Professional Documents
Culture Documents
1
Step1: Define Research
Problem/objective
a. PROBLEM DISCOVERY
• Symptom
• Problem
• Decision
b. PROBLEM DEFINITION
• the purpose of the study
• the relevant background information
• what information is needed
• and how it will be used in decision
making
2
c. RESEARCH OBJECTIVES
• Research question:.
• Development of hypotheses
• Research boundaries
3
Hypotheses development
model
Source
•Theory
•Management
experience
•Exploratory
research
Research
Objective
4
• Hypothesis Definition: Tentative
theory or supposition provisionally
adopted to explain certain facts and
guide the investigation of others.
• Types of Hypothesis:
– Null Hypothesis (H0):
– Alternative Hypothesis (HA or H1):
5
Step2: Determine Expected
value of perfect
• The Valueinformation
of Information
– useful,
– willingness to act on the information.
– The accuracy of the information.
– The level of indecisiveness that would
exist without the information.
– The amount of variation in the possible
results.
– The level of risk aversion.
– The reaction of competitors to any
decision improved by the information.
– The cost of the information in terms of
time and money.
6
• Characteristics of Valuable
Information
– Relevance
– Quality
– Timeliness
– Completeness
7
Step3: Research Technique and
Determine Data Collection method
8
• Difference between Qualitative
&Quantitative research
9
Data collection technique
or research Technique:
• Sources of Data - Primary and Secondary
2.–
10
2. OBSERVATION
3
Observation Research
People
People Mystery Shoppers
Watching
Watching
People
People One-Way Mirrors
Types
Types of
of People
People
Observation
Observation Watching
Watching Audits
Research
Research an
anActivity
Activity
Machines
Machines Traffic Counters
Watching
Watching
People
People Passive People Meter
36 11
3. EXPERIMENTATION
4. Diary panels
3. Focus group discussions
(F.G.Ds):
4. Depth interviews
12
13
Why ConsumersBuy
Fashions
• Communicate with others
• Manage Appearance
• Express Self-Image
• Enhance Ego
• Impress Others
14
What Creates Fashion?
Economic Factors
Sociological Factors
15
What Affects the Rate Fashion
Spreads?
Advantage
Compatibility
Complexity
Trialability
16
Theories of Fashion
Diffusion
Trickle-Down Theory
17
Stages in the Fashion Life
Cycle
18
Chapter II – Introduction to
retail
Ajith Kumar C. C
Manufacturer’s Perspective
The Four P’s of Marketing
Retailers
Retailersare
are part ofthe
part of the
distribution channel
distribution channel
Product
Distribution Price
Promotion
20
Distribution Channel
PPT 1-4
Distribution Channel
21
Decision Variables for
Retailers
Customer Service
Communication
Mix
22
Economic Significance of
Retailing
Over $2.5 trillion in annual U.S. sales
-greater than medical care, housing, recreation
combine
Employs 17% of population
-about the same as manufacturing and growing
Management training opportunities
Entrepreneurial opportunities
23
India has joined the elite club of 12 countries with
a trillion dollar economy. The country's GDP
crossed the trillion-dollar mark for the first time in
history when rupee appreciated to below 41-level
against the US greenback yesterday, Swiss
investment bank Credit Suisse said in a report
published on Thursday.
Countries like the US, Japan, Germany, China, UK,
France, Italy, Spain, Canada, Brazil and Russia
have all breached trillion-dollar GDP level in the
past.
