Free Essay

Small Retail Case Study

In: Business and Management

Submitted By loisybhadz
Words 2652
Pages 11
D’s Bakery
Company Case Study

A. Systems Documentation

1. Product/Service Design D’s bakery is a small establishment that sells few variations of breads. D’s bakery offers breads which are mostly known to the Ilonggo like the teren-teren, pan de coco, famous hot pandesal, and more. According to one of the sales ladies, they make and sell more or less 10 kinds of bread every day. The breads from D’s bakery are being sold at a cheap price. The price of their bread starts at Php 2. The breads are made with ingredients that can be easily found in the market. Although the owner won’t give the detailed list of ingredients, they say that everything included in the bread are just like any ordinary bread like wheat flour, yeast, and something they put on filled breads. 2. Capacity Plan
Capacity needs include equipment, space, and employee skills. For the production of bread, since they are just a small bakery, they only have 2 bakers working with two (2) large ovens for the production of breads. It is located at their baking house at LaPaz, Iloilo City. At their bakeshop, they have assigned two salesladies to manage and sell the breads. They also have two person in-charge in checking the breads before they are put to the crates and delivered to the bakery.
D’s bakery has the capacity to produce 75-100 pieces for each type of bread they have everyday. But with their pandesal, they produce 200-300 pieces a day. The number breads being produced is based on the capacity of the bakery to store the bread that is only good enough to consume the space. The bakery is only established with 60 square meters floor area, two shelves with four layers to display their products.
They have also considered the consumers preferences in producing the bread. Except for the hot pandesal, the number for each type of bread as well as the variety they produce is inconsistent. Sometimes when they think that there is a surplus for that certain type of bread, they will produce less than what they usually bake or just don’t sell it.

3. Process Description
For the process of producing the breads, it undergoes a step by step process done by the bakers. They need to be precise with the measurements of the ingredients to make sure the breads will come out as what they are supposed to be. Using few equipment with mixing the products, bakers then manually cut the bread into designed sizes and put the bread in the oven. After the breads made in the bread factory, they will be delivered to the bakeshop for selling. The number of breads being produced and delivered to the shop everyday is based on the capacity plan of the bakery.

4. Facility Layout
D’s bakery doesn’t engaged in highly automated machines for the production of the breads. According to the owner of the bakery, they still stick to the manual method of making the bread because their bakeshop is still small. The work that their bakers can do is enough for them to be able to sell their desired number of breads for each day. Also, in this way, they can reduced the cost of electricity caused by machines and instead allocate their resources to the bakers and persons in-charge in the bakery.
For the transportation of their products from the baking house to the bakeshop, they have one small multicab delivery van with a family member as the driver.

5. Design of Work System For the job design, when the owner of D’s bakery assigned workers to do particular task in the business, only little requirement were asked. Labor requirements include, low education and skill requirements, minimum responsibilities and little mental effort needed. For the management of the store, low wage cost and a little orientation for everyday activities. The bakers hired were not any trained nor refined cooks. The owner have provided them with some training to know what things should be done. Workers don’t exchange task. They only work to where they were assigned. With regards to the work methods, the working condition in the bakeshop tends to be very hot since it is only equipped with only one electric fan. The bakery is more like an open shop so there are noises coming from surroundings given that it is near the main road. The shop haven’t been also painted for years resulting to be dark to look. The bakery operated from 8am to 6pm every day. In that case, workers also report at those span of time.

6. Location Plan D’s bakery has only one shop and it is located outside of the Jaro big market. It stood alongside with the passenger jeepney and vans’ parking area. Beside the bakery are small sari-sari stores. The baking house where the breads are produced are located at Lapaz, probably 4 kms. distance from the bakeshop. 7. Quality Management In order for them to ensure that they sell the right quality of bread, they have assigned two workers who check every bread after they are baked. And then those workers put it into designated bread crates. If all the breads were not sold for a day, they still sell it for the next day but the breads’ limit has only a maximum of 3 days. After 3 days if those breads were still not sold, they would go to waste because they are not fresh anymore.

