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The services offered by competitors will have a little effect on the level and variety of
customer services offered.
The best way to improve sales is to place as much merchandise as possible into the
store.
An item that is sold below a retailer's cost is known as a loss leader.
A retailer employing the mass merchandising formula can get trapped in an endless
cycle of lower margins, frequent sales promotions, higher traffic, and higher efficiency.
Discount department stores are typically classified as high-margin, high-turnover
retailers.
External forces affecting channels cannot be completely controlled by the retailer or any
other institution in the supply chain, but they need to be taken into account when
retailers make decisions.
The basic stock method (BSM) of inventory planning is most useful when a retailer has
a low turnover rate or when sales are erratic.
Department stores are closing their downtown locations, which often were their largest
stores, because the downtown areas of many cities have become 'ghost towns.'
Trade discounts are illegal when they do not correctly reflect the costs of the
intermediaries' services.
Advertising should be concentrated around times when people receive their payroll
checks.
