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Retail Merchandising in the Global Environment

RETAIL MERCHANDISING IN THE GLOBAL ENVIRONMENT 4

RetailMerchandising in the Global Environment

RetailMerchandising in the Global Environment

Convectionaland non-convectional retailers

Inmass-merchandising, the retailers supply their products to consumersin bulk offering lower prices on these commodities. Customers buymore for less money and retailers are able to increase the volume ofsales. Convectional retailers try to avoid price competition. Theydeal with a wide variety of commodities or deal with a single linestore which specializes on a certain line of product. They openshops, departmental stores, supermarkets unlike the non-convectionalretailers who can be found on streets or through the internet.Convectional retailers boast of customer loyalty and dedicationwhereas for the case of internet, customers will look for bargainsand cheaper prices (Stern &amp Ander, 2008).

Differencein development in different countries

Differentcountries have different levels of economy which impacts on retailtrade differently. Some countries have slow growing economies andpoor infrastructure that affects transportation, communication andeven power. Availability and retention of labor is also not the samein different countries owing to different levels of education inthese countries (Collection, 2010). In addition, differentgovernments have different rules and regulations governing retail andwholesale operations in their countries. In some, foreign investmentin sectors is not allowed whereas in others the sectors are free.

Inaddition different countries have different companies with differentcapabilities. While developed countries have large multinationalretailers, developing countries have local small scale retailers(Stern &amp Ander, 2008). Finally, the difference in the value ofthe currency also impacts on differences in importation by differentcountries.

Interneton retailers and wholesalers

Internethas led to the embrace of ecommerce which has heavily impacted onretailing and wholesaling. Through the internet the consumers canorder for commodities while at home and delivery is made. Thedelivery charges have an effect on the price of these commodities andconsumers pay more. The internet makes retailing and wholesaling veryconvenient, the consumers can get more information about the productsand also the retailer or wholesaler can capture useful data about theconsumers (Collection, 2010).

References

Collection,2010. Retail Innovation Collection, New York: McGraw-Hill

Stern,Z. N., &amp Ander, N. W. (2008). Greentailingand other Revolutions in Retailing: Hot Ideas

thatare Grabbing Customer’s Attention and Raising Profits,Hoboken, NJ: Wiley.