B. Analysis of Documented Systems

Based on the information I have gathered, the analysis about D’s bakery are as follows:
1) In terms of the product design, D’s bakeshop merely uses the method of standardization. This means that their products were designed in way that most of the components are standardized and easily available in the market. Since in making a bread, the ingredients needed are available in any nearby market.
The types of bread that they sell are very common that can be also found in almost all the bakeshops. They lack uniqueness with their products which should be one of the most important features for every shop to be known to other people.
D’s bakeshop have used a method of standardization in designing their product. Having goods that are readily available in the market is a good way to minimize costs. In this way, they can also maintain the inventory of their goods since a bakeshop needs to make and sell new and fresh breads every day. Standardization may be great for a company creating products that there are not many things you can do to make them unique and keep the price down.

2) As for the capacity plan of D’s bakery, they engage in a method of Following Capacity. This means that they wait for the demand to increase before expanding capabilities. The overall objective of strategic capacity planning is to reach an optimal level where production capabilities meet demand. They only produce same number of breads every day, not even keeping track if which breads are being sold with a larger number and which one in lesser number.
D’s bakery my sometimes incur excess capacity which arises when actual production is less than what is achievable or optimal for a firm. This often means that the demand in the market for the product is below what the firm could potentially supply to the market. Excess capacity is inefficient and will cause manufacturers to incur extra costs or lose market share. 3) In the case of process production and facility layout, D’s bakery doesn’t engage in automation. Although automation can help fasten the production of goods, the manual production of bread helps the bakery maintain the quality of their bread. I could say that it is convenient for them since they are only a small and single retail shop, they don’t need to invest into highly automated machine. The method that they possess is enough to maintain the number of breads that they need to sell for each day. 4) Job design is one of the most important factors in a business. From what I have gathered, D’s bakery lack specialization in the job design area. Specialization relates with different work that concentrates on some aspect of a product or service. Similarly, it emphasizes the ability to concentrate one's efforts on a type of work and thereby becoming proficient in it. The bakeshop’s method is that some workers who are not capable of handling jobs with greater scopes prefer low-level jobs that have limited requirements and responsibility. Like in the case of their bakers, they were not professional bakers from the moment they were hired. They were trained to know the specific task of a baker. And this is another cost incurred on the part of the owner. Specialization in important to help designate people with the right background in that specific scope of the business. For the motion study, I was not able to look at the design of work system they have in the baking house. So the analysis under here is merely what I was able to observed and asked in the bakeshop. A lot of unnecessary human motions may be involved given the type of working conditions they have at the bakery. Unnecessary motions might develop because the place is not well ventilated. It is located near the highway where noise and pollution is everywhere. The work methods of the bakery had a lots of flaws. There needs to be an improvement especially with the arrangement of the shelves in the workplace. The shelves were placed at the side most part of the floor, and there is a lot of space available inside of the bakery which is only being consumed by two sales ladies. They though that in this way, the customers would easily see the bakery. But there’s one step needed to take to the bakery and there is just a narrow space in between it. So it might probably cause some little tripping accident with the customers especially if it rush hours. Also, the bakeshop doesn’t have any little space for customers who might want to eat their orders there even though they still have enough space to arrange for it. The bakeshop has a good operating hour considering they operate from 8am to 6pm. In this way, they can maximize their profit although I don’t have the idea how they compensate their workers. Working more than 8hrs a day may cause fatigue to their salesperson which would affect their service. 5) The location of D’s bakery is outside the Jaro big public market. It must have been a good decision for them given that there are no other bakeries around it. Also, there are two terminal areas for passenger jeepney and van. In this way, they would be able to capture a lot of customers. Since bread is a food that can be eaten anytime, they can have any possible customers at any time. Beside the bakery are small sari-sari stores, this means that there is less competition in terms of the similarity of the products each of them offers. Transportation costs sometimes play an important role in location decisions. In the case of D’s bakery, their baking house is only located 4kms. From their shop plus they have their own multicab. They are able to minimize transportation cost for their goods and most especially save time and effort in delivering the products. 6) Basic quality is the requirements placed on a product that do not lead to customer satisfaction when present, but can lead to dissatisfaction if absent. They say that they have assigned two workers to check the quality of their products before they are delivered to the bakery. But one big concerns is that if all the breads were not sold for that certain day, they will still sell those the next day. Selling breads that are not freshly baked for that certain day reduces the quality of their product. At the bakery, they don’t make any final checks for the quality of the bread anymore. Especially nowadays that the weather is hot, these might affect greatly the taste and texture of the bread. They easily get damaged. If they are not sold freshly baked then consumers’ preferences might change. C. Recommendations for Systems Improvement

