Retailing has been a huge part of marketing in multinational
companies for centuries. As retailing is
part of the supply chain specifically the value chain, it is understood that
the skill of retailing has a big part to the manufacturer’s overall profit
maximization. On the contrary, the
monotony of retailing has been disrupted by the introduction of online direct
purchasing were customers can buy online and the company can send direct from
the warehouse to the household of the customer.
Indeed, the breakthrough of “brick and mortar” strikes the market
segment of the retails.
Nevertheless,
retailing is still in its existence knowing that retailing is a huge part of
business. Supermarkets like Walmart,
Tesco, & Costco are huge international supermarket companies who are
retailing many brands of product. Undeniably,
these supermarket companies are still helping the conglomerate companies in
their overall net sales. As a
definition, retailing consists of the business activities involved in selling goods
and services to consumers for their personal, family, or household use. Certainly, there is a reasonable fact that
studying retail business is a huge part in the overall business success. Among the reasons for studying retailing are
its impact on the economy, its functions in distribution, and its relationships
with firms selling goods and services to retailers for their resale use.
TYPICAL CHANNEL OF DISTRIBUTION:
1. Manufacturer
2. Wholesaler
3. Retailer
4. Final Consumer
The typical channels of distribution above reveals how the
product information are being transferred from channel to channel until it will
reach the consumer. However, if the product
communication of the manufacturing company is not that lean towards the
accurateness in every product specification, possibilities of “bottle necks”
and marketing information lapses will occur during the transit of the goods.
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