Chapter 6 Wholesale And Retail Trade
The average shipment distance was shorter by truck than by all other modes and longest by air (figure 6-10). These five States produce more of all goods and services than other States (figure 6-2, Table 6-2). Retailing, the selling of merchandise and certain services to consumers. It ordinarily involves the selling of individual units or small lots to large numbers of customers by a business set up for that specific purpose.
Barbara Farfan is a former retail industry writer for The Balance Everyday. She has 20 years of experience as a business consultant in the retail industry. Helps you understand market dynamics to give you a deeper understanding of industry competition and the supply chain. Though retail traders and institutional traders are different breeds of traders, retail traders often become institutional traders.
The purchasers in the wholesale sector are buying goods for business purposes. Alternatively, they might use those goods as components for a final product which they then sell. E-tailers – online retailers that sell via the internet and have products delivered to your door.
Primarily truck transportation services (e.g, used to carry goods, such as clothing and food, to stores), which accounted for 62.6 percent ($174,882 million) of all transportation services used by the sector. Discounters sell a wide variety of products that are often privately labeled or generic brands at below-retail prices. Discount retailers like Family Dollar, Dollar General, and Big Lots will often source closeout and discontinued merchandise at lower-than-wholesale prices, which passes savings onto consumers. For on-the-go consumers, these are usually a retail location that primarily sells gasoline—they sell a limited range of grocery merchandise and auto care products at a premium “convenience” price. These retailers sell all types of food and beverage products, and sometimes also home products and consumer electronics as well. This knowledge can help you gain an understanding of the processes involved in getting merchandise to the shelves and the effect a supply chain can have on pricing and sales.
The discounts substantially lowered their cost compared to costs of single unit retailers. As a result, they could set retail prices that were lower than those of their small competitors and thereby increase their share of the market. Furthermore, chains were able to attract many customers because of their convenient locations, made possible by their financial resources and expertise in selecting locations. That is, they carry many different types of merchandise, which may include hardware, clothing, and appliances. Each type of merchandise is typically displayed in a different section or department within the store.
Without a middleman, you can get to know your customer base in great detail. One of the key differences to wholesaling is that you get to deal with them directly. This means you can get a sense of their preferences and their habits, and your business can respond quickly to that.