The business may need to improve from time to time in order to sustain the customers’ wants and needs. Consumers’ preference with bread differs from time to time. I would recommend for D’s bakery that they should try to produce with new bread. A product that would be unique to them. They should not just stick to what is common to all the bakery because it won’t drive customers to them.
The most important concept of capacity planning is to find a medium between long term supply and capabilities of an organization and the predicted level of long term demand. They have to plan for actual changes in capacity, changes in consumer wants and demand, technology and even the environment. When evaluating alternatives in capacity planning, they have to consider qualitative and quantitative aspects of the business. These aspects involve economic factors, public opinions, personal preferences of managers.
In order to avoid product surplus or shortage, the owner/manager of the bakery should keep in record of the bread bought every day. In this way, they can produce a more specific number of number of bread everyday that is just enough of what buyers usually bought. They could also limit or perhaps omit those breads the consumers seldom buy and maximize the capacity of bread they can make for those that buyers often buy. Through this, they could maximize profit and minimize cost.
As with the workers, they may engage in specialization. The advantages of specialized assembly line workers are high productivity and relatively low unit costs. Specialization describes jobs that have a very narrow scope. The amount of knowledge, or training required of a specialist, and the complexity of the work, suggest that such individuals choose such work because they are fully interrogated in the work flow of the product or service. Take for example in the case of the bakers, if they hire bakers that really specialize in baking, that person could create a new recipe that could help in the production of the bakery. Also, higher quality of bread will be produced. Salespersons that really fond of selling the product may indulge more customers to come back. Lastly, they could create an environment that fosters customers' returning to patronize the bakeshop. Make the storefront cozy and attractive so customers want to spend time there instead of buying goods and leaving the store. Create ambiance and warm décor by setting up tables. Check out competitors' pricing and products to ensure you are offering fair prices and competitive items, so that customers will continue to come back to your establishment instead of that of a competitor.

Here is a sketch of a recommended design of the bakery. Since from my observation there is enough space which was not maximize inside, I would suggest this kind of setting. They could move the shelves a little more inside so pollution, heat and noise won’t affect them much. They may also add one or two small tables at the side for customers who may want to eat in the place. Also it may prevent the accident that may cause by the stair in entering the bakery. The bread can be arranged according to their variety from plain to the ones with fillings or maybe according to the sizes. Putting a label and price on each type of bread may help the consumers identify what they want easily. :)

MGT 187
Operations Management
First Take Home Long Exam

Submitted by:

BS Management III
April 6, 2015

Submitted to:

Prof. Manuel P. Ocampo…...

Similar Documents

Premium Essay

Dixons Retail Case Study

...Dixons Retail PLC Planning for a Multichannel Future Dixons has grown from a one-man band into a fully orchestrated international retail and service operation, which attracts over 100 million shoppers to its stores and online businesses. How did the company get started and then develop into Europe’s leading specialist electrical retailers? This case explores the significance of adopting a market-orientated approach to planning in developing a family of successful international retail brands. Background: start-up to market leader Dixons started out in the photography business during challenging trading times in the early 1940s. By the 1960s the original photographic studio had developed into a relatively large public limited company, with an expanding mail order business and high street retail operation. The business continued to grow in the UK, by opening high street stores selling photographic equipment, computers and other high-tech gadgetry. In the 1990s, the acquisition of PC World, opening tax-free travel stores in airports (Dixons Travel), and expansion into European markets with the acquisition of Elkjøp, a leading Nordic retailer, enabled the business to grow further and more rapidly. More acquisitions in Italy (UniEuro), Russia and the Ukraine and expansion into Ireland, Greece and the Czech Republic enabled Dixons Retail plc to become Europe’s largest specialist electrical retailer and services company, which employs over 38,000 people spread over 26 countries...

