"Internet Retailing"--chapter II Retailing and retailing

Chapter II Retail and retail trade

Section one retail, retailer and retail trade

I. Retail

Retail is a form of buying and selling, which derives from the basic functions of the merchant, and refers to the commercial form of selling goods and services to the end consumers in a decentralized and sporadic manner. Retail is one of the most primitive, the most direct, the simplest, but also the most common way of trading, is a global economic phenomenon.

(i) Exchange of origins

Commodity Exchange is one of the earliest activities of human beings. The history of commodity exchange dates back to ancient China 3,000 years ago. "I Ching" in the Record "Nizhongwe, to the world's people, gather the world's goods, trading and retreat, to their own." [①] China has formed a wider social division of Labor in the age of Mencius. Mencius believed that the motive of human exchange was "Tong Gong". [②] and Adam Smith regarded the exchange as a natural "human tendency". "This tendency is to exchange, barter, and trade with each other." [③]

The essence of commodity exchange is the exchange of commodity ownership. Marx thought: "All goods to their owners is not use value, to their non-owner is the use value." Therefore, the goods must be changed hands. This change of hands will form the exchange of goods ... "" every owner of a commodity wants only to send his goods in exchange for goods that can satisfy his own needs. "[④] the exchange of goods is determined by four conditions, namely the utility of the exchange, the scarcity of the exchange, the clear attribution of the exchange, and the free nature of the acquisition of the exchange." [⑤]

The initial commodity exchange is barter. People use barter to exchange the goods they need. For example, a sheep to change a stone axe. But sometimes limited by the type of material used for exchange, it is necessary to find an item that can be accepted by both parties. So in a large number of commodity production and exchange, produced as a general equivalent of goods. It can be used to indicate the value of any commodity. Slowly, the commodity that acts as a general equivalent is fixed. The general equivalent of being fixed is money. Money can be exchanged with all commodities, showing the value of all goods, can buy all goods, so that the exchange of goods become simple and convenient, thus promoting the development of commodity economy, promote the development of production.

Commodity exchange needs in a certain space region, the exchange of places gradually fixed, gathered more people, there is a "city", and later on the "city" built on the foundation of the city. Form what we call the "tangible market" today. In this market, people use Suphung as currency. We call this currency "tangible currency". In this tangible market, the subject of the exchange of goods gives the ownership of goods or services and money to each other, forming the business model that we are accustomed to today. This mode of commodity circulation is the content and field of traditional economics, circulation economics, retailing science and marketing.

(ii) Retail features

Retail is relative to the wholesale, it exists because of the inconsistency between production and consumption. The contradictions between production and consumption include: concentrated production of origin, distribution of dispersed consumption, seasonal concentration of production, sales of perennial consumption, production volume scale, scattered consumption, coupled with the performance of many commodities, but also decided to consume with the purchase, with the purchase, dispersed. All these need to be adjusted, connected and alleviated through the retail activities of the merchants, in order to ensure the smooth progress of the social reproduction, to meet the dispersed, sporadic and diverse consumption needs.

1, Retail is the most primitive way of trading

It is one of the most primitive buying and selling behavior that accompanies the advent of exchange, because of the low productivity and the exchange of surplus, therefore, whether it is the most primitive barter exchange w-w '. , or a simple commodity exchange g-w-g, where a businessman is involved, is sold to the final consumer in a single, small, piecemeal fashion. The law of the development of commercial form is gradually developed from retail to wholesale, from retail trade to wholesale trade, from merchant to tradesman. There is no other commercial form without retail.

2, Retail is the most direct way of trading

All merchants selling goods, including commercial and commercial persons, are directly facing the final consumer, whether personal consumption or social group of unproductive consumer goods collective consumption, are direct, realistic, face-to-face sales and services, see, Touch, but also face-to-face bargaining, direct contact, direct feeling, Buy at ease

3. Retail is the easiest way to trade

Deal in person, money goods, there is no cumbersome procedures, no complex process, without any intermediate links, as long as the price is appropriate, customer satisfaction, hand-handed delivery, in a very short period of time, the completion of all trading process. To ensure that consumers can get goods, timely consumption.

