Retail

Under retail ( in Switzerland and in the Netherlands: retail trade) are (sometimes their trading activities ) understood trading company, the products of different manufacturers designed together to form a range and non- commercial customers, ie consumers or final users sell. In contrast, the wholesale sells to commercial customers, ie resellers, and so-called large-scale consumers ( canteens, cafeterias and similar ). As a criterion of demarcation is not the quantity of goods sold, but each of the exclusive or predominant customers of the retail company.

Manifestations

The retail ( EH ) is extremely diverse structured, including with regard to

  • Industries EH among other things, clothing, food, furniture, cosmetics, sporting goods, toys and electronics (retail in the narrower sense )
  • Full-range lead the full range of an industry.
  • Specialty stores carry a specialized range of an industry that usually sorted deeper than specialty stores.
  • Discounters usually result in a limited range ( " fast movers " ), especially in the food trade.
  • Concept Stores carry the selective range of a few industries, often at irregular intervals alternately.
  • Department Stores carry a wide range of goods from a variety of departments, department stores always food.
  • Vending machine sales: merchandise sales through vending machines that take up little space (from 1 m²). This form of marketing is often referred to by its English equivalent as " Vending".
  • Shop zones: Loading areas in gas stations, rest stops or other places frequented by the public, in which goods are offered to the end user. These zones are usually large at 100 square meters.
  • Food service business: In food service specialist in retail business with less than 200 m² of retail space. This category also includes the well-known "mom and pop shop " and the kiosk.
  • Food self-service Business: Food products in self-service specialist retail business with less than 200 m² of retail space. This includes the U.S., UK and Japan very successful Convenience Store, from the future also in Germany a greater role is expected.
  • Food self-service market: grocery store with 200 m² to 400 m² of retail space, which includes a limited range of fresh produce as well as smaller non-food ranges in self-service.
  • Supermarket: Grocery store self-service with a sales area of 400 and < 1,500 m². In addition to fresh produce, it offers extensive non-food ranges. SB - shops and supermarkets carry 7000-11000 article.
  • Consumer Market: On Self founding retail store with a selling space of 1,500 m² and < 5,000 m², the predominant food supply and a share of often more than 25% of non-food items.
  • Mortar stores ( in-store )
  • Itinerant trade ( at markets, through doorstep selling )
  • Mail order, including E -commerce,
  • Tele-shopping
  • Single-site
  • More Operating Company ( Branch Company )
  • Galleries,
  • Arcades,
  • Retail parks,
  • Multi-function centers
  • Special case of direct sales: Direct sales is a special form of goods distribution to consumers and / or last user without counting retail. Here some trading functions and the distribution of goods are taken over by the manufacturer itself. Within the direct sales there are a variety of forms, such as e -commerce, doorstep sales, factory outlet, farm-gate sales of agricultural products etc.

Economic function

In economic terms, the retail market is an intermediary between manufacturers and consumers. One thus speaks of the trade as an intermediary. It is important especially its range function, ie the pre-selection, he meets from a total supply of goods to a genus. This he makes the consumer the market overview. The assortment is aimed especially after the (assumed) needs of the targeted customer base.

Retail sales in the Federal Republic of Germany 1986-1990; 2006

Trends

Occasionally the competition between suppliers results in the favor of customers to a displacement not competitive competitors ( predatory pricing ). Thus, a concentration on a few suppliers who are taking a dominant position, enter ( oligopoly ). In extreme cases, it depends on the supply side to the fact that only one vendor remains, which can thus dictate prices ( monopoly). Consequence of such a development is usually a higher price level, the burden on the end user, but the dominant party brings higher profits. In retail, for example, chain store companies can with individual stores acquire quasi- monopoly positions, but because of the competition from other types of operation and competitors supraregional ( mail order, online trading ) practically does not allow the monopolistic pricing, as it is assumed by the monopoly theory.

