It is the only point in the value chain to provide a platform for promotions. An important beginning for economic analysis of a business district is. Conflict theories evolution through dialectic process within a broad retail category, there is always a conflict between the retailing of similar formats, which leads to the development of new formats. We then present the retailing concept, along with the total retail experience, customer service, and relationship retailing. While several theories have been put forward to explain this progression of retail formats, the development of a global model has proved elusive filser and. Introduction and perspectives on retailing,world of retailing, retail management, introduction, meaning, characteristics, emergence of organizations of retailing types of retailers retail formats, multichannel retailing customer buying behaviour, historical perspective, role of retailing, trends in retailing, fdi in retail problems of. Three retailing theories explain how different retail formats emerge, mature and are then replaced by another format. Retailers develop new formats, manage existing formats and. A total of 119 different theories were used across these 173. Such theories of retail change have attempted to use past experiences of retail chains to improve current business. One implication of these theories is that retailing is based on agglomeration. Pdf purpose neither retail formats nor business models are static entities. Types of retailers retailers use different retail mixesmerchandise.
Retailing is a distribution process, in which all the activities involved in selling the merchandise directly to the final consumer i. The wheel of retailing is the most frequently cited theory of subsequent researchers. When manufacturers like dell computers sell directly to the consumer, they also perform the retailing function. Retail management 2 in my whole retailing career, i have stuck to one guiding principle. While a retailer may find conflict theory helpful at times of low demand, he or she may find this same retail approach useless when consumer requests are relatively high. It is a process through which goods are transported to final consumers.
Clarkson et al 1996 developed theories further and implemented empirical evidence in grocery retailing. Classification of the theories environmental theory where a change in retail is attributed to the change in the environment in which the retailers operate cyclical theory where change follows a pattern and phases can have definite identifiable attributes associated with them conflictual theory the competition or. Mba retail management notes pdf rm notes smartzworld. Theories of retail and identifying retail niches i. Based on this, the wheel of retailing concept is seen as a cycle and an evolutionary theory and it represents one of the theories of structural change in retailing.
Relationships between manufacturers and their retailers often hinge on the importance of negotiation and its effects on each partys share of the pie, as well as on. Dec 30, 2017 the wheel of retailing concept was introduced by mcnair from harvard university and it is considered to be more an observation than a theory. The retail marketing mix and the retail product the set of controllable tactical marketing tools that the firm blends to produce the response it wants in the target market kotler 1999 the retail marketing mix. The theories developed to explain the process of retail development revolve around the importance of competitive pressures, the investments in organizational capabilities and the creation of a sustainable competitive advantage, which requires the implementation of strategic planning by retail organizations growth in retail is a result of understand in market signals and responding, to the. Larger concentration of stores draw more shoppers and generate more sales. As the competition in ecommerce is intensified, it become s more important for online retailers to understand the antecedents of consumer acceptance of online shopping. It encompasses sale of goods and services from a point of purchase to the. Lesson 1 an overview of retailing introduction the word retail is derived from a french word with the prefix re and the verb tailer meaning to cut again. Chapter 1 describes retailing, shows why it should be studied, and examines its special characteristics. Retail marketing session 1 introduction to retailing management, various theories of. Retailing encompasses selling through the mail, the internet, doortodoor visitsany channel that could be used to approach the consumer. Improve merchandise offering, better service, higher prices stage 3.
In the entry phase, retailers enter the market with low prices and affordable service to increase market penetration. Retail theories wheel of retailing retail life cycle. Relevance of theories of motivation in retail business. Retailing and etailing integrates the four ps of marketing into the operations of retail and etail businesses. Invariably, retailing and shopping are used as interchangeable terms. Mcnair 1958 propounded the theory of the wheel of retailing. Principles of retailing suzanne fernie bsc, tqfe, dms marketing, mba suzanne is a further and highereducation lecturer in retailing and marketing, specialising in retail environment, retail theories and retail change. The wholesaler doesnt have to deal with such expenses, which allows him to sell goods at a lower. Scribd is the worlds largest social reading and publishing site. The wheel of retailing theory is one of most common cyclical development theories. Some retailers offer additional services to the retail transaction like personal shopping. The research objective is to gain attention to the relevance of theories of motivation in retail business. Retailing concepts introduction retailing is a convenient, convincing and comfortable method of selling goods and services. It argues that the past theories of retail change are flawed because they cannot explain retail changes in different markets well, particularly retail changes in emerging markets.