24
Nature of Retail Industry is
Changing
To Today’s Retailer
25
Retailing is a High Tech
Industry
- Selling Merchandise over the Internet
26
Hot Topic’s Retail Mix
Communication Pricing
Mix
27
Macy’s Retail Mix
Customer
Location
Service
Pricing
Communication
Mix
28
Macy’s Retail Mix
Location Strategy
Enclosed Malls
Customer
Service
Communication Pricing
Mix 29
Macy’s Retail Mix
Assortment Strategy
Customer
Service Location
Store Design
and Display
Many Items in
Apparel and
Communication
Soft Home
Mix Pricing
30
Macy’s Retail Mix
Location
Pricing Strategy
Customer
Merchandise
Service
Assortment
Store Design
and Display
Communication
Mix
Moderate with
Frequent Sales
31
Macy’s Retail Mix
Customer
Service Location
Pricing
32
Macy’s Retail Mix
Customer
Service Location
Communication
Mix Pricing
33
Macy’s Retail Mix
Customer Service
Modest
Location
Merchandise
Assortment
Store Design
and Display Pricing
Communication
Mix
34
Wal-Mart’s Retail Mix
Customer Location
Service
Communication Pricing
Mix
35
Wal-Mart’s Retail Mix
Location Strategy
Free-standing Stores
Customer
Service
Communication
Mix Pricing
36
Wal-Mart’s Retail Mix
Assortment Strategy
Customer
Service Location
Large Number
Store Design
and Display
of Categories
Few Items
Communication in Each Category
Mix Pricing
37
Wal-Mart’s Retail Mix
Location
Pricing Strategy
Customer
Merchandise
Service
Assortment
Store Design
and Display
Communication
Mix Low, EDLP
38
Wal-Mart’s Retail Mix
Customer
Service Location
Communication Mix
Store Design Merchandise
and Display Assortment
Pricing
TV and Newspaper
Insert Ads
39
Wal-Mart’s Retail Mix
Customer
Service Location
Basic, Special
Merchandise
Displays Assortments
for Products
Communication
Mix Pricing
40
Wal-Mart’s Retail Mix
Customer Service
Limited
Location
Merchandise
Assortment
Store Design
and Display Pricing
Communication
Mix
41
Chapter III - Types of Retailers
Ajith Kumar C. C
Types of Retailers
Food Retailers
Mom and Pop Stores
Convenience Stores
Supermarkets
General Merchandise
Supercenters
Retailers
Department Stores
Specialty Stores
Discount Stores
Category Specialists
Off-Price Retailers
Warehouse Clubs
Food Retailers
Electronic Retailing
Direct Selling
Vending Machines
Types of Nonstore Retailers
Examples of Service Retailers
Type of Service Service Retail Firms
Airlines American, Delta, British Airways, Singapore Airways
Automobile maint/repair Jiffy Lube, Midas, AAMCO
Automobile rental Hertz, Avis, Budget, Alamo
Banks Citibank, NCNB, Bank of America
Child care centers Kindercare, Gymboree
Credit cards American Express, VISA, Mastercard
Education University of Florida, Babson College
Entertainment parks Disney, Universal Studios, Six Flags
Express package delivery Federal Express, UPS, US Postal Service
Financial services Merrill Lynch, Dean Witter
Fitness Bally’s, Gold’s Gym
Health Care Humana, HCA
Home maintenance Chemlawn, MiniMaid, Roto-Rooter
Merchandise/Service
Continuum
Chapter III – Components of
Merchandising
Ajith Kumar C. C
Merchandizing -
Components
Analysis
Planning Control
Acquisition Handling
Chapter IV – Theories of
Retail
Ajith Kumar C. C
Theories of Retail Institution
Change
CYCLICAL THEORIES
Wheel of retailing (price/service)
Accordion Theory (assortment)
EVOLUTIONARY THEORIES
Dialectic process (retailer)
Natural selection (customer)
Wheel of Retailing
The Dialectic Process
THESIS
Department store
High margin
Low turnover SYNTHESIS
High price
Full service Discount department
Downtown location store
Plush facilities Average margins
Average turnover
Moderate prices
Limited services
ANTITHESIS
Suburban locations
Discount store Modest facilities
Low margin
High turnover
Low price
Self-service
Source: Reprinted with the permission of
Low rent location Macmillan College Publishing Company from
Spartan facilities Retailing, 4th Edition, by Dale M. Lewison.
Copyright © 1991 by Macmillan
College Publishing Company, Inc.