What is a intertype competition?
Intertype competition pits retailers of different types against one another, such as a grocery store selling greeting cards to compete with stores like Hallmark. The purpose of divertive competition is to direct customers away from a competitor to your own business.
What is retail competition?
Abstract. Under retail competition, retailers intermediate between the wholesale prices and the retail contracts offered to end-customers. This can be achieved where the wholesale prices are set efficiently, and where the retailers have access to the tools they need to hedge those network prices.
What is scrambled merchandising quizlet?
Scrambled merchandising. When retailers offer merchandise not typically associated,such as clothing in a store.
How does scrambled merchandising impact retail competition?
The risk in this strategy comes when unexpected items are included in the assortment that confuse shoppers. When this occurs, it can detract from the shopper’s experience and tarnish the retailer’s brand image.
What is horizontal competition?
The rivalry to gain customer preference among entities at the same level, such as competition among competing wholesalers or competing retailers.
What is vertical competition?
Vertical competition occurs along a channel or a value chain, where each stage of the channel or each contributor to the value chain takes a slice of the revenue pie — or extracts some other benefit for themselves — from the delivery of the final product or service to the consumer.
What is wholesale competition?
The wholesale competition scenario is characterized by a set of distribution companies (Discos) that provide a bundled service (power plus wires) to consumers, while the retail competition scenario is charact rized by unbundling the wire service from the power service.
What scrambled merchandising?
scrambled merchandising. noun [ U ] MARKETING, COMMERCE. a situation in which a store sells a large range of products, often ones that are not related to its original or usual range of products.
Why is scrambled merchandising contagious?
With scrambled merchandising, a retailer adds goods and services that are unrelated to each other and its original business to increase overall sales and profits. Scrambled merchandising is contagious, and often used in self-defense. More firms are also utilize cost containment and value-driven retailing.
What is the meaning of scrambled merchandising?
scrambled merchandising. noun [ U ] MARKETING, COMMERCE. us. a situation in which a store sells a large range of products, often ones that are not related to its original or usual range of products.
What is scrambled merchandising give two examples?
A common example of a scrambled assortment strategy would be supermarkets that offer a wide range of non-food products, such as hardware, videos and videogames, cameras, batteries, prescription drugs, flowers, and more.