Retailers, Wholesalers, and Their Strategy Planning - Chapter 13, Question 3
Marketing Management, BBA 403
Olivet Nazarene University
Professor Scott Fortin
March 20, 2013
Retailers and retail shopping has changed significantly over the years. No longer do we have a large majority of one type of shopping. Retailers have changed anywhere from discount house retailers to conventional retailers to mass merchandising. Typically what you find today are stores which carry various departments and or specific to a need. In the past it was more of a high volume of items in one location of what was then considered the “general stores”. Below are the distinctions between the various retailers, the effect of future shopping within different capacities and how the Internet will affect this ...view middle of the document...
The target market would be customers who might need merchandise for a formal event such as weddings, dinner party or even a school prom.
Mass-merchandising – Appeals to a larger market at lower prices in an effort to have a greater turn-over of merchandise with higher sell volumes. An example of this would be Walmarts, super stores such as Target Superstore and Super-Kmart.
Due to the way things are within our economy and the affect it has on everyone including the retailers, I forecast it can go either way. Prices might come down in an effort for the consumers to afford them based on the unemployment rate and cut-backs on the household incomes. The flip side of this affect could be because of the decline in the economy retailers might increase their prices as a result of cost increase in which they experience in an effort to receive merchandise. The higher the supply and demand the more the cost might increase. Although, in an effort for retailers to be able to sustain during these times I would imagine the prices would have to accommodate the consumers by offering affordable prices on their merchandise. If consumers are not buying because they can’t afford it, the question would be, how will retailers survive in such a market?
The Internet has taken over tremendously in every aspect of the word. There are not too many things a person can’t purchase from the Internet these days. The Internet has become extremely sophisticated and requires stores to increase its marketing strategy and ability along with approach if it wants to stay in the game. I also forecast the future of Internet buying to monopolize the store buying industry whereby causing retailers to enhance their marketing approach offering more services and guarantees.
Perreault, W., Cannon, J., and McCarthy, E. (2011). Basic Marketing: A Marketing Strategy Planning Approach, 18th Ed. New York, NY: McGraw-Hill Irwin.