Retailing is selling goods and services to the ultimate consumer. Thus, the retailer is the most expensive link in the chain of distribution. Being middlemen, they make their profit by charging the customer 25 to 100 per cent more than the price they paid for the item.
The retailers operate through stores, mail-order houses, vending machine operators. There are different types of retail stores: department stores, discount houses, cooperatives, single line retailers. The major part (over 95 per cent) of retail establishments concentrate on a single line of merchandise for example, food, hardware, etc. But nowadays there is a trend for many single line stores to take on a greater variety of supplies.
The retailer performs many necessary functions. First, he may provide a convenient location. Second, he often guarantees and services the merchandise he sells. Third, the retailer helps to promote the product through displays, advertising or sales people. Fourth, the retailer can finance the customer by extending credit. Also the retailer stores the goods in his outlet by having goods available.
retailing - роздрібна торгівля
ultimate consumer - кінцевий споживач
link - ланка, зв’язок
mail-order house - “товари поштою”
vending machine operator - оператор торгівельних автоматичних машин
(які продають дрібні товари: газети, цигарки и т.п.)
discount house - магазин з відносно низькими цінами на товар
cooperative - кооператив
single line retailer - роздрібний торговець, який продає який-небудь
to perform functions - виконувати функції
extending credit - довготривалий кредит
outlet - ринок збуту, торгівельна точка
discount — знижка
1. What is retailing?
2. What are four different types of retail stores?
3. What are at least two types of retailing that do not include the use of a store?
4. In what way does a retailer serve a customer?
5. In what way does a retailer serve a manufacturer?
6. Which per cent of the price of the good sold goes to the retailer?
7. What is the trend with a single line retailer now?
Exercise 1. Put the necessary word in the sentence.
1.... is one function a retailer may perform. 1 mail-order
2. You can buy newspapers, cigarettes, cookies from a .... 2 discount
3.... is the most expensive link in the chain between a producer
and a consumer. 3 vending- I machine
4. The firm... good quality of the product. 4 guarantees
5. She doesn't like to go shopping, she prefers to do it by.... 5 retailer
The department store is having a sale and there is a 20 per 6 link
cent... on all light dresses. 7 extending credit
7. Wholesaler is an important... between a producer and a consumer.
(Jean has just moved into a new house. Her neighbour, Liz, has come over to welcome her.)
Jean I am very glad to see you here.
Liz How do you like the new place?
Jean It's marvelous. I am sure we are going to love living here.
Liz Well, have a look, here it's a shopping guide for the neighbourhood and a booklet of discount coupons. New neighbours always receive them. There is one coupon for every store in the shopping guide.
Jean Oh, thank you. It's come in time. I have a lot of shopping to do.
Liz I can imagine, having just moved in. Not far from here there's a very good shopping center. You can also find a huge supermarket, a drugstore, some department stores in the neighbourhood.
Jean Great. Are there any small stores nearby?
Liz Oh, yes. The map is right here in the shopping guide. There is a little drugstore a
few blocks away, a little grocery store next to it, a little boutique, an ice cream
parlor, a pizza place. You can find a plant store not far from here too.
Jean Are there any good discount houses nearby? We terribly need a new toaster. Everybody in my family likes toasts for breakfasts very much. I'd like to buy it.
Liz Oh, sure. There is a good discount store in the shopping center.