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4 First Retailers

The document discusses 5 major modes of transporting goods: truck, railroad, water, air, and pipeline. Each mode has advantages and disadvantages related to factors like cost, speed, cargo capacity, environmental impacts, and delivery methods. Understanding the pros and cons of each transportation mode is important for efficiently moving products through the physical distribution process.

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Nam Phương Nguyễn
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33 views61 pages

4 First Retailers

The document discusses 5 major modes of transporting goods: truck, railroad, water, air, and pipeline. Each mode has advantages and disadvantages related to factors like cost, speed, cargo capacity, environmental impacts, and delivery methods. Understanding the pros and cons of each transportation mode is important for efficiently moving products through the physical distribution process.

Uploaded by

Nam Phương Nguyễn
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
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Download as PPTX, PDF, TXT or read online on Scribd
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Types of

retailers
Department stores

Types of retailers
. Bring together a vast
variety of mechandise under
one roof.
. Departmentalize both their
merchandising activities and
their operating functions.
Bargain

Types of retailers
stores
. By keeping their facilities lean
and their service to a minimum,
these retailers are able to offer a
variety of nationally advertised
and private-brand goods at prices
significantly below traditional
department store prices.
Discount stores

Types of retailers
. Initiated the movement toward cut-rate
pricing by opening barebones facilities in
inexpensive locations.

. Offer a mix of merchandise that is


weighted toward relatively inexpensive
items but also carry nationally advertised
brands that are sold at a discount.
Off-price stores

Types of retailers
. Like discounters, off-price stores sell
name-brand merchandise at prices
below those in department stores.

. Unlike discounters, however, off-price


retailers buy their goods at below-
wholesale prices by taking advantage of
other people’s mistakes.
variety stores
Specialty stores
 The basic merchandising strategy :
Offer a limited number of product lines but an
extensive selection of brands, styles, sizes,
models, colors, materials, and prices within
each line that is stocked.

 Franchising is a common format for specialty stores,


particularly those in the restaurant business
Supermarkets
 Carry nationally branded merchandise,
private brands, and genetic products packaged
in plain wrappers that carry only a description
of what they contain.

 Self-service is an important characteristic


Variety stores
 Sell a wide array of small items at low prices
 Gradual changes in retail
merchandising and consumer buying
habits have made it increasingly difficult
for them to operate

Woolworths - the last national variety-


store chain
variety stores
Specialty stores
 The basic merchandising strategy :
Offer a limited number of product lines but an
extensive selection of brands, styles, sizes,
models, colors, materials, and prices within
each line that is stocked.

 Franchising is a common format for specialty stores,


particularly those in the restaurant business
Supermarkets
 Carry nationally branded merchandise,
private brands, and genetic products packaged
in plain wrappers that carry only a description
of what they contain.

 Self-service is an important characteristic


COVENIENCE STORES
Small retail business:
 Offer convenient locations and hours
 Stock a range of everyday items
Some popular convenience stores:
ONSTORE RETAILERSDo not sell in the traditional
store setting

Mail Order Vending Door-to-door


Catalogs Machines Sales
 Sell products through
catalogs and ship them
directly to customers by
mail

IL OREDER CATALOGS Choose the goods Order

Company send the oreder


merchandise to customers
Some successful
mail order firms:
VENDING
MACHINES
 Automated machine
 Important retail outlet
Provide items:

Candy Coffee Cigarette


Merchandise take orders
and make deliveries

DOOR -TO -DOOR


SALES
Some famous name of door-to-door
retailers:
Based on the variant and the party plan:
WHEEL OF RETAILING
I. Definition

II. Four phases of wheel of retailing


I. DEFINITION
The wheel of retailing concept was introduced by McNair
from Harvard University and it is considered to be more an
observation than a theory. No matter from which point of
view we look at this concept, the idea itself intends to
describe how the retail institutions transform during their
evolutionary life cycles.
II. Four phases of wheel of retailing.
PHASE 1

Outlet starts with


PHASE 2

It has
PHASE 3

It now maintains or even develops more


PHASE 4

When a newcomer enters the market, it has the same feature


in phase 1.
PHYSICAL
DISTRIBUTION

Nguyễn Thị Thu Hường


PHYSICAL
DISTRIBUTION

1. DEFINITION

2. IMPORTANCE OF PHYSICAL DISTRIBUTION

3. COMPONENTS OF PHYSICAL DISTRIBUTION


DEFINITION

• is part of a larger process called


"distribution," which includes wholesale
and retail marketing, as well the
physical movement of products.

