A retailer that buys at less than regular wholesale prices and sells at less

A retailer that buys at less than regular wholesale

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A retailer that buys at less-than-regular wholesale prices and sells at less than retail. (factory warehouse) Independent off-price retailer An off-price retailer that is either independently owned and run or a division of a larger retail corporation Factory outlet An off-price retailing operation that is owned and operated by a manufacturer and normally carries the manufacturer’s surplus, discontinues or irregular goods Warehouse club An off-price retailer that sells a limited selection of brand-name grocery items, appliances and 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 Franchise A contractual association between a manufacturer, wholesaler, or service organization (a franchisor) and independent business people (Franchisee) who buy the right to own and operate one or more units in the franchise system Shopping centre A group of retail businesses built on a site that is planned, developed, owned and managed as a unit 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 replaced Wholesaling All of the activities involved in selling goods and services to those buying for resale or business use Wholesaler A firm engaged primarily in wholesaling activities Merchant wholesalers An independently owned wholesale business that takes title to the merchandise it handles 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 a relatively permanent basis, performs only a few functions, and does not take title to goods Manufacturers’ sales branches and offers Wholesaling by sellers or buyers themselves rather than through independent wholesalers Major Store Retailer Types Specialty store: a store that carries a narrow product line with a deep assortment ( Running Room, The Body Shop, Williams-Sonoma) Department store: a store that carries several product lines (the Bay, Sears, etc) Supermarket: a relatively large, low-cost, low-margin, high-volume, self-service operation designed to serve the consumer’s total needs for grocery and household items (Sobeys) Convenience Store: a relatively small store located near residential areas, open long hours seven days a week, and carrying a limited line of high-turnover products at slightly higher prices (7-11) 6 | P a g e
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Marketing 396 Notes Final Exam Discount store: a store that carries standard merchandise sold at lower prices with lower margins and higher volumes (Walmart, Giant Tiger) Off-Price retailer: a store that sells merchandise bought at less-than-regular wholesale prices and sold at less than retail. Often leftover goods, overruns, irregulars obtained at reduced prices
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