Competitive advantages of the tried retail for example through price reduction to get at the goods, by organizing a safe for the customer, comfortable, clean and trouble free sale site, by lending or through additional services and entertainment. The modern trade management has, moreover, has a rich toolbox psycho tactically and strategically oriented retail marketing.

For several years, it is observed that end-users on the one hand " aggressively priced " discounters and the other, those retail businesses prefer reinforced, which, through entertainment, experiences and special environment an additional benefit, for example, urban entertainment center. This trend is described as a polarization of retail or as a " loss of the center ".

Some commercial businesses, which were previously assigned in accordance with its business model, the stationary retail try to combine a multi- channel strategy, the advantages of traditional retail and e-commerce in order to consolidate its position in the market.

According to Wal- Mart put American agricultural products on average on their way from field to retail 2400 kilometers back.

These and other trends can have problematic effects in urban planning, employment policy and spatial planning ways:

  • The shift from large-scale retail enterprises from the grown and planned centers in peripheral areas that cause as retail locations generally have lower business costs, threatens a desolation of the centers.
  • Due to the ever progressing market penetration of individual industries by chain stores and retail chains with their largely uniform structural design, the shopping streets of the centers increasingly interchangeable and lose individuality.
  • Employment in retail trade is declining for years, as in large-scale farm types fewer staff per sales area is needed.

Control in Germany

Since the 1960s, and increasingly since the 1970s, in Germany there are efforts in the area of ​​construction law and spatial planning law, to prevent or attenuate the urban and regional planning problematic effects. The basic principles of the legal regulations and recommendations, most states described in so-called retail decrees.

Many communities and regions are looking at the basis of the construction law and spatial planning law trying to establish in so-called retail concepts, according to which criteria which retail businesses should be at which locations planned and settled.

The many efforts of the urban and regional planning control of the retail trade in Germany are not many places been very successful.

Associations

Advocacy

The German retail trade association is from Germany - represented the retail (HDE ). The Austrian retail trade is represented by the Association of Austrian medium and large enterprises of retail trade.

Purchasing association

Purchasing associations or buying groups are especially common in retail. A buying group is a form of cooperation and thus a voluntary association of companies for the purpose of increasing their profitability. Due to the demand aggregation, for example, in the procurement of merchandise, obtain the individual farms improved conditions.

In addition to the Central Purchasing for member companies other key business areas such as marketing, human resources, finance and the legal services to be addressed.

Retail sales and wages

The macroeconomic factors, " Retail sales " and " real wages " are closely correlated. The table compares the real, inflation-adjusted retail sales in Germany in index points ( 2005 = 100) since 1989 ( excluding motor vehicles ) with the real average net wages and salaries per month and workers in Germany since 1989.

Selected Literature

  • Bruno Tietz: The future of trade, German publishing house, Frankfurt 1994
  • Lothar Müller- Hagedorn: The trade, carbon Hammer Verlag, Stuttgart 1998
  • Kirsch, John / Klein, Martina / Lehndorff, Steffen / Voss - Dahm, Dorothea: " May it be a little less? " Working hours and conditions of employment in food retailing. A European Comparison, Berlin: edition sigma, 1999
  • Jungwirth Georg: Business loyalty in retail. Determinants - explanations - measuring concepts, German University Press, 1997
  • Foscht Thomas, Jungwirth George, Peter Schnedlitz ahead for the commercial management, German publishing house, 2000
  • Zentes, Joachim (2006): Manual Trading: Strategies - Perspectives - International Competition. Gabler, Wiesbaden, ISBN 3-409-14298-3
  • Klaus Barth: Business Administration trade, Gabler Verlag, Wiesbaden 2007
  • Hans -Otto Schenk: psychology in the commercial, 2nd edition, Oldenbourg, Munich / Vienna 2007, ISBN 978-3-486-58379-3.
  • Dorothea Voss - Dahm: On the stability of social inequality in operation: sales work in retail, edition sigma, Berlin 2009, ISBN 978-3-89404-565-4 ( At the same time doctoral dissertation at the University of Duisburg -Essen).
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