Retailing and Wholesaling

1
Retailing and Wholesaling

• Retailing includes all the activities involved in
  selling goods and services directly to final
  consumers.
• The golden three feet J.C. Penney

2
Myth of Retailing

• Anyone can be successful at retail!
• Frequently the entrepreneurial path
• Nearly 50 fail within the first year
• Why?

3
Retailing A Dynamic Sector

• Wheel of Retailing
• Retail Accordion
• Retail Dialectic

4
Why do people shop?

• To buy something, duh!
• Social experience
• Diversion
• Physical activity
• Exercise status and authority
• Pleasure of bargaining
• Sensory stimulation
• Be with peers

5
Retail Atmospherics

• The servicescape provides a visual metaphor for
  an organization's total offering. It acts as a
  package, similar to a product's package, by
  conveying a total image and suggesting the
  potential usage and relative quality of the
  service

6
Dimensions of the Servicescape

• Ambient conditions temperature, lighting, noise,
  etc.

7
Dimensions of the Servicescape

• Spatial lay out and functionality

8
Paid Opportunityc2c_at_bus.oregonstate.edu

• Survey
• M-F   5pm-830pm
• Sat/Sun  3-7pm (can be broken up into two shifts
  either 3-5 or 5-7

9
Dimensions of the Servicescape

• Signs, symbols, and artifacts

10
Largest Retailers

• Walmart
• 165 billion for 2000
• 289 billion for 2004
• The Home Depot
• 73 billion for 2004
• Amazon
• 2 billion for 2000
• 7 billion for 2004

11
Impact of Non-Store Retail

• Why are internet sales significant and growing?
  
• Online retail sales for
• 1999 were estimated at 66 billion.
• 2005 were estimated at 143 billion
• Vending machines
• 1 for every 40 Americans
• Catalogues
• In-Home

12
Wholesale Basics

• What do they do?
• Sell and promote
• Buying and assortment building
• Bulk breaking
• Warehousing
• Transportation
• Financing and risk bearing
• Market information
• Agents and Merchants