"GLOBAL BUSINESS SOLUTIONS"

A prospective retail establishment must overcome multiple regulatory barriers. 

retail industry

Canada • France • Germany • Italy • Romania • Spain • Switzerland • UK • USA

In retail, innovation is the name of the game!


Retail Industry


Retail is the process of selling consumer goods and/or services to customers through multiple channels of distribution to earn a profit. Demand is created through diverse target markets and promotional tactics, satisfying consumers' wants and needs through a lean supply chain.


​To achieve and maintain a foothold in an existing market, a prospective retail establishment must overcome the following hurdles:

Regulatory Barriers:

  • Restrictions on real estate purchases, especially as imposed by local governments and against "big-box" chain retailers;
  • Restrictions on foreign investment in retailers, in terms of both absolute amount of financing provided and percentage share of voting stock (e.g., common stock) purchased;
  • Unfavorable taxation structures, especially those designed to penalize or keep out "big box" retailers; Absence of developed supply chain and integrated IT management;
  • High competitiveness among existing market participants and resulting low profit margins, caused in part by:
  • Constant advances in product design resulting in constant threat of product obsolescence and price declines for existing inventory; and
  • Lack of properly educated and/or trained work force, often including management, caused in part by loss in Business.
  • Lack of educational infrastructure enabling prospective market entrants to respond to the above challenges.


Types by Products:

  • Food products — typically require cold storage facilities. 
  • Hard goods or durable goods — ("Hardline retailers") — automobiles, appliances, electronics, furniture, sporting goods, lumber, etc., and parts for them. Goods that do not quickly wear out and provide utility over time.
  • Soft goods or consumables — clothing, other fabrics, footwear, cosmetics, medicines and stationery. Goods that are consumed after one use or have a limited period (typically under three years) in which you may use them.
  • Arts — Contemporary art galleries, Bookstores, Handicrafts, Musical instruments, Gift shops, and supplies for them.


Types of Retailers by Marketing Strategy:


Department Store


Discount Store


Warehouse Store


Variety Store


Demographic


Mom-And-Pop


Specialty Store


Boutique


General Store


Convenience Store


Hypermarkets

Supermarket




Mall


Specialist


E-tailer


Vending Machine


Other Types of Retail Stores:

Automated Retail Stores 


Big-Box Stores 





Retailers can opt for a format as each provides different retail mix to its customers based on their customer demographics, lifestyle and purchase behaviour. A good format will lend a hand to display products well and entice the target customers to spawn sales.