton A, Retailing Management 7th edition International edition McGraw-Hill Education Asia. Philippines.2009
Social and Economic Significance
of Retailing 4

1 • Social Responsibility

2 • Retail Sales

3 • Employment

4 • Global Retailers

Levy, Michael & Weitz, Barton A, Retailing Management 7th edition International edition McGraw-Hill Education Asia. Philippines.2009
What Career and Entrepreneurial
Opportunities does retailing offer?

Levy, Michael & Weitz, Barton A, Retailing Management 7th edition International edition McGraw-Hill Education Asia. Philippines.2009
Opportunities in Retailing 5

1 • Management opportunities

2 • Entrepreneurial opportunities

Levy, Michael & Weitz, Barton A, Retailing Management 7th edition International edition McGraw-Hill Education Asia. Philippines.2009
What types of decisions
do retail manager make?

Levy, Michael & Weitz, Barton A, Retailing Management 7th edition International edition McGraw-Hill Education Asia. Philippines.2009
The Retail Management Decision Process 6
1 ⮚ Understand the World of Retailing – Section I
1. Macroenvironment
• technological, social and
ethical/political factors.
• Competitors
2. Microenvironment
• Customer

Levy, Michael & Weitz, Barton A, Retailing Management 7th edition International edition McGraw-Hill Education Asia. Philippines.2009
The Retail Management Decision Process 7
2 ⮚ Developing a Retail Strategy – Section II
1. Retail strategy – A statement that indicates
⮚ The target market toward which a
retailer plans to commit its resources.
⮚ The nature of the retail offering that the
retailers plans to use to satisfy the
needs of the target markets, and
⮚ The bases upon which the retailer will
attempt to build a sustainable
competitive advantage over competitors
Levy, Michael & Weitz, Barton A, Retailing Management 7th edition International edition McGraw-Hill Education Asia. Philippines.2009
The Retail Management Decision Process 8
⮚ Developing a Retail Strategy – Section II
2 2. Strategic Decision Areas
- the key strategic decision areas for a
firm involve determining its target
market, financial status, location,
organizational and human resources
structure, information system, supply
chain organization and customer
relationship management strategies
Levy, Michael & Weitz, Barton A, Retailing Management 7th edition International edition McGraw-Hill Education Asia. Philippines.2009
The Retail Management Decision Process 9
⮚ Implementing the Retail Strategy – Sections III
3 and IV

Retail Mix the combination of factors used by a retailer

to satisfy customer needs and influence their purchase
decisions.

The elements in the retail mix:

• Merchandise and services offered
• Pricing
• Advertising and promotions
• Store design and location, and
• Visual merchandizing

Levy, Michael & Weitz, Barton A, Retailing Management 7th edition International edition McGraw-Hill Education Asia. Philippines.2009
The Retail Management Decision Process 10

Levy, Michael & Weitz, Barton A, Retailing Management 7th edition International edition McGraw-Hill Education Asia. Philippines.2009
Thank you!