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McGraw-Hill/Irwin
Retailing Management,
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 Commercial launch of Domino's Pizza on March 15, 2019
 Domino's Pizza, a leading pizza chain, will begin its commercial
operations in Bangladesh on March 15 after a successful experimental
launch on February 28, 2019.
 The American pizza brand's entry is the endeavour of Golden Harvest
QSR, a subsidiary of Golden Harvest Agro Industries, which has
partnered with Jubilant FoodWorks, the master franchise holder of
Domino's in India, Sri Lanka, Bangladesh and Nepal.

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Domino's Pizza to set foot in Bangladesh soon
March 07, 2018, DS
Domino's, the world's largest pizza chain, is set to serve its famed pies to Bangladeshi customers within the next three months, tapping into the growing demand for Western fares among the upwardly
mobile population. The American pizza brand's entry comes after Golden Harvest QSR, a subsidiary of Golden Harvest Agro Industries, entered into a joint venture agreement with Jubilant

FoodWorks, the master franchise holder of Domino's in India, Sri Lanka, Bangladesh and Nepal. Jubilant Food Works, which also holds the franchise of Dunkin' Donuts in the four
countries, will be the major shareholder in the joint venture entity -- Jubilant Golden Harvest Limited -- with a 51 percent share. Golden Harvest will have a 49 percent stake. Domino's would be the
fourth American pizza chain to enter Bangladesh after Pizza Hut, Pizza Inn and Sbarro.

As the eighth most populous country in the world with the highest population density and a young demographic, the Bangladesh market presents a great growth opportunity for Domino's, said Pratik
Pota, chief executive officer of Jubilant FoodWorks. The deal has been in the works for the last two years, according to Mohius Samad Choudhury, a director of Golden Harvest Group. “We have
surveyed the market and found that there will be huge potential for pizza.” The first Domino's store, which would be in Dhaka, is expected to open its doors within the next three months, according to
Choudhury.
The pricing would be reasonable, he said, adding that a 30-minute delivery service will also be rolled out. “We are confident that with Jubilant's strong operational expertise and Golden Harvest's deep
understanding of the Bangladesh market, we will be able to carve a strong position in the food services market in the country,” Pota added. Golden Harvest would be providing the pizza ingredients,
while Jubilant FoodWorks, which operates 1,128 Domino's restaurants and 43 Dunkin' Donut stores in India, will be in charge of the stores and the other logistics.
“This partnership has huge potential and with Jubilant FoodWorks' support, we are confident that we would be able to deliver a great pizza experience to customers in Bangladesh,” said Rajeeb
Samdani, managing director of Golden Harvest Group. The paid-up capital of the joint venture company would be Tk 10 crore and about Tk 15 crore would be spent to set up the joints and other
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logistics, according to Choudhury. Shares of Golden Harvest Agro Industries closed 2.46 percent higher at Tk 41.50 yesterday.
 Nov 26, 2018

McGraw-Hill/Irwin
Retailing Management,
 Aug 31, 2018

McGraw-Hill/Irwin
Retailing Management,
 Tim Hortons Inc. is a Canadian-based multinational fast food
restaurant known for its
 coffee and donuts.

 It is also Canada's largest quick service restaurant chain; as of

December 31, 2016, it had a total of 4,613 restaurants in 9
countries.

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 Aug 7, 2018

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Jan 4, 2018
 Dec 8, 2017

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 The shopping
McGraw-Hill/Irwin service, costs $10 per month, or $95 a year. The fee gets you unlimited
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Starbucks to open first cafe in Italy
[Afp, Milan] March 01, 2016

US coffee giant Starbucks announced Monday that it is preparing to conquer the

spiritual home of coffee with plans to open its first branch in Italy.

The chain will open a store in Milan in 2017 in a joint venture with Italian retail
network Percassi, according to the company.

But Starbucks will have a battle on its hands attempting to lure customers in a
country which is already flooded with established cafés.

Italian coffee bars serve six billion espressos a year worth 6.6 billion euros ($7.2
billion), while 41 percent of Italian adults drink at an espresso bar at least once
a week, according to market analysts OIFB.

After Milan, Starbucks plans to open outposts in Verona and Venice, Starbucks
chief executive Howard Schultz told Italian newspaper Corriere della Sera.

