Location via proxy:   [ UP ]  
[Report a bug]   [Manage cookies]                
Scribd Logo
Upload

Welcome to Scribd!

  • 117 views

    Strategic Planning in Retailing: Retail Management: A Strategic Approach

    Uploaded by

    Vishakh
    The document discusses strategic planning in retailing. It outlines the key elements of a retail strategy, including conducting a situation analysis, defining the organizational mission and ownership structure, selecting target markets, and developing an overall strategy. The strategy addresses controllable variables like location, merchandise, and pricing alongside uncontrollable factors like the economy, competition, and regulations. The document also examines how the legal environment impacts areas of retailing from store location to communications with customers.

    Copyright:

    © All Rights Reserved
    Download as PPT, PDF, TXT or read online from Scribd

    Strategic Planning in Retailing: Retail Management: A Strategic Approach

    Uploaded by

    Vishakh
    117 views21 pages
    The document discusses strategic planning in retailing. It outlines the key elements of a retail strategy, including conducting a situation analysis, defining the organizational mission and ownership structure, selecting target markets, and developing an overall strategy. The strategy addresses controllable variables like location, merchandise, and pricing alongside uncontrollable factors like the economy, competition, and regulations. The document also examines how the legal environment impacts areas of retailing from store location to communications with customers.

    Original Title

    Berman_ch_03

    Copyright

    © © All Rights Reserved

    Available Formats

    PPT, PDF, TXT or read online from Scribd

    Did you find this document useful?

    Is this content inappropriate?

    The document discusses strategic planning in retailing. It outlines the key elements of a retail strategy, including conducting a situation analysis, defining the organizational mission and ownership structure, selecting target markets, and developing an overall strategy. The strategy addresses controllable variables like location, merchandise, and pricing alongside uncontrollable factors like the economy, competition, and regulations. The document also examines how the legal environment impacts areas of retailing from store location to communications with customers.

    Copyright:

    © All Rights Reserved
    Download as PPT, PDF, TXT or read online from Scribd
    Download as ppt, pdf, or txt
    117 views21 pages

    Strategic Planning in Retailing: Retail Management: A Strategic Approach

    Uploaded by

    Vishakh
    The document discusses strategic planning in retailing. It outlines the key elements of a retail strategy, including conducting a situation analysis, defining the organizational mission and ownership structure, selecting target markets, and developing an overall strategy. The strategy addresses controllable variables like location, merchandise, and pricing alongside uncontrollable factors like the economy, competition, and regulations. The document also examines how the legal environment impacts areas of retailing from store location to communications with customers.

    Copyright:

    © All Rights Reserved
    Download as PPT, PDF, TXT or read online from Scribd
    Download as ppt, pdf, or txt
    of 21

    Chapter 3

    Strategic
    Planning in
    Retailing RETAIL
    MANAGEMENT:
    A STRATEGIC
    APPROACH,
    10th Edition

    BERMAN EVANS
    Retail Strategy

     The overall plan or framework of action that


    guides a retailer
    One year in duration
    Outlines mission, goals, consumer
    market, overall and specific activities, and
    control mechanisms

    3-2
    Figure 3-1: Elements of a
    Retail Strategy

    3-3
    Step I-Situation Analysis
    • Evaluation of opportunities and threats
    • Use of PEST( political,
    economical,social,technological)analysis,SWOT,BCG Matrix ,Porter’s
    five forces,
    • Guided by mission, ownership and management options and
    category of goods and services to be sold

    3-4
    Organizational Mission

    Retailer’s commitment
    to a type of business
    •
    and to a
    attitude toward consumers,suppliers,competitors,employee etc

    distinctive role in the marketplace


    • To be leader or follower
    • To focus around products or consumers
    • To target mass market or small customer base

    3-5
    Mission statements
    • Café Coffee Day-To be the best café chain
    in the country by offering world class coffee
    experience at affordable prices
    • Shopper’s Stop-To be a global retailer in
    India,and to maintain the no 1 position in
    Indian market in the department store
    category

    3-6
    Ownership and Management
    Alternatives
     A sole proprietorship is an unincorporated retail
    firm owned by one person
     A partnership is an unincorporated retail firm
    owned by two or more persons, each with a
    financial interest
     A corporation is a retail firm that is formally
    incorporated under state law; it is a legal entity
    apart from its officers

