Store Trade – Definition, That means, Significance

Retail

For the most part, establishments engaged in retail trade sell merchandise to the general public for personal or household consumption. Exceptions to this general rule are lumber yards; paint, glass, and wallpaper stores; typewriter stores; stationery stores; and gasoline service stations which sell to both the general public for personal or household consumption and to businesses. These types of stores are classified in Retail Trade even if a higher proportion of their sales is made to other than individuals for personal or household consumption. The retail format influences the consumer’s store choice and addresses the consumer’s expectations.

Most modern retailers typically make a variety of strategic level decisions including the type of store, the market to be served, the optimal product assortment, customer service, supporting services and the store’s overall market positioning. Once the strategic retail plan is in place, retailers devise the retail mix which includes product, price, place, promotion, personnel, and presentation. In the digital age, an increasing number of retailers are seeking to reach broader markets by selling through multiple channels, including both bricks and mortar and online retailing. Digital technologies are also changing the way that consumers pay for goods and services. Retailing support services may also include the provision of credit, delivery services, advisory services, stylist services and a range of other supporting services.

Throughout the twentieth century, a trend towards larger store footprints became discernible. The average size of a U.S. supermarket grew from 31,000 square feet square feet in 1991 to 44,000 square feet square feet in 2000. By the end of the twentieth century, stores were using labels such as “mega-stores” and “warehouse” stores to reflect their growing size.

In 2005, for example, retail establishments accounted for 18 percent of all nonfarm private-sector jobs and had sales of $3.2 trillion. Moreover, many retail niches are characterized by a healthy population of smaller enterprises; indeed, the vast majority of retail employees in the United States work at establishments with fewer than 20 employees. Jobs in business, finance and administration (18%) include office clerks, secretaries and shippers and receivers. Business, finance & administrative jobs are somewhat more prevalent in wholesaling than in retail trade. Margins in the wholesaling industry average about 20% of operating revenues.

Aliving wageis the income a worker needs to earn for the basic necessities such as housing, food, child care, transportation costs, miscellaneous — which includes clothing, as well as taxes to live in Hawai’i. To sell in small quantities, as by the single yard, pound, gallon, etc.; to sell directly to the consumer; as, to retail cloth or groceries. Victoria’s Secret and Nike are examples of specialty retailers, generally selling only merchandise that carries their brand name or is associated with it. This percentage represents all current assets not accounted for in accounts receivable and closing inventory.

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