Download theories of communication networks pdf ebook. Abargaining theory of distribution channels bargaining between manufacturers and retailers over the terms of trade is an important characteristic of many distribution channels. Thus, the new retail formats are evolved through dialectic process of blending two formats. Clarkson et al 1996 developed theories further and implemented empirical evidence in. Retailing and consumer services at a tipping point. Websites a viable alternative to traditional brickandmortar stores. It is also referred to as the generalspecificgeneral theory. Sales at the retail level are generally in smaller unit sizes. Attributes of cyclical theory also known as the wheel of retailing from innovators to traditional retailers to mature retailer creates cyclical trends in due course of time constant evolution of the retailers as they start adding products unto confused state thus entailing a negative cycle i. Such knowledge is essential to customer relationship. Zhou et al online shopping acceptance model consumeroriented view of online shopping in this study. Theories of retailing free download as powerpoint presentation. The importance of the spatial perspective has carried over to the internet era, despite the fact that electronic commerce has had major impacts on retailing. Theories in retailing free download as powerpoint presentation.
Retailing, the merchandising aspect of marketing, includes all activities required to sell directly to consumers for their personal, nonbusiness use. The theories developed to explain the process of retail development revolve around the importance of competitive pressures, the investments in organizational capabilities and the creation of a sustainable competitive advantage, which requires the implementation of strategic planning by retail organizations growth in retail is a result of understand in market signals and responding, to the opportunities that arise in a dynamic manner. While many theories of structural change may be found in the retailing literature they are not without controversy. Retail life cycle theory wheel of retailing entry phase trading up phase vulnerability phase wheel of retailing retail life cycle conflictual theories polarization theory and bermuda triangle effect dialectic process or melting pot theory dialectic process theory. Conceptual insights and research priorities with the growing realization that brands are one of a firms most valuable intangible assets, branding has emerged as a top management priority in the last decade. Classification of the theories environmental theory where a change in retail is attributed to the change in the environment in which the retailers operate cyclical theory where change follows a pattern and phases can have definite identifiable attributes associated with them conflictual theory the.
Out of the various theories, the author wishes to put a few of the theories, which are accepted as universal theories of retailing and are often found being quoted in further research studies. The study specially wanted to define the role of factors associating in individual theories of motivation for motivating consumers to buy or not to buy from a retail store. The big difference between wholesale and retail is in the price. Sorry, we are unable to provide the full text but you may find it at the following locations. Since implementation of theories is largely dependent on social and economic situations, high and low consumer demand may influence retailers to implement one theory over another.
As the theory involves the beginning represented by one state and return to the same state after some time in the future, the theory is perceived as being cyclical. 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. Eventually the retailer trades up by improving displays and location, providing credit, delivery and by raising advertising expenditure. Retailing in india influencing f actors present indian retail scenario. Theories of retailing evolution of retailing how old is. Retailing is concerned with selling of goods only to the final consumers. The reason for this is because the added cost of selling merchandise to enduser customerslabor, rent, advertising, etc. This tutorial introduces you to various concerns of retail business such as retail marketing, space management, and retail operations. Retail life cycle theory wheel of retailing entry phase trading up phase vulnerability phase wheel of retailing retail life cycle conflictual theories polarization theory and bermuda triangle effect dialectic process or melting pot. Retailing is the last link in the supply chain that delivers goods to the final consumers. It also introduces you to visual merchandising, retail marketing mix, and etailing. He implies, therefore, that the wheel of retailing can revolve only if the environment is favourable for the successful introduction of a new technique.
A theory of retail institutional change that suggests that retail institutions go from outlets with wide assortments to specialized narrow line store merchants and then back again to the more general wide assortment institution. The firm that performs this consumer sellingwhether it is a manufacturer, wholesaler, or retaileris engaged in. The retailing product and the product in retailing product based benefits storeproduct service. Theories of retailing cyclical theories wheel of retailing accordian theory evolutionary theories dialectic process natural selection 3. Location planning theories in valuation of retail premises.
She has taught retailing at every level in further and higher. Retailing is a part of manufacturers overall distribution strategy. This theory explains a cyclic retail evolution pattern, which he had observed with the european and u. Developing new conceptual frameworks, theories, and measures to understand emerging retailing and service practices to encourage researchers to. Location planning theories in valuation of retail premises shaping the change xxiii fig congress munich, germany, october 8, 2006 315 are the research report by mcgoldrick 1990 and brown 1992. Importance of generating a critical mass of storesactivities and scale. The retail price is always more than the wholesale price. The theory suggests that new forms of retailing appear as price cutting, low cost and narrow profit margin operations. Jun 25, 2019 retailing is about displaying products, describing the features and benefits of products, stocking products, processing payments and doing whatever it takes to get the right products at the right price to the right customers at the right time.
Retail management i about the tutorial retail management is an activity of selling products or services to their endusers. Retailing encompasses selling through the mail, the internet, door todoor visitsany channel that could be used to approach the consumer. In our content analysis of 173 journal of retailing articles published during the 20042009 to issue 2 period, we found a total of 377 theoretical incidents, as shown in table 1 also see appendix a. The differences between traditional retail operations and e. Aug 19, 2015 theories of retailing cyclical theories wheel of retailing accordian theory evolutionary theories dialectic process natural selection 3.
609 186 253 353 387 809 325 1048 140 727 545 1165 517 1102 436 649 696 784 241 890 1129 839 119 912 358 1437 622 559 358 837 1275