Bricks - Bricks-and-mortar-refers to traditional retail...

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Bricks-and-mortar -refers to traditional retail presence as physical storefront Click-and-mortar- retailers developing online presence in addition to traditional storefronts Soft lines -apparel and accessory product categories, and fashion for homes; linens, curtains, bathroom items Hard lines -all merchandise carried by store with expectation of apparel and accessories and fashion for home (hardware, sporting goods, appliances, furniture, lawn and garden) Centralized buying -occurs when all buying activities are performed from retailers central headquarters Central merchandising plan -occurs when central office representing group of stores has complete responsibility for selection and purchase of merchandise for all stores Warehouse requisition plan- type of centralized buying that occurs when in-store buyers must make merchandise purchases from chains warehouse, which have merchandise selections that have purchased by central buyers Price agreement plan- plan whereby central buyers select vendors from who in-store buyers may make purchase Rational buying motives- concerned with basic human needs; food, clothing, shelter Emotional buying motives -involves customers feelings rather than logical thoughts; social acceptance, curiosity, change, sex appeal, self-esteem, and group approval Patronage buying motives -explains why consumers choose one store over another; convenience, value received, assortment of merchandise, service offered, experienced/courteous sales associa Stock-to-sales ratio -figure that indicates relationship between planned sales and the amount of inventory required to produce those sales STOCK TO SALES RATIO=VALUE OF STOCK/ACTUAL SALES PLANNED BOM INVENTORY= STOCK TO SALES RATIO X PLANNED SALES Average stock -calculation by dividing the sum of value of inventory at predetermined period of time by total number of those periods Stock-turnover rate -the number of times that the average stock is sold during given period of time STOCK TURNOVER RATE=SALES/AVERAGE STOCK PLANNED PURCH. AT RETAIL=PLANNED SALES+PLANNED REDUCTION+PLANNED EOM-PLANNED BOM
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