4, Retail is the most common way of trading, exists in the vast urban and rural space

No matter which country, no matter what time, as long as there is a commodity exchange, there is a common form of retail trade. All consumer goods and some of the means of production are used in this form to achieve the transfer of goods or services from the production sector to the consumer sector.

5, the retail format is also a variety of

The total can be divided into two main categories: first, shop sales to tradesman form, in a certain position, the sale of goods to the corresponding store form, including even shop, kiosk, front shop, and a variety of fixed sales venues, and the second is no shop sale, that is, there is no fixed place for sale of goods, but with the help of telephone, television, network, and selling goods or services to consumers in the form of salesman and vehicles.

Ii. Retailers

The retailer refers to the merchant and the commercial enterprise specialized in the retail transaction activity, it is in the middle link between the producer and the consumer, the wholesaler and the consumer, is from the manufacturer (supplier) and the wholesaler purchase, sells to the general consumer in the dispersed, the sporadic form, and obtains the compensation the economic behavior.

(i) nature of the retailer

1, it is to the vast number of consumer demand as the center of a commercial form (wholesale is based on retail-centric), the operation of goods and services must be close to meet the needs of consumers. To meet consumer demand for their own responsibility, in order to survive, to profit, to develop. It is to consumer demand as the starting point, through their own business activities, the exchange of media goods and provide services to the shortest distance, the fastest speed, the most provincial costs, to maximize the needs of consumers.

2, it is the final link of commodity circulation, through its activities, the merchandise sold out, to achieve the commodity from the circulation into the consumer field of the whole process. This process, on the one hand, through meeting the needs of consumption to achieve the value of goods, on the other hand through the exchange of money to achieve the value of goods, complete the social reproduction of the final task.

3, it is the ultimate manifestation of social value. Retail prices are the ultimate price, and it is the most complete realization of the value of goods. The realization of the retail value is the whole of the value which the commodity condenses in the production link and the circulation link, including the production cost, the operating cost, the various expenses and the profit of the reproduction process. It realizes the social value of the enterprise while realizing the value of the commodity itself.

4, it is the dual identity of the production and consumption of the spokesperson, played to adjust, running-in and ease the role of intermediary conflict. Retailers represent the interests of consumers, bargaining with the producers, strict quality clearance, as far as possible to buy cheap goods, to safeguard the interests of consumers; At the same time, it represents the interests of producers, for producers to sell goods, to various promotional means, expand the number of sales and market share, in the realization of their own interests, Realize the value created by the producers, support and expand the production development.

5, it embodies the basic business functions, including commodity procurement, processing, storage, transportation, sorting, packaging and so on. Through sales activities, to provide a variety of services, a centralized and systematic embodiment of the various aspects of commodity circulation social functions.

(ii) The functions of the retailer

1. Organize sourcing. This is the retailer's primary function, buy first, sell, buy is the starting point, selling is its ultimate goal. As a result of many varieties of goods, the origin of dispersed, relatively concentrated consumption, therefore, procurement of goods, organization sourcing has become the basic function of the retailer. From the actual needs of local consumers, according to the business scope of different business, to the producers, suppliers or wholesale market for partial procurement, the organic combination of commodities, and then sold to the final consumers.

2, the provision of services. Business is based on service and development for service. The retailer embodies the service function of the business, not only in the process of selling goods, but also in pre-sales and after-sale service. Clear service responsibilities, improve service levels, the pursuit of service quality, and constantly expand the scope of services, open up new services, multi-level, all-round to meet the needs of consumers. Service is the sacred duty of the retailer and the eternal theme of the retailer.

3. Ensure safety. Safety is the foundation of a harmonious society and the basic requirement of commodities. Retailers provide consumers with a variety of commodities, including daily necessities and consumer durables, directly related to the health and safety of consumers. Therefore, the retailer should put the goods close, strictly prohibit the fake and inferior commodities into the people's shopping malls (shops); two to put good storage, according to the different performance of the commodity strict management, not doping, not fake, not pollution, not mildew; third, to put a good sales clearance, do not supply mildew, metamorphism, outdated, shoddy, counterfeit goods, to ensure that consumers use and food safety.