• is the set of activities concerned with


efficient movement of finished goods
from the end of the production operation
to the consumer.
IMPORTANCE

• Enables companies to be
successful in dynamic markets

• Provides efficient movement of


products
• Customer service

• Order Processing
In-house operation
• Warehousing
COMPONENTS
• Material Handling

• Inventory Control

• Transportation
1. Customer service

• is a strategically designed
standard for consumer
satisfaction that the business
intends to provide to its
customers
2. Order processing
• consists of activities:
- a credit check;
- recording of the sale,
- making the appropriate accounting entries;
- and locating the item, shipping, and adjusting
inventory records
- Billing the customer
• directly affects the ability to meet the customer
service standards
Most companies establish standards for filling orders
within a specific time period
3. Warehousing

• Facility for storing backup stocks of supplies or


finished products
• Two type: Warehousing

Storage warehouses Distribution warehouses


Helps in storing goods Assembles and redistributes
for relatively long products within short period
periods of time
4. Material handing

• comprises all of the activities associated with


moving products within a production facility,
warehouse, and transportation terminals
• helps in avoiding unnecessary movement of goods,
avoiding damage to the goods, facilitate order
processing and efficient movement of goods.
• Keeps track of inventory
Containerization

• Is One of important innovations in


materials handling
• Use of large, standard-sized sealed
containers for shipping merchandise
• Advantages: reduced labor, rapid
movement, and minimized damage and
pilferage
5. Inventory control
• refers to efficient control of goods stored in
warehouses

• Requires: have adequate supplies of parts and


finished goods in stock + minimize holding costs

• As Prof. W. J. Stanton states, “the goal of inventory


control is to minimize both the investment and the
fluctuation in inventories, while at the same time
filling customer order properly and accurately”.
Transportation !
5 MOST COMMON WAYS OF
TRANSPORTING GOODS
TRUCK
Ground RAILROAD

Transport
Ground
Transport

1.TRUCKS

PROS

-door-to-door delivery

-Operate on public highways


Ground Transport

1.TRUCKS

CONS

-NOT all types of cargo


( bulky, heavy )

- Limited weight loads &


truck dimension
Ground Transport

2 . R A I L W AY S
-HEAVIER + MORE DIVERSIFIED
cargoes

-LARGER volume of goods


Ground Transport

2 . R A I L W AY S

- Depends on railroads

- SELDOM deliver directly A


to customers -> last-mile
delivery
last-mile
delivery
Last mile is a term used in supply chain management
and transportation planning to describe the movement
of people and goods from a transportation hub to a
final destination in the home
- Fastest
Air
- Reduce cost Transport
of storage
and insurance
- Deliver perishable items
Air Transport
- Most expensive ; RIGHT-OF-WAY
- Limited in size and shape
- Least dependable : flight
cancellations, technical repairs
and errors
955 kilometers per hour (593 mph )
ENVIRONMENTAL IMPACTS

18 MILLIONS CAN OF FUEL PER YEAR

15 000 LITERS OF FUEL PER 1-HOUR


FLIGHT

CO2 EMISSION
Water
- Cheapest >< Slowest

Transport
- Long distance
- Non-perishable, bulk items
- Low frequency
- Extra cost
Pipelines
- Liquids, gases, chemicals
- Dependable + continuous
delivery
West-East Gas Pipeline: 8,707km
(China)
5 MODES OF
TRANSPORTATION

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