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Why We Buy …

Chapter 13: “The Big Three”


Group No. 1
A Store has Three Distinct Aspects

1. Design
They are
Interrelated
2. Merchandising &
Interdependent

3. Operations

It’s the Geometry that rules the Shopping Universe


1. Taking decisions about Design:

Small Firms: Large Firms:

Few People Heads of different divisions


barely know each other
They are run ragged making
all the decisions They may be based in different
cities
Failure of the decision
They don’t know what others are
doing

Failure of the decision


2. Implementing Merchandising Policy:
Merchandising Customers can easily touch,
Policy Stroke & Unfold the Clothes

Sweaters & Clothes


Implementation: constantly need to be refolded,
straightened & neatened

This Implementation requires huge Manpower expenses…


3. Operation
Most firms are looking to save money on
operating expenses (labor)

But maintaining the Service while cutting


the labor is impossible
Thank You …..

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