ABSTRACT
Chapter 6 focuses on retailing structures and strategies. The chapter begins with a description of various types of retailers including supermarkets, hypermarkets, limited assortment supermarkets, warehouse clubs, department stores, specialty stores, discounts stores, and convenience and drug stores. The chapter then discusses some of the big players in the world of retailing and the various major trends shaping retailing including omni-channels, technology, and data trends, and discusses the concept of social shopping. The chapter then elaborates upon retail positioning strategies, both cost-side and demand-side. Concepts such as the strategic profit model and various gross margin metrics are discussed. The demand-side positioning strategies discussed include various service outputs a retailer might provide, including bulk-breaking, spatial convenience, waiting and delivery time, product variety, and customer service. The chapter then outlines Internet retail channels, direct selling channels, and various hybrid retail channels. It then moves to a discussion of retailer power and discusses various deals offered by manufacturers to retailers including forward buying, slotting allowances, and failure fees. Private labeling by retailers is also a focus of this chapter. A glossary of various retail pricing and buying terms and merchandise planning and control is also provided.
