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Understanding Retailing Assignment Solution

Understanding Retailing Assignment Solution (GC0810)

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Table of Contents

Introduction.

P1 Describe the structure and organization of the retail sector

P2 Explain the process of distributing goods through different channels from the manufacturer to the customer

P3 Explain how focusing on the customer, by providing good customer service, is essential to retailing

P4 Identify the competitive factors in the retail environment a selected organization faces.

Conclusion.

References.

 

Introduction

As a junior journalist for the local newspaper, my responsibility in this paper is to plan and run a feature article on local businesses. I have been asked to produce an article demonstrating the role of retailing and how it is important in the UK economy, and how it is the final part of the supply chain before products and services reach the end customer. This paper examines the structure of the retail industry, the process of distribution, the importance of sales and service functions, and how the sector responds to change.

The first section discusses the structure, organization, formats, and locations in retailing. This section describes the many ways and places in which retail is conducted and the changes that are taking place in the industry structure. The second section discusses the distributions in retailing.  This section discusses the process of distributing goods through different channels from the manufacturer to the customer. The third section discusses the customer services and sales of retailers. In this section, I will visit a store and create a report explaining how focusing on the customer, by providing good customer service, is essential to retailing. The fourth section discusses the competitive factors facing retailing businesses. This section explains how an organization faces competitive factors in the retail environment.

P1 Describe the structure and organization of the retail sector

Definition of retailing

Retail is the sale of goods to end-users, not for resale, but for use and consumption by the purchaser. Retail involves the sale of merchandise from a single point of purchase directly to a customer who intends to use that product. The single point of purchase could be a brick-and-mortar retail store, an Internet shopping website, a catalog, or even a mobile phone.  The retail transaction is at the end of the chain. Manufacturers sell large quantities of products to retailers, and retailers attempt to sell those same quantities of products to consumers (Farfan, 2017).

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Classification of types of store

Department Stores: Department stores offer a wide variety of products allowing them to have a wide market share for a range of customers. A department store holds a lot of small retail stores within it. For example, one of the most well-known department stores is Selfridges that operates together with the House of Fraser. The department stores attract millions of customers every month providing excellent customers and good quality high-end brands (Reseller Network, 2016).

Supermarkets:  Supermarkets mainly specialize in selling food products. They also sell small numbers of non-food items including fashion, electrical as well as home items. The classification of a supermarket is having at least 200m of sales area and having at least 3 checkouts. The market is competitive because there are many supermarkets in the marketplaces. Examples of supermarkets in the UK are Tesco, Waitrose, or ASDA (Reseller Network, 2016).

Specialist Outlets: Specialist retailers focus on a range of specific products. This makes sure that the employees have knowledge and experience about the products they are selling. These retailers offer high-level customer service. The example of specialist outlets are Boots, Victoria’s Secret, Nike, and Toys ‘R’ Us (Reseller Network, 2016).

 

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