Words: 2360 - Pages: 10

Premium Essay

Retail Little Red Roaster Case Study

...                                            Guinevere Jagiello  RCSC 214  Case Paper 1                                             9/30/12 Recovery Strategy for Steve & Barry’s Problem Steve & Barry’s original mission was successful; sell quality, low priced collegiate and casual sportswear for lower than other competitor’s costs. Their problem arose when they changed their mission to selling celebrity endorsed fashionable clothing, with the same expectations in prices and profits as that of their original. The costs needed to support the production of high-fashion apparel did not follow the same conditions that they used to produce their collegiate sportswear clothing. In order to achieve this, they had to open a large number of stores in a short amount of time in order to balance the costs of production of the higher fashion sector. However, their expansion was not dependent on retail profits, but rather through securing deals for rent in stores of run-down malls. This kept them afloat for a small while, but quickly the economy dropped in a number of ways, and it proved that the focus in production of high fashion with low prices could not be successful in the same way as that of their collegiate sportswear clothing. Facts 1) Exhibit 3 in the tariff engineering illustration of the Steve & Barry’s report, shows the differences in tariff manufacturing rates. A product’s price can dramatically decrease if it can be made in Mexico at a 0%......

Words: 563 - Pages: 3

Premium Essay

Dixons Retail Case Study

...Dixons Retail PLC Planning for a Multichannel Future Dixons has grown from a one-man band into a fully orchestrated international retail and service operation, which attracts over 100 million shoppers to its stores and online businesses. How did the company get started and then develop into Europe’s leading specialist electrical retailers? This case explores the significance of adopting a market-orientated approach to planning in developing a family of successful international retail brands. Background: start-up to market leader Dixons started out in the photography business during challenging trading times in the early 1940s. By the 1960s the original photographic studio had developed into a relatively large public limited company, with an expanding mail order business and high street retail operation. The business continued to grow in the UK, by opening high street stores selling photographic equipment, computers and other high-tech gadgetry. In the 1990s, the acquisition of PC World, opening tax-free travel stores in airports (Dixons Travel), and expansion into European markets with the acquisition of Elkjøp, a leading Nordic retailer, enabled the business to grow further and more rapidly. More acquisitions in Italy (UniEuro), Russia and the Ukraine and expansion into Ireland, Greece and the Czech Republic enabled Dixons Retail plc to become Europe’s largest specialist electrical retailer and services company, which employs over 38,000 people spread over 26 countries...

Words: 2545 - Pages: 11

Premium Essay

Retail Marketing: the Case of Nespresso

...NESPRESSO AND ITS STORES - SYNOPSIS RETAIL MARKETING HA – E125 Autumn 2012 Cpr n° 051092-3138 Cpr n° 270790-4162 Copenhagen Business School PURPOSE STATEMENT This synopsis will present some problems related to the brand Nespresso and more specifically concerning its store management. We will focus on issues associated on store layout, design and visual merchandising. Nowadays, Nespresso highlights its boutiques while they were not integrated in the initial business model of Nespresso. Indeed, they have only been created in 2002 in order to address customers’ needs. The brand decided to develop its boutique due to the growing demand of its customers for a face-to-face contact, which means a lack of direct relationship with them. However, this touchpoint is indispensable in the strategy of the brand nowadays. In France for example, the rate of opening of shops is about two or three a year. First we will present briefly the brand Nespresso and its products. Thus we will approach its positioning and channels of distribution in order to introduce the store concept and design of Nespresso. Finally we will deal with theories related to our problem statement: the store design and atmosphere in Nespresso boutiques and the SOR model. CASE PRESENTATION Nespresso is the leader on the premium portioned coffee market. The brand was created in 1986 by Nestlé Group which is located in Switzerland and has a turnover of almost two billion euros. Nespresso changed the idea of coffee......

Words: 2503 - Pages: 11

Premium Essay

Retail Marketing Case Study

...James Borda Retail Marketing 10/5/12 Case 10 Case Study 1. Over the last decade, American Eagle and Abercrombie and Fitch have been two of the main clothing retailers competing for the affection of young adult shoppers, specifically within the teen-college age range of 18-22 years. While both companies carry a similar assortment of clothing apparel and try to cater to the same demographic, each company’s retail strategy does differ in various ways. A retail strategy is defined as the way in which a firm plans to focus its resources to accomplish its objectives. Being that both companies have the same target market and nature of merchandise, they both attempt to look for ways to gain a competitive advantage through their retail strategies. One main difference in their strategies is that American Eagle attempts to gain an advantage by selling their products at lower prices. By offering apparel that is equivalent to that of Abercrombie and selling it at a cheaper price they are able to attract the consumer who is looking to save money. On the other hand, Abercrombie keeps their prices a little bit higher to give off the appearance of higher quality in hopes to attract the consumer who looks to buy name brand, higher end clothing. Moreover, though it is incredibly important to gain a competitive advantage over other retailers in your market, it is even more crucial to sustain that advantage. Abercrombie has positioned itself strictly within the market of 18-22 year olds;......