4. Provide environment. Consumer shopping or service consumption is under certain circumstances. Retailers should provide customers with a relaxed, comfortable and aesthetic shopping environment. Especially in the modern concept of consumption, into the shopping malls and have a variety of motives such as buying, leisure, entertainment, and feeling fashion, therefore, retailers, regardless of the store, no matter what kind of industry, all want to create a shopping environment as the basic function of retail activities.

5. Financing function. Capital participate in the purchase and sale activities, first to advance the money for consumers, and then through the sale of capital, and even through the sales and credit consumption forms, using financing methods to accelerate the turnover of goods, expand the sale of goods.

(iii) Characteristics of the retailer's activities

1, scattered scattered throughout the urban and rural corners. Under the condition of commodity economy, where there are residents, there is the world of retailer activities, they are convenient to purchase as the first task, the nearest, decentralized operation. Even scattered living, remote rural areas, but also to take the form of township string, to provide goods and services.

2, small scale, low threshold, technical requirements are not high, is an important way to earn a living. It is not only convenient to arrange urban population employment, but also an important way to improve the level of urbanization and resettlement of agricultural population.

3, to serve as a fundamental, to serve as the medium, to achieve a sum of the transaction, the face of a large number of different consumer groups, its service attitude, service level, people, manners and politeness, not only related to their own image, but also related to the survival and development of operators.

4, the original capital accumulation from here, to righteousness take benefit, generate, not because of the small and not for the benefit, not because of the great and echocardiography, seriously treat every customer, do a good job every business, gradually realize the accumulation of original capital. Without retail, there would be no wholesale; without capital, there would be no industrial development.

5, Fast buy fast sell, accelerate turnover, pay attention to circulation efficiency, this is the important characteristic of retailer activity. Discriminating not at high prices or profiteering, but in small profits but quick turnover. For the characteristics of consumption, according to market information, timely organization of marketable goods, budget, reduce costs, cheap sale, in reasonable take advantage of the premise of rapid development.

III. Retail Trade

Retailing is an industry composed of many retailers, which is the basis of circulation industry. It is made up of many kinds of industry, many forms of industry, many kinds of economic form, shouldering the heavy task of promoting production, prospering market and satisfying the needs of consumers in many aspects, which is directly related to the realization of commodity value and use value.

(i) Characteristics of the retail trade classification

Retailing is made up of a large number of retailers operating various kinds of goods and engaging in a variety of business services. The diversity of consumption demand, the multi-level of consumption structure and the variability of consumption behavior determine the diversity, dynamic and complementarity of the retail store structure, which determines the complexity of the retail trade classification.

1. The complexity of retail classification

The retail trade involves food, clothing, use, housing, row, many kinds of industry, complex varieties, different specifications, but also relevance, substitution, homogeneity, crossover is very strong, each major category has thousands of varieties. At the same time, according to the needs of the market, often cross management, cross-sectoral management, in the function also exists in the wholesale and retail, retail and wholesale, manufacturers also directly into the market sales of goods, trade patterns, industry species overlapping, to the classification of retail industry has brought a certain degree of difficulty.

2. Diversity of retail classification

The variety of commodity production and the difference of consumption demand determine the mode of operation, and the flexibility and difference of sales form also determine the diversity of retail classification. such as professional retail operation, there are counters, professional stores, professional supermarkets, professional market and professional merchandise a street. A type of supermarket industry, there are large stores, large supermarkets, standard supermarkets, community supermarkets, convenience supermarkets and fresh food supermarkets. Coupled with different trading methods, such as consignment, trust, auction, consignment and other forms, resulting in a variety of retail enterprises.

3, the dynamic nature of retail classification

With the development of science and technology, the emergence of new products, the application of new technology and new materials, the retail business and the operating industry are constantly changing. The state of the industry is constantly innovating, combination of development, new business forms continue to appear, the industry has increased, market structure, consumption patterns are also changing, therefore, the retail classification is not fixed, it is in the change to enrich the adjustment, in the innovation development, in the competition to eliminate, update. The emergence of online shopping means that the retail classification to make new adjustments.

4. Complementarity of retail classification

Although a variety of retail classification has a certain scientific definition, however, because of the intergenerational nature of commodities, multiple, and run, each type of retail forms are complementary, compatible, including the overlap of commodity management, sales of the form of borrowing and the dislocation of time and space management, resulting in a variety of retail enterprises are both cooperative and competitive dual relationship. There is not only a variety of complementary, but also the complementary space and the division of trade between the form.

