Retailers create service utility by responding to customers quickly and resolving any problems professionally. How Retailing Contributes to the Economy 1. In the U.S. 1.5 million retail outlets employ 20 million people. Retailing is also an important contributor to the world economy. E. How Ownership Influences Value-Chain Relationships 1.
Retail ownership has an influence on value-chain relationships.
Independent retailers , owned by individuals or families, are the most numerous, capturing nearly half of all retail sales. Most operate just one or two stores, and usually buy from wholesalers rather than from manufacturers. Many are joining buying groups , organizations that pool the purchasing power of retail members to form larger orders placed directly with major manufacturers. Chain stores are groups of retail outlets that are owned and operated by a corporate parent, which handles many buying and marketing activities from one central location. A number of chain stores are buying directly from manufacturers to obtain the best prices, delivery, and buying terms.