Retailing in the Modern Market

Retailing has been a huge part of marketing in multinational companies for centuries.  As retailing is part of the supply chain specifically the value chain, it is understood that the skill of retailing has a big part to the manufacturer’s overall profit maximization.  On the contrary, the monotony of retailing has been disrupted by the introduction of online direct purchasing were customers can buy online and the company can send direct from the warehouse to the household of the customer.  Indeed, the breakthrough of “brick and mortar” strikes the market segment of the retails.  

Nevertheless, retailing is still in its existence knowing that retailing is a huge part of business.  Supermarkets like Walmart, Tesco, & Costco are huge international supermarket companies who are retailing many brands of product.  Undeniably, these supermarket companies are still helping the conglomerate companies in their overall net sales.  As a definition, retailing consists of the business activities involved in selling goods and services to consumers for their personal, family, or household use.  Certainly, there is a reasonable fact that studying retail business is a huge part in the overall business success.  Among the reasons for studying retailing are its impact on the economy, its functions in distribution, and its relationships with firms selling goods and services to retailers for their resale use.

TYPICAL CHANNEL OF DISTRIBUTION:

1. Manufacturer

2. Wholesaler

3. Retailer

4. Final Consumer

The typical channels of distribution above reveals how the product information are being transferred from channel to channel until it will reach the consumer.  However, if the product communication of the manufacturing company is not that lean towards the accurateness in every product specification, possibilities of “bottle necks” and marketing information lapses will occur during the transit of the goods. 

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