(ii) Retail trade classification

1, according to the type of retail business goods classified

According to the quantity and the business scope of the retail business, it can be divided into the comprehensive festival retailer and the professional retailer.

Integrated operating retailer Integrated management of a variety of goods, fewer than dozens of kinds, many thousands of species, or even hundreds of thousands of kinds, including grocery stores, supermarkets, hypermarkets and large and medium-sized department stores. The key to comprehensive management lies in the organic combination of commodity varieties.

Professional retailers focus on the operation of a certain type, a major category of professional commodities or centralized management of a brand of goods, including professional stores, professional supermarkets, professional markets and specialized stores. The key to professional management is to highlight a large category of goods or a brand.

2, according to have no shop division

With the development of science and technology and the improvement of traffic conditions, retailers are no longer satisfied with the operation of the shop, such as door-to-door, but by means of a variety of ways to carry out no shop sales, and even the emergence of a special store-operated retailers. From the original walking township salesman, Walk Street lane of the mobile vending car, development to telephone shopping, mailing shopping, TV shopping and online shopping, direct door-to-door.

3, according to the form of property Rights Division

Because of the different property right structure, the retailer not only determines its existence form, but also restricts its mode of operation. Independent retailers exist independently, independent operators, chain stores, stores have their unified business philosophy and business model. Cooperative stores (including consumer cooperatives, marketing, cooperative stores, etc.) also have their own unique business models.

4, according to the Price strategy division

Consumer shopping focuses on goods and prices, while prices are the most sensitive, active and attractive factor. Therefore, the first outstanding market competition is price competition. Operators to adapt to the needs of price competition, the price strategy as the core, developed a variety of retail forms, including discount stores, price clubs (member stores), a dollar store, the catalogue of cheap sales shops.

Table 2-1: Retail business classification and basic characteristics

Basic Features

Business

Location

Business Circle and Target customers

Scale

commodity (operating) structure

Way of sale of goods

Service function

Management Information System

1 Grocery Stores

Located in a residential area or in a traditional commercial district

Radiation radius of 0.3 km, target customers with relatively fixed residents mainly

Business area is generally within 100 square meters

With cigarettes, beverages, wine, snack food mainly

Combination of counter and optional

Operating hours of more than 12 hours

Primary or not established

2 Convenience Stores

Commercial center area, traffic arteries and stations, hospitals, schools, entertainment venues, office buildings, gas stations and other public activities areas

The business area is small, the customer arrives within 5 minutes walk, the target customer mainly is single person, young person. Customers buy more for purposeful purposes.

Operating area of 100 square meters, high utilization rate

Instant food, daily haberdashery mainly, there are real-time consumption, small capacity, emergency and other characteristics, commodity varieties in about 3000, the price is higher than the market average level

Open-shelf choice is the main, clearing at the cashier at the unified

More than 16 hours, provide instant food auxiliary facilities, open a number of service projects

Higher degree

3 Discount Stores

A relatively inexpensive area, such as a residential district or a traffic thoroughfare.

The radiation radius is about 2 kilometers, the target customers are mainly residents of the business circle.

Operating area of 300-500 square meters

Average commodity price is lower than the average level of the market, its own brand occupies a large proportion

Open shelves, unified settlement

Streamline employment and provide limited service to customers

So so

4 Supermarkets

City, District commercial center, residential area

The radiation radius is about 2 kilometers, the target customers are mainly residents.

Operating area of less than 6000 square meters

Operating packaged food, fresh food and daily necessities. Food supermarket and comprehensive supermarket commodity structure is different.

Optional sales, import and export, the unified settlement at the cashier

Operating hours of more than 12 hours

Higher degree

5 Large supermarkets

City, District commercial center, suburban Integration Department, traffic arteries and large residential area

Radiation radius of more than 2 kilometers, the target customers to residents, mobile customers mainly

Actual operating area of 6000 square meters or more

Popular clothing, food, daily necessities complete, one-time purchase, pay attention to its own brand development

Optional sales, import and export, the unified settlement at the cashier

Parking lots not less than 40% of the business area

Higher degree

6 Warehouse Member Store

The traffic arteries of the urban-rural integration Department