BBA Study Material Business Organisation Retail Trade
BBA Study Material Business Organisation Retail Trade :-In This Article You Can Find Meaning Retail trade Wholesaler Business Organisation Notes . and Departmental Sore, Multiple Store, Super Bazar, Wholesaler Means That Its Is Best Topic of Business Organisation Study For BBA 1st Semester Year . Here You Find Topic Wise,Chapter Wise, Subject Wise Study Material BBA Management introduction of management And other Links of Related to the Business organisation . How To Learn BBA Business organisation Notes Levels of management scientific management introduction of management spacial of bba and mba other Departmental Sore, Multiple Store, Super Bazar, Wholesaler You Here . Thanks For Read This Article. Knowledge is the only meaning full resource today. The traditional factors of production-land, labour and capital have not disappeared. But they have become secondary. Speaking and writing effectively is important, but nowadays greater importance lies acquiring a firm and job oriented technical know-how. We are in continuum of producing edition series of BBB Notes Video classes, which is providing aspirants self-help BBA study material in the form of question/Answer series. This Question Paper series for BBA has been written according to the latest national curriculum approved by course includes C.C.S University. The Purpose of this series is to enable the student to develop a better understanding of the concerned subject in the field of business management-both in theory and practical aspects. It also aims at inculcating the student a deeper appreciation for entrepreneurship. BBA notes Language of the series is simple and lucid. The word Business organisation originates from the word ‘organism’ which means a structure with its parts so integrated that their relation to each other is governed by their relation to be whole.
Large scale retail trade is a type in which either single type of goods or a variety of goods is made available to a large number of consumers in a big shop under a single roof or may be made available at the convenience of customers. Types of retail trade in India, generally we find the following types of large-scale retailing business.
- Departmental Store.
- Multiple Shops.
Departmental Store (BBA Study Material)
A Departmental store a large-scale retail shop where a large variety of goods are sold in a single building. The entire building is divided into a number of departments or counters. In each department specific type of goods like stationary items, books, electronic goods, garments, jewellery etc., are available. All these departments are centrally controlled under one department to another. To encourage people to do all their shopping in one store, these stores customers. The departmental stores are very popular in USA and Europe. In out country, you can find such stores in big cities. Ebony and shoppers, stop in Delhi, Spencer in Chennai, Kid’s kemp in Banglore are some examples of departmental stores.
In the previous section, we learnt that in a departmental store, the whole business is carried on in one building and the customers are drawn to it. Now we shall read about multiple shops under which customers are approached by big manufactures, by setting up setting up shops near customers. Have you ever observed that there are some retail stores running in your town/city having the same name same design and dealing in the same type of products under a single brand name. Yes, you may say, there is Bata shop , HMT watch shop, MCDonalds, restaurant, etc. these are the multiple shops, they sell similar range of commodities at the same price in all their shops. These shops are usually owned and run by big manufacturers/producers. They open a number of branches at different localities in a city or in different cities and towns in a country. Thus, these shops also called ‘chain stores’.
Super Bazar (BBA Business Organisation Notes)
Super Bazar is another kind of large-scale retail organisation from where we can buy most of our household requirements for a week or a month on one visit. Super Bazar is a large scale consumers co-operative store, which sells a wide variety of products like food items, vegetables, fruits groceries as well as durable consumers goods all under one roof. It is formed with the objective of selling goods of daily necessity to its members and also to the general public at a reasonable price by eliminating the middlemen in the process of distribution.
Simple stated, wholesaler are those who happen to engaged in wholesaler or wholesaler trade. In a broad sense, any individual or business firm, selling goods in relatively large quantities to buyers other than the ultimate consumers may be called a wholesaler. Thus manufacturers who sell their products directly to retailers may be regarded as wholesalers. However, in a more specific sense the term wholesaler may be defined as a merchant middleman engaged in buying the reselling of goods to retailers and other merchants or to industrial or commercial users. The wholesaler does not sell the products to ultimate consumers. The wholesalers belong to the category of merchant middlemen who acquire title to the goods they handle. Agents or brokers may also act as wholesale middlemen but they do not acquire the title to goods. Wholesalers act as middlemen between producers or importers of goods on the one hand, and retailers or industrial users on the other. The goods Iradcd by wholesalers may include agricultural commodities, forest products, minerals as well as manufactured goods.
Importance of Wholesalers (BBA Study Material)
Manufacturing companies often do not have adequate capital to employ salesmen to contact a large number of retailers. Many small retailers run their business in remote areas and to contact them may be too expensive. Moreover, small retailers generally prefer to buy products in small quantities due to their limited capital lack of market information and sources of supply. Place sufficiently large order with the manufacturers keeping in view the requirement of a number of small retailers in his area. In that process, the wholesaler is in a position to meet the small orders of retailers.
From the society point of view, the distribution of goods may be efficient because of the specialized knowledge and skill of wholesalers. On the other hand, manufacturers can concentrate on the efficient production of goods. Naturally, they do not undertake the distribution of their products because their efficient in manufacturing would suffer on account of divided attention.
Types of Wholesalers
Wholesalers, May deal in a large or limited variety of products, restrict their activities mainly to wholesaling or perform various functions incidental to their trade, and may operate in small or large geographical territories. Accordingly, wholesalers may be classified on the following three different bases :
- General merchandise wholesalers: Those who deal in two or more unrelated types of 11 products. For instance, a wholesaler may deal in a number of consumer durables like electrical goods, sports goods, cosmetics, hosiery, etc.
- General-line wholesalers: Those who carry a number of goods in the same product line. For instance, a wholesaler may carry convenience goods of daily household necessity like soaps, detergents, toothpaste, razor blades, etc., or may stock cereals/and provisions like wheat, rice, dal, etc.
- Single-line or specialty wholesalers: Those who restrict their operation to a narrow range of products, i.e., specific products. Wholesalers dealing in a few varieties of textiles (cloth), or carrying varieties of printing papers only may be called specialty wholesalers, or single-line wholesalers.
Functions of Wholesalers (BBA Notes)
- Assembling products: The basic function of every wholesaler is that of procuring goods from manufacturers and holding large enough stocks for sale to the retailers.
- Arranging storage: The wholesaler has to make arrangements for holding stocks to meet the needs of retailers from time to time. He must see that goods in stock are not spoiled or damaged. For proper storage, he may have his own warehouse or hire one.
- Grading and packaging: Wholesalers who usually purchase in bulk may have to do the grading of products, i.e., sort out the products according to quality or size or other factors. For convenience. It may also be necessary for the wholesaler to undertake to the package of goods.
- Transporting goods: The wholesaler is generally required to arrange transportation of the goods procured from the place of manufacture to his godown. Often he is also to arrange delivery of the goods to retailers according to their needs.
- Distribution of goods: Goods assembled and held in stock must be made available to the retailers who may be scattered in different parts of a city or region. For this purpose, advertisement and employment of salesmen must be undertaken by the wholesaler.
- Risk-bearing : Procurement and holding large stocks of goods in anticipation of demand form retailers involves considerable risk of loss for the wholesalers. It market conditions change due to reduced demand or entry of competitors the wholesalers and up with huge unsold stock.