Term
| What are the 3 Strategy Components |
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Definition
Target Market
Retail format
sustaniable competitive advantage |
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Term
| What is the Retail Format Mix? |
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Definition
- types of merchendise and servies
- pricing polcy
- advertising and promotion programs
- stre design
- visual merchandising
- location
- customer service
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Term
| Define Susstaiable competitive advantage |
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Definition
an advantage the retailer has over its competition that is not easily copied by its competitors |
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Term
| What are the 4 growth strategies (clockwise) |
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Definition
- market penetration(EE)
- market expansion (EN)
- Diversification(NN)
- format development(NE)
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Term
| what are the global epansion strateies |
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Definition
Direct investent
strategic alliance
joint venture
franchising |
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Term
| advantage/disadvatae of direct investment |
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Definition
define: opening your own company overseas
A: only your compnay makes decisions
D: very expensive, risky if no prior knoweldege about area |
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Term
Joint Venture
define/ advantage/ disadvatage |
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Definition
forms new company in partnership with compnay that is already established in region
advantage: not as risky, local knowledge
disadvantage: no complete control |
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Term
strategic alliance
define/advantage/disadvantage |
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Definition
collaborative relationship between independent firms
A: local knowledge
D: Still have to pay large amount to open independently
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Term
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Definition
allowing somebody to open your store for a fee
A:little risk, still control over many things
D: the franchisee could give your business a bad name |
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Term
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Definition
Locations that have a management group dictating where busineses can go
I.e. Mall, Strip mall, community center...etc... |
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Term
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Definition
Locations where there is no management group
ie. buying a normal store on a street |
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Term
| advantages/ disadvatages of unplanned locations |
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Definition
A: a lot more freedom for signs and displays
D: upkeep of parkinglots and sidwalks is up to you |
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Term
| advantage/ disadvantage of planned locations |
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Definition
A: many "housekeeping" jobs are on them
D: they can dictate what kinds of sings or displays you put up, may be located close to competition |
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Term
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Definition
| the ablility for shoppers to shop at multiple stores of a similar type all at once (very convient so draws people in) |
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Term
| 4 primary considerations of evaluating locations |
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Definition
- Economic conditions
- competition
- strategic fit
- operating costs
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Term
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Definition
| opening to many stores in a region (for economies of scale) and they start stealing customers from each other |
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Term
| accessibility considerations |
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Definition
traffic flow
natural barriers- ie mountians and rivers
artifical barriers- ie rail road tracks |
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Term
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Definition
| the stores around you should be similar to your target market -ie car dealerships all in a row |
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Term
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Definition
| stores that depend on other stores or events bringing their customers to them |
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Term
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Definition
| geographic area around store where 50-70% of customers come from |
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Term
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Definition
| geographic area around store where 20-30% of customers come from |
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Term
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Definition
| area outside of secondary trade area that some customers still come from |
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Term
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Definition
How trade areas are measure
-litteraly looking at where customers are from and mapping it |
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Term
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Definition
lease is paid as a percent of sales (sometimes also has a fixed base price)
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Term
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Definition
| Lease is paid like normal lease, set amount of money every month regardless of sales |
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Term
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Definition
Productivity
Turnover
Engagement |
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Term
|
Definition
sales generated per employee
net sales / # of employees |
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Term
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Definition
how many people leave per year (%)
# people who left/ # of positions |
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Term
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Definition
| How much the employee truely cares about the company they work for (could be called motivation) |
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Term
| Downward performance spiral |
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Definition
High costs→ layoffs/ reduced pay→ decreased employee moral→high costs...etc
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Term
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Definition
Turnover
Part-time employees
expense
Diversity
Internatonal factors |
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Term
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Definition
| the process in which managers share power and decision-making authority with employees |
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Term
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Definition
| Customer Relationship Management is a business philosophy and set of strategies, programs and systems that focuses on identifying and building relationships with a retailers valued customers |
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Term
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Definition
| customers are committed to purchasing merchandise and service from the retaier and will resis the activities of competitors |
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Term
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Definition
| Cutomer Lifetime Value- the expected contribution from the customer to the retailers profit over their entire relationship |
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Term
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Definition
recently
Frequently
Money
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Term
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Definition
Platinum- top 25%
Gold-next 25%
Iron-not good enough
lead- want to drop these customers |
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Term
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Definition
suggesting another product to be purchased with the orgial product
ie. amazon's "people who bought this also bought this" |
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