    3-7
    Figure 3-5a: Selected Kinds of Retail
    Goods and Service Establishments
    Durable Goods Stores:
    Automotive group
    Furniture and appliances group
    Lumber, building, and hardware group
    Jewelry stores

    Nondurable Goods Stores:


    Apparel group
    Food group
    General merchandise group
    Gasoline service stations

    3-8
    Figure 3-5b: Selected Kinds of Retail
    Goods and Service Establishments
    Service Establishments (Personal):
    Laundry and dry cleaning
    Beauty/barber shops
    Funeral services
    Health-care services

    Service Establishments (Amusement):


    Movie theaters
    Bowling alleys
    Dance halls
    Golf courses

    3-9
    Figure 3-5c: Selected Kinds of Retail
    Goods and Service Establishments
    Service Establishments (Repair):
    Automobile repair
    Car washes
    Consumer electronics repair
    Appliance repairs

    Service Establishments (Hotel):


    Hotels
    Motels
    Trailer parks
    Camps

    3-10
    Step II-Objectives
    • Long and short term target in terms of
    sales ,profits,satisfaction and image to be
    achieved

    3-11
    Image and Positioning

    An image represents
    how a given retailer is
    perceived
    by consumers and others

    3-12
    Positioning Approaches
     Mass merchandising is a positioning approach
    whereby retailers offer a discount or value-oriented
    image, a wide or deep merchandise selection, and
    large store facilities .e.g Wal mart,koutons
     Niche retailing occurs when retailers identify
    specific customer segments and deploy unique
    strategies to address the desires of those
    segments rather than the mass market e.g
    Lilliput,catmoss,mom& pop,costa coffee,Barista
    planet M,Ritu wears,jagdish store,benetton’s baby
    on board
    3-13
    Figure 3-7: Selected Retail
    Positioning Strategies

    3-14
    Step III-Target Market Selection

    • Three techniques
     Mass marketing- for masses Mc Donald,Nescafe
     Concentrated marketing- for one specific group e.g
    Tiffany for status conscious,cross roads mumbai
    target upper middle class
     Differentiated marketing-for different groups with
    differentiation-,anarkali sarees

    3-15
    Strategic Implications of Target
    Market Techniques

     Retailer’s location
     Goods and service mix
     Promotion efforts
     Price orientation
     Strategy

    3-16
    Step IV- Developing an Overall Retail
    Strategy

    Controllable Uncontrollable
    Variables: Variables:
    •Store location •Consumers
    •Managing business •Competition
    •Merchandise •Technology
    Retail •Economic
    management
    Strategy
    and pricing conditions
    •Communicating •Seasonality
    with customer •Legal restrictions

    3-17
    Legal Environment and Retailing

     Store Location
     zoning laws-restriction on location
     blue laws- restriction on days and hours
     environmental laws- restriction on some site
     direct selling laws- consumer privacy
     local ordinances-fire,smoking,lighting etc
     leases and mortgages- tenancy laws

    3-18
    Managing the Business
    •licensing provisions- min education, experience
    •personnel laws- non discrimating hiring,promotion
    •antitrust laws- restrict large firms mergers and acquisition
    •franchise agreements- legal provisions
    •business taxes
    •recycling laws

    3-19
    Table 3-4b: Legal Environment and
    Retailing
     Merchandise Management and Pricing
     Trademarks- exclusive rights
     merchandise restrictionsr-estriction on selling some
    products
     product liability laws – retailer liability for defective item
     lemon laws- consumer rights in case of products which
    require continued repairs
     sales taxes
     unit-pricing laws- price per unit to be displayed
     collusion laws- prohibit retailers discussing selling prices
    with competitor
     sale prices
     price discrimination laws

    3-20
    Table 3-4c: Legal Environment and
    Retailing
     Communicating with the Customer
     truth-in-advertising and selling laws
     truth-in-credit laws-shoppers to be informed of credit terms
     telemarketing laws- privacy to be maintained in sales calls
     bait-and-switch laws-it is illegal to lure shopper to buy low
    priced item and then aggresively try to sell a high priced item
     inventory laws- minimum stocks
     labeling laws- proper labeling
     cooling-off laws- consumer can cancell orders

    3-21

    You might also like