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Grade 10 Commerce: Large Scale Retailers. Mr. G Mumba Munali Boys High School Lusaka. 1. Supermarkets.

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Grade 10 commerce large scale retailers l.jpg

Grade 10 Commerce: Large Scale Retailers

Mr. G Mumba

Munali Boys High School

Lusaka


1 supermarkets l.jpg
1. Supermarkets

  • A supermarket is a large scale retail outlet offering self service method of sales, with three or more check out points near the exit and as well as one that offers a variety of fast moving goods.


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Features Of Supermarkets

  • It offers self service method of sales.

  • It must have three or more check out points near or at the exit.

  • Offers a variety of fast moving goods such food stuffs, kitchen utensils, groceries, etc.

  • Baskets and trolleys are available for use by the customers.

  • They sell already branded, prepackaged and priced goods.

  • The have enough trading space to carter for luxurious and spacious shopping and car parks.

  • Goods are attractively displayed on shelves in appropriate sections.

  • They do enjoy economies of scale

  • They are located in busy areas.


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Advantages Of Supermarkets to Retailers.

  • They enjoy economies of scale.

  • Employ a few workers thus reducing on running costs.

  • Attractive display of goods encourages impulse buying which leads to

  • Increased rate of sales (turn over) and profits.


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Advantages Of Supermarkets To The Consumer.

  • Customers enjoy one-stop shopping as a result of a variety of goods offered.

  • They benefit from additional facilities offered such as music, restaurants, car parks, the use of trolleys and baskets, etc.

  • They also enjoy the lower prices offered.

  • Customers save time since they serve themselves at a faster rate and

  • Are free to move around the shop without being rushed by any one.


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Disadvantages Of Supermarkets To Retailers

  • Pilferage (theft or shop lifting) is a common problem.

  • Shop sites in busy areas are expensive to maintain.

  • Additional facilities offered such as trolleys, baskets may be costly.

  • Security installations such as cameras to curb theft may also be costly.


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Disadvantages Of supermarkets To Consumers

  • The lack of personal attention may be a big problem to illiterate customers.

  • Impulse buying may tempt customers to over spend.

  • Queues at check points at peak hours may inconvenience customers.

  • No credit facilities may be offered to customers.

  • Prepackaged goods can not be inspected by customers before buying them.


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