Words: 1230 - Pages: 5

Free Essay

Case Study: Revolutionizing the Retail Sector

...Case Study: Revolutionizing the Retail Sector Student’s Name Professor’s Name Course Title Institution Date Abstract Digipos has been entirely using Intel technology on its product in order to develop high quality products to customers, have confidence in approaching customers and marketing their products as Intel is known worldwide for developing quality products, and reduce total cost of ownership of its products. The company was facing the problem of complete replacement of its systems by retailers after every seven years during system upgrade. This made the businesses to close down during upgrade which resulted to loss of revenue and reputation. The company solved the problem by developing a product, DigiPoS Retail Blade, based on embedded Intel architecture processor and was the first EPoS system to use blade technology which allowed retailers to replace only parts that needed replacement and not the entire system. It could also have identified the most critical components of the EPoS system such as processors and memory or systems that are prone to failure or damage and make them dual i.e. operate concurrently and when one fails the other picks up. In addition to comparing and contrasting Retail Blade and Quantum Blade products, this document discusses the strategies Digipos employ in order to reduce total quality management. In this regard, it produces high quality products that would reduce the cost of performing......

Words: 1550 - Pages: 7

Premium Essay

Study Guide Retail Management can be web, via mail, phones, manufactures, importers, nonprofit, wholesalers. * Retail impact economy; functions in Distribution and relationship with firms selling goods and services to retailers for their resale. * Durable goods store: meaning store like last longer such as: motor vehicle, parts dealer, furniture, home furnishings, electronic, appliances and hardware store. * Nondurable goods and services: general merchandise such as food, beverages, health, personal care stores, gasoline stations, clothing and hobby, book, music. Retail Functions AND Distribution * Retail last stage in CHANNEL OF DISTRIBUTION : * This means business and people are involve in physical movement and transfer of ownership of goods and services from producer to consumer: * Example an exchange: buying IPhone from Apple. * Retailer’s job: communicate with customer and manufacture, deal with products and services. * Sorting process: retailers collect sources and buy large amounts and sell in small amounts. * MULTI-CHANNEL Retailing : * Retailers sell to consumers through multiple retail formats: Example, mail, order, web, phone, stores. * Helps manufacture reduce cost, improve cash flow. * Exclusive Distribution: Suppliers make an agreement to with few or one retailer to sell certain brand, product or a location. * Example Target retail store sells Archer Farms only or up items. * Intensive Distribution: Suppliers......

Words: 1422 - Pages: 6

Premium Essay

Small Camera Technology Case Study

...the market in 2002. That is to say, what it seemed to be a disruptive technology. b) This was possible thanks to the high skilled and well connected team that the three founders formed. c) The three market segmentation (picture and video final user, security and automobile) d) Started with a small investment and small team that was going in the right direction e) Use existing resource to obtain a new hit product: innovation What did the SMaL`s management team do right? a) With the initial decision of tackling the market through the OEM they could not have a direct feedback from the final users. b) They just meet part of the camera consumers` needs: no small screen, low quality megapixels, no zoom and no flash c) SMaL offer disclosed the technology to the market in a too initial phase of development: the star-up focused first on finding the market rather than first focusing on developing more deeply the technology. d) Decided to go on although limited resources: this is one of the factors of the current situation. They miss the long term approach they were initially looking for. The company wanted to develop each process fast with a small scale company. e) Disclose a disruptive technology with a non-successful product and without the possibility to have a direct feed-back of the consumers. CONCLUSION Using CMOS technology to create the “ AUTOBRITE” system with a low power consumption should have been the core competence of......

