HOME TRADEHOME TRADE

Home trade is the buying and selling of goods

among people of the same country.

RETAIL TRADERETAIL TRADE

A retailer should offer these services to customers:

Display range of goods of different types.Select goods which are more suitable for

the customers.Gives customers information of different

types of goods.Provide credit for customers.Arrange for delivery if necessary.Provide after-sales service when needed.

SMALL-SCALE RETAILERSMALL-SCALE RETAILER

It is divided into 2 types: Traders with shop. Traders without shops.

TRADERS WITH SHOPS

• Single shops- Shop owned and run by a man with or without the help of family members.

• General shops- Shop selling a wide variety of goods such as foodstuff, household goods etc.

• Specialized shops- Shops selling one particular items such as jewellery, watches etc.

TRADERS WITHOUT SHOPS

• Pedlars- Traders who walk from place to place, carrying their goods on their shoulders or in a basket.

• Hawkers- Traders who walk from place to place or stays in one place and use vehicles to sell their goods.

• Stallholders- Traders who own or rents stalls which can be found along the road-sides, market place, etc.

• Travelling salesman- Traders who go from house to house selling household goods and promoting special products.

LARGE-SCALE RETAILERLARGE-SCALE RETAILER

There are 4 main types of large-scale retailer:

Department stores

SupermarketsMultiple shops

(chain stores)Variety chain

stores

DEPARTMENT STORESDEPARTMENT STORES Department store is a

large building divided into sections or departments, each selling one type of goods.

Examples: Hua Ho and Soon Lee.

Each department store is run by a general manager. In each section of the department store will be handle by a manager.

Most department stores are found in the centre of a busy shopping area in big city.

• Many goods are available within the one store.

• Bulk buying means low prices, particularly for the special offers.

• Pleasent and good customer services such as restaurants.

• There will be a goiod specialist assistant service to tell you about some goods.

• So many items on display make people often buy more than they can afford or need.

• The crowds make the service, even by assistants, impersonal.

• Large departmental stores are found in the biggest towns, so the cost of reaching them is high.

• Sometime lower costs of bulk buying are offset by the high rents in city area, etc.

Advantages Disadvantages

SUPERMARKETSSUPERMARKETS Supermarkets are large

self-service, walk-round stores dealing mainly in foods of all kind.

Customer have to serve themselves.

Only sell foodstuffs and household goods.

Stands of chocolates and small luxury items are often place by the cash-out desks so that people waiting in queue will pick up more goods.

• Shopping can be done comfort.

• Can compare prices of different brands.

• Can take as long as they like.

• Offer lower prices.• Allow customer to

select their own goods instead of being given by an assistant.

• Impersonal- most assistant have no knowledge of the goods.

• Time-wasting when only one or two items are wanted.

• Few specialist or unusual items.

• Few services.• Difficult to find

some small items.

Advantages Disadvantages

MULTIPLE SHOPSMULTIPLE SHOPS It consists of many

similiar branch shops distributed all over the country but under the direct control of a central headquarters.

Prices usually marked, sometime it employs self-service or shop assistant.

The kind of goods usually sold are clothing, foods and shoes.

• Can afford to sell at very competitive prices due to bulk purchases.

• It economizes on advertising when all branches are included in one advertisement.

• The identical layout of branch premises is to publicize the identity of the whole chain.

• Too much centralised control from headquarters leaves branch managers with little scope for intitiative to meet local conditions.

• Lack of the personal touch between staff and customers does not help in establshing a loyal customers.

Advantages Disadvantages

VARIETY CHAIN STOREVARIETY CHAIN STORE It combines the features of

multiple shop and department store.

It deals in many types of retail goods.

Offers wide variety of goods but it the goods sale are not as exclusives those offer by the department store.

Occupied smaller premises and does not offer any facilities as the department store.

Example: Mark and Spencer in England.

MODERN TRENDS IN MODERN TRENDS IN RETAILINGRETAILING

Branding and packagingSelf service retailingAfter sales serviceShopping complex

BRANDING AND PACKAGING

Branding means selling goods under the trade mark or name of the manufacturer.

Aims: To differentiate the

goods with other product.

Looked attractive. Easy to advertise

and publish.

Packaging: Serves as a

protection for the product inside.

To identify branded product.

Attractively appearence.

Important features for self retailing

• To producer: Increase sales Can create brand

loyalty.• To retailer: Easy to handle with

less damage. Need not special

knowledge.• To customers: Well inform. Does not expert

buying.

