Retail management

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  1. supply chain
    set of institutions that move goods from the point of production to the point of consumption.
  2. channel
    term used interchangeably with supply chain.
  3. primary marketing institutions
    channel members that take title to the goods as they move through the marketing channel… include manufacturers, wholesalers, and retailers.
  4. facilitating marketinginstitutions
    do not actually take title but assist in the marketing process byspecializing in the performance of certain marketing functions.
  5. public warehouse
    facility that stores goods for safekeeping for any owner in return for afee, usually based on space occupied.
  6. direct supply chain
    channel where a manufacturer sells its goods directly to the final consumer or end user
  7. indirect supply chain
    channel that occurs when a manufacturer sells its goods through wholesalers and/or retailers
  8. intensive distribution
    all possible retailers are used in a trade area
  9. selective distribution
    a moderate number of retailers are used in a trade area
  10. exclusive distribution
    one retailer is used to cover a trading area
  11. conventional marketing channel
    each channel member is loosely aligned with the others and takes ashort‐term orientation
  12. vertical marketing channels
    capital‐intensive networks of several levels that are professionally managed and centrally programmed to realize the technological,managerial, and promotional economies of a long‐term relationship orientation.
  13. quick response (QR) systems
    aka efficient consumer response (ECR) systems ‐ integrated information, production, and logistical systems that obtain real‐time information on consumer actions by capturing POS sales data transmitting this information back through the entire channel to enable efficient production and distribution scheduling
  14. stock‐keeping units (SKU)
    the lowest level of identification of merchandise.
  15. corporate vertical marketing channels
    one channel institution owns multiple levels of distribution and typically consists of either a manufacturer that has integrated vertically forward to reach the consumer or a retailer that has integrated vertically backward to create a self‐ supply network.
  16. contractual vertical marketing channels
    contract to govern the working relationship between channel membersand include wholesaler‐ sponsored voluntary groups, retailer‐owned cooperatives, and franchised retail programs.
  17. wholesaler‐sponsored voluntary groups
    wholesaler brings together a group of independently owned retailers and offers them a coordinated merchandising and buying program that will provide them with economies like those chain store rivals are ableto obtain
  18. retailer‐owned cooperatives
    wholesale institutions, organized and owned by member retailers, that offer scale economies and services to member retailers, allows them tocompete with larger chain buying organizations.
  19. franchise
    form of licensing by which the owner of a product, service, or business method (the franchisor) obtains distribution through affiliated dealers (franchisees).
  20. dependency
    occurs when a retailer needs another supply chain member or vice versato perform certain marketing functions. Members of the supply chain dependent on each other are referred to as interdependent.
  21. power
    the ability of a channel member to influence decisions other members
  22. reward power
    Is based on B's perception that A has the ability to provide rewards for B.
  23. expertise power
    Is based on B's perception that A has some special knowledge
  24. referent power
    Is based on the identification of B with A.
  25. coercive power
    Is based on B's belief that A has the capability to punish or harm B if B doesn't do what A wants.
  26. legitimate power
    Is based on A's right to influence B, or B's belief that B should accept A's influence.
  27. informational power
    Is based on A's ability to provide B with factual data.
  28. perceptual incongruity
    retailer and supplier have different perceptions of reality
  29. goal incompatibility
    achieving the goals of either the supplier or the retailer would hamper the performance of the other.
  30. dual distribution
    manufacturer sells to independent retailers and also through its own retailoutlets.
  31. domain disagreements
    disagreement about which member of the marketing channel shouldmake decisions
  32. diverter
    an unauthorized member of a channel who buys and sells excess merchandise to and from authorized channel members.
  33. gray marketing
    branded merchandise flows across national boundaries and through unauthorized channels.
  34. free‐riding
    a consumer seeks product information, usage instructions, and sometimes even warranty work from a full-service store but then, armed with the brand's model number, purchases the product from a limited service discounter or over the Internet
  35. mutual trust
    retailer and its supplier have faith that each will be truthful and fair in their dealings with the other.
  36. two‐way communication
    retailer and supplier communicate their ideas, concerns, and plans.
  37. solidarity
    high value is placed on the relationship between a supplier and retailer.
  38. category management (CM)
    Process of managing all SKUs within a product category and involves the simultaneous management of price, shelf-space, merchandising strategy, promotional efforts, and other elements of the retail mix within the category based on the firm's goals, the changing environment, and consumer behavior.
  39. category manager
    the individual who uses detailed knowledge of the consumer and consumer trends, detailed POS information, and specific analysis provided by each supplier to the category to create various store displays based on local market conditions
Card Set:
Retail management
2013-02-19 21:19:40
Retail management

Terms from chapter 5
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