Words: 520 - Pages: 3

Free Essay

Case Study

...Case Study Amazon’s New Store: Utility Computing Name: Institution: Course: Tutor: Date: Case Study Amazon’s New Store: Utility Computing Introduction Back in the year 1995, Amazon was opened as a bookstore, one that has grown over the years and morphed into a large reputable internet based company. One of the largest virtual superstores today in the world, Amazon offers up to thirty six categories of products. Jewelry, furniture, clothing and groceries are just but a few of the products that Amazon has to offer. Today, Amazon boasts of being the top online retailer in the whole world (Andrei and Jain, 2009). In an effort to modernize its data centers and software and also be able to add new features in the existing product pages, it developed a number of important services that have proved significant in its growth over the years. Question 1 World over, Amazon is known for the provision of cloud computing also known as utility computing or demand computing. In essence, it refers to allowing the firm to offload peak demand for computing power to large scale data processing centers that are remote. In a nutshell, the Amazon Company offers computing capacity on a per usage basis. Amazon is at an advantageous point in terms of business in the sense that it can generate more income from a number of other businesses (Buyya, Yeo, Venugopal, Broberg and Brandic, 2009). This can be achieved through provision of its extra and additional capacity to those in need. Amazon uses only......

Words: 1338 - Pages: 6

Premium Essay

Health and Small Business Case Study

...Healthful Small Business and Health Insurance Eugenia H. Snead Southern New Hampshire University A common issue facing midsize to small employers today is health insurance coverage. John and his wife, Liza are small business owners of a boat repair business, who are quite busy since the recession with the upkeep and repairing of older boats in the area. Business is so good Liza hired a young woman to assist her with paperwork. John and Liza are wondering if they can afford to hire an additional mechanic (Robert), who happens to be the best applicant for the open boat mechanic job. (Spencer, C.S. 2014) The purpose of this paper is to analyze the options for John and Liza from all angles. There are many issues in this case such as legal implications, ethical, and addressing it from a pure business standpoint. To illustrate the choices that John and Liza have let’s consider a hypothetical scenario that John and Liza employs 6 employees full time and Robert would be the 7th. Currently the company offers health care benefits paying 100% of premiums at an average cost of $5,000 per employee. OPTION 1 The company could continue to absorb the costs of the health insurance premium and do nothing. * At an estimated cost of $7,000 per employee, the company would have to absorb the full $49,000 cost or pass along part of the cost to its employees or customers. OPTION 2 The company could encourage the men to quit smoking and provide incentives for them to quit. ...

Words: 825 - Pages: 4

Premium Essay

Cis 512 Wk 2 Case Study 1 Revolutionizing the Retail Sector

...512 WK 2 CASE STUDY 1 REVOLUTIONIZING THE RETAIL SECTOR To purchase this visit here: Contact us at: SUPPORT@ACTIVITYMODE.COM CIS 512 WK 2 CASE STUDY 1 REVOLUTIONIZING THE RETAIL SECTOR CIS 512 WK 2 Case Study 1 - Revolutionizing the Retail Sector The Digipos ( Website states, “We design, develop and manufacture our own range of systems that are engineered to meet the challenging and constantly changing demands of a retail environment. Using the latest technologies, we deliver positive, cost-effective solutions in compact, high performance, reliable, and energy saving technologies. Our systems are used by leading retailers around the world.” In 2004, DigiPos launched the DigiPos Retail Blade system, which was the first electronic point of sale (EpoS) system to use blade technology. Go to Intel’s Website and read “Revolutionizing the Retail Sector”, located at Write a four to five (4-5) page paper in which you: 1. Examine and assess the main computing problems Digipos faced with regard to system upgrades. 2. Evaluate the solutions that Digipos used to resolve the problem. Propose an alternative solution that you believe could resolve the problem. Compare and contrast the Quantum Blade to the Retail Blade system in terms of computer architecture and system performance. Activity mode aims to provide quality study notes......

Words: 778 - Pages: 4

Premium Essay

Determinants of Retail Customer Satisfaction: a Study of Organized Retail Outlets in Ernakulum, Kerala

...EXCEL International Journal of Multidisciplinary Management Studies ________________ ISSN 2249- 8834 EIJMMS, Vol.4 (8), AUGUST (2014), pp. 6-19 Online available at DETERMINANTS OF RETAIL CUSTOMER SATISFACTION: A STUDY OF ORGANIZED RETAIL OUTLETS IN ERNAKULUM, KERALA LIGO KOSHY*; DR. S. JOHN MANOHAR** *RESEARCH SCHOLAR, BHARATHIAR UNIVERSITY, COIMBATORE, TAMILNADU. **RESEARCH GUIDE, BHARATHIAR UNIVERSITY, COIMBATORE, TAMILNADU. ABSTRACT Retailing consists of the sale of goods from a fixed location, such as a department store or kiosk, in small or individual lots for direct consumption by the purchaser. Some retailing businesses sells a combination of goods and services. Since the last decade, the field of retailing has experienced significant changes. Retailing in India is one of the pillars of its economy and accounts for 14 to 15 percent of its GDP. The Indian retail market is estimated to be US$ 500 billion and one of the top five retail markets in the world by economic value. India is one of the fastest growing retail markets in the world, with 1.2 billion people. As of 2013, India's retailing industry was essentially owner manned small shops. In 2010, larger format convenience stores and supermarkets accounted for about 4 percent of the industry, and these were present only in large urban centers. India's retail and logistics industry employs about 40 million Indians (3.3% of Indian population). Organized retailers,......