• To producer: Need an extensive

advertising.• To retailer: Difficult to sold the

brand due lack of advertising.

Bigger storage and more capita to meet consumer demand.

• To customers: Higher price. Brand confusion.

Advantages Disadvantages

SELF SERVICE RETAILINGSELF SERVICE RETAILING

• Retailer: Cut cost in

employing workers. Increase turnover.

• Customer: Quick service. No pressure from

sales staff. Lower price.

It is a system of retailing, a customer equipped with a trolley or basket, walk around the shop and choose what ever they require from the goods, which are displayed on the shelves.Advantages

Disadvantages

• To retailer: More capital Shoplifting Not suitable for

goods that needs special advice.

• To customers: No personal service. No credit facilities. Encourage buying

things that are not necessary.

Choices of goods are limited.

AFTER SALES SERVICEAFTER SALES SERVICE

• Retailer: Good image on goods or

shops. Increase turnover

High overhead. Need replacement of

goods.

• Customer; Assured working product. Free repairing service. Expert technical advice.

High price due to cost actually included in the price.

Available during warranty period.

Service undertake by the retailer or its agent to repair any defaults, which occur to goods sold within certain time.

Advantages

Disadvantages

SHOPPING COMPLEXSHOPPING COMPLEX Large multiple storied

building. Located in the town

center. Consisting of many

shop units. Owned by different

individuals. Shop may sell different

types of goods.

• Reasons for development:

Encourage one stop shopping.

Great attraction due to ample car park facilities.

Comfortable and pleasent atmosphere.

Barcoding

• Barcode consist of parallel black stripes of different widths with different spacing between the stripes, printed on the wrapper itself.

• Stripes can only be read by a special scanner (Barcode-reader).

• The barcode contain information consists of types of goods, its price and weight.

Advantages

• Minimize human error.• For the retailer, he

can be able to know how much each type of goods was sold. Thus, new stock can be ordered.

• For the customer, they can check out faster and does not required long queue.

Disadvantages

• High capital required to install the equipment and to train workers.

• The whole shop need to be computerized.

• For the customer, they can not remember the cost of the goods since the barcode only can be read by using special scanner.

E-commerce/electronic shopping/ E-Commerce

• E-commerce is the buying and selling of the goods by using the internet.

• Payments can be made by using the credit card or cash.

• Example: eBay, Tesco.com.

Advantages

• Shop can be opened 24 hours a day to all consumers around the world.

• Not very expensive to set up. Only a personal computer and a modem required.

• It is convenient, time and cost saving because e-mail system sent to any part of the world cost the same.

• Since all the information is process electronically, here will be less room for mistakes.

• It allows quick exchange of information and feedback from the customer.

• Small business can compete as effectively as the larger one in larger marketplace.

• The internet allows for the testing of new services and products.

Disadvantages

• Customer cannot see the product.

• Someone may intercepting customer’s credit card number.

• There is likely no after sales services.

Survival of small scale retailer

• Although large scale retailers have flourished and serve a great attraction to the customer but small scale retailer still survive. WHY?????

• Because; The customers prefer

to buy goods from the retailer who provides personal advice and services.

Small scale retailers provide credit facilities to the customers.

Many retailers provide home delivery.

Small scale retailer is open for long hours thus making it convenient for the customers to buy goods at odd hours.

Small scale business require small capital with no need for knowledge and experience.

The goods sold at lower price.

Small shop is easier to manage and usually the family members help in the running of business, no need for hiring assistants.

What is supermarket?

A) are large self-service, walk-round stores dealing mainly in foods of all kind.

B) is a large building divided into sections or departments, each selling one type of goods.

C) It consists of many similiar branch shops distributed all over the country but under the direct control of a central headquarters.

Which one of the following are ‘modern trade retailing’?

A) Supermarket and department store.

B) Self-service and shopping complex.

C) Barcoding.

What is department store?

A) is a large building divided into sections or departments, each selling one type of goods.

B) It consists of many similiar branch shops distributed all over the country but under the direct control of a central headquarters.

C) are large self-service, walk-round stores dealing mainly in foods of all kind.

Which one of the following is a barcode?

A)

B)

C)

Which one of the following is a trader without a shop?

A)

B)

C)

THE END

THANK YOU FOR YOUR ATTENTION AND COOPERATION

Done by:

o Nur Sabrina binti Haji Omar.

o Norfarrah binti Muhd.Masdi.

o Noor Diyana Haji Jelani.