Marketing Chapter 13

Supermarket

: A large, low cost, low margin, high volume, self service store that carries a wide variety of grocery and household products

Department store

: A retail organization that carries a wide variety of product lines - each line is operated as a separate department managed by specialist buyers or merchandisers

Service retailer

: A retailer whose product line is actually a service, including hotels, airlines, banks, universities, and many others

Superstore

: A store much larger than a regular supermarket that offers a large assortment of routinely purchased food products, nonfood items, and services

Retailer

A business whose sales come primarily from retailing

Wheel of retailing concept

A concept that states that new types of retailers usually begin as low margin, low price, low status operations but later evolve into higher priced, higher service operations, eventually becoming like the conventional retailers they replaces

Franchise

A contractual association between a manufacturer, wholesaler, or service organization (a franchisor) and independent business people (franchisees) who buy the right to own and operate one or more unites in the franchise system

Wholesaler

A firm engaged primarily in wholesaling activities

Category killer

A giant specialty store that carries a very deep assortment of a particular line and is staged by knowledgeable employees

Shopping Centre

A group of retail businesses planned, developed, owned, and managed as a unit

Discount store

A retail operation that sells standard merchandise at lower prices by accepting lower margins and selling a higher volume

Specialty store

A retail store that carries a narrow product line with a deep assortment within that line

Off-price retailer

A retailer that buys at less-than-regular wholesale prices and sells at less than retail. Examples are factory outlets, independents, and warehouse clubs

Convenience store

A small store, located near a residential area, that is open long hours seven days a week and carries a limited line of high turnover convenience goods

Broker

A wholesaler who does not take title to goods and whose function is to bring buyers and sellers together and assist in negotiation

Agent

A wholesaler who represents buyers or sellers on relatively permanent basis, performs only a few functions, and does not take title to goods

Wholesaling

All activities involved in selling goods and services to those buying for resale or business use

Retailing

All activities involved in selling goods or services directly to final consumers for their personal, nonbusiness use

Merchant wholesaler

An independently owned business that takes title to the merchandise it handles

Independent off-price retailer

An off price retailer that is either independently owned and run or is a division of a larger retail corporation

Factory Outlet

An off price retailing operation that is owned and operated by a manufacturer and that normally carries the manufacturer's surplus, discontinued, or irregular goods

Warehouse Club

An off-price retailer that sells a limited selection of brand name grocery items, appliance, clothing, and a hodgepodge of other goods at deep discounts to member who pay annual membership fees

Chain stores

Two or more outlets that are commonly owned and controlled

Manufacturers' sales branches and offices

Wholesaling by sellers or buyers themselves rather than through independent wholesalers