Words: 768 - Pages: 4

Premium Essay

Retail Relays Case

...Retail Relay Case (A) MARK 70350-02 Customer Relationship Management Professor Shankar Ganesan Matt Beck, Bill Brunner, Stephanie Rearick, James Wine Case: Retail Relays (A) (UV 5738) 1. What is the expected customer lifetime value of a newly acquired customer? Use an annual discount rate of 10%. The expected customer lifetime value (CLV) for a newly acquired Retail Relay customer varied according to the study conducted. In the pilot study, the CLV was $24.21 while the full study revealed a CLV of $11.44. As the pilot study was more comprehensive in regards to customer buying trends, a good approximation of CLV would be near the $20 mark. The first step in calculating CLV for both studies was to adjust Retail Relay’s 15% gross margin by taking out distribution costs, which comprised sorting and trucking expenses, arriving at a new net margin of 6%. This net margin was then multiplied by the average basket size and the remaining number of cohort customers according to transition probability. This calculation was done for each purchase occasion of all thirty customers, and then discounted back at the 3-week discount rate of .55% to arrive at the present value for each transaction. The thirty present values were then summed to arrive at the total cohort CLV of each data set. This number was then divided by the number of beginning cohort customers (587 for the full study, and 81 for the pilot study) to arrive at each study’s CLV per customer. 2.......

Words: 2015 - Pages: 9

Free Essay

Small Study

...themselves physically, mentally, and emotionally. This makes females have much lower potential reproductive capacities than males. It started with the work of psychologist David Buss of the University of Texas. In 1985, Buss published an article based on interviews with more than 10,000 participants from 37 cultures. Subjects were given a list of 18 possible characteristics of a mate and asked to rate those characteristics. Almost unanimously both sexes put love, dependable character, emotional stability, and pleasing disposition first. It wasn't until the fifth characteristic that men and women differed. Men choose looks to be more important than women did, and status and money were more important to women. Secondly, Buss’s study and the endless studies of mate choice that followed all led to differences between the sexes. It stated that it must be in our genes for men to want young, appeasing women and women to want older established men because these results make "evolutionary sense." Young women are more fertile than older women and so they would pass on a man's genes. Men with financial resources can provide for offspring, and improve a woman's reproductive success. There are many differences and similarities between men and women; both in the way we are designed physically and the way we process things emotionally. In general the appeal of a relationship for women is the actual relationship. Women naturally gravitate towards the idea of marriage and see it as highly......

Words: 1408 - Pages: 6

Premium Essay

Case Study

... CeeCee retail fashion case study Industry overview Over the last decade, the European clothing market has grown by almost 20% (as measured by sales revenue). However, this headline sales figure hides many of the underlying tensions involved when competing in this market sector. The clothing market has suffered from strong deflationary pressures due to the influx of `value’ retailers and intense competition. `Value’ retailers are defined as low price retailers which import low cost clothing manufactured principally in Asia. These `value’ retailers include some high street chains as well as supermarket chains that sell clothing. Generally, it is accepted that there are three tiers of clothing retailers, which are: couture houses and top designer labels high street retailers of fashion clothing `value’ retailers (as defined above) which retail at the inexpensive end of the market. There are a wide variety of retailers which compete in high street and shopping centres all over Europe (and some globally) whose prices, quality and branding varies greatly. Historically, clothing-only retailers dominated the market, taking nearly two thirds of all sales, with large department stores coming second. More recently large supermarket retailers, known principally for their grocery lines, have gained market share with a major push into non-food sales. Furthermore, in an increasingly competitive market, `value’ retailers are also growing quickly. The major force for change in the clothing...

Words: 8364 - Pages: 34