He said the firm is preparing to invest millions of euros in the country in the coming
years as well as creating new jobs. 1-25
Amazon enters Britain's fresh food market with Morrisons
deal [Reuters, London] March 1, 2016
Online retailer Amazon is set to enter the British fresh food market after striking a
supply deal with supermarket Morrisons, potentially ramping up competition in the
already cut-throat sector.
Morrisons, Britain's fourth biggest supermarket, said on Monday the deal would allow
Amazon Prime Now and Amazon Pantry customers access to Morrisons ambient,
fresh and frozen products in the coming months.
The British supermarket sector has been convulsed by fierce competition in recent
years and analysts have warned that a step up from Amazon could hurt the
traditional players even more.
In November Amazon launched a packaged groceries offer for Amazon Prime
members, who pay an annual fee of 79 pounds ($109.79).
That was its most ambitious foray into Britain's growing online grocery market but it
stopped short of replicating its broader US Amazon Fresh service, which offers
about 20,000 chilled, frozen and perishable products and items from local shops.
Retail analysts have speculated the US company was gearing up for a launch of
Amazon Fresh in Britain this year.
"The combination of our fresh food expertise with Amazon's online and logistics
capabilities is compelling," said Morrisons Chief Executive David Potts. 1-26
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Retailing Management,
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Computer Source: 44 outlets

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 Sep 9, 2018

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 Chapter 1

Introduction to the World of Retailing

McGraw-Hill/Irwin
Retailing Management,
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The World of Retailing

Introduction to Retailing

Types of Retailers

Multi-Channel Retailing

Customer Buying Behavior

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Questions

■ What is retailing?
■ What do retailers do?
■ Why is retailing important in our society?
■ What career and entrepreneurial opportunities
does retailing offer?
■ What types of decisions do retail managers
make?

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What is Retailing?

Retailing – a set of business

activities that adds value to
the products and services
sold to consumers for their
personal or family use

Retailing is a business that

sells products and/or
services to consumers for
personal or family use.

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Examples of Retailers

 Retailers:
Otobi
Aarong
Agora
Bata
Singer

 Firms that are retailers and wholesalers - sell to

other business as well as consumers:
Bata, Singer, Hatil

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Manufacturer’s Perspective

The Four P’s of Marketing

Retailers
Retailersare
are part of the
part of the
distribution channel
distribution channel
Product

Distribution Price

Promotion

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Distribution Channel

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Typical Supply Chain Network

Customers

Suppliers Plants

retailers
Distribution
Centers
A Retailer’s Role in a Supply Chain

 Retailers are the final business orgs within a supply chain which
links manufacturers to consumers.

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Manufacturing, Wholesaling and Retailing

Vertical Integration – firm performs more than one set of activities in

the channel
Ex: retailer invests in wholesaling or manufacturing

Backward Integration – retailer performs some distribution and

manufacturing activities
Ex: JCPenney sells Arizona jeans (Private Label)
Forward Integration – manufacturers undertake retailing activities
Ex: Ralph Lauren (New York Jones, Liz Claiborne) operates its
own stores

Large retailers engage in both wholesaling and retailing

Ex: Wal-Mart, Lowe’s, Safeway, Brown Shoe Company
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Vertical Integration

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Do Retailers Add Value?

a box of crackers at a grocery store

Example  costs $1 to manufacturer
 sells at a price of $2

Retailers add significantly to the prices consumers face

Why not buy directly from the manufacturer?

Does that mean that grocery stores are very profitable?

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Why Not Get Rid of the Middlemen?

Price to Price to Price to

Distributor Retailer Consumer
$1.00 $1.20 $2.00

$.85 $.15 $.70

Manufacturer Distributor Retailer Consumer

Vendor Wholesaler
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The High Costs and Low Profits of Retailing

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Why Not Get Rid of the Middlemen?

Better services to
customers
More efficient

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How Retailers Add Value

■ Provide Assortment
Buy other products
at the same time
■ Break Bulk
Buy it in quantities
customers want
■ Hold Inventory
Buy it at a
convenient place
when you want it
■ Offer Services
See it before you
buy; get credit;
layaway
Ryan McVay/Getty Images

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How Retailers Add Value

The value of the product and service

increases as the retailer performs functions.
Bicycle can be
bought on credit or
put on layaway

Bicycle is featured
on floor display

Bicycle is offered in
convenient locations
in quantities of one
Bicycle is
developed in
several styles
Bicycle is developed at
manufacturer
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Examples: How Retailers Add Values

 BagBorrowerSteal.com
 jewelry and bag rental; Get (not buy, but borrow) exactly what you
want
 Home Depot
 DIYer (Do-it-yourselfer); Learn how to do it yourself with in-store
clinics and online workshops

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Social and Economic Significance of Retailing

 Retail Sales:
 Over $4.1 trillion in annual

U.S. sales in 2005

 Employment:
 Employs over 24 million

people in 2005
 One of the largest sectors

for job growth in US

 Social responsibility
 Global player

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Social responsibility

 Corporate social responsibility

 The voluntary actions taken by a
company to address the ethical,
social, and environmental impacts
of its business operations, in
addition to the concerns of its
stakeholders

 Examples: Edun - a fair-trade fashion

brand by the U2 lead singer Bono
 Starbucks: pays its farmers 42%
more than the commodity price of
Arabica coffee beans
 Target: community giving programs
(5% of income, $3 million a week)

 Retail companies give away 1.7% of

their profits, compared with about 0.9%
for companies in other industries

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World’s 10 Largest Retailers in 2016

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Structure of Retailing and Distribution Channels around the
World: The United States

The United States CHINA

The nature of retailing and

distribution channels in the U.S.
is unique.
 Has the greatest retail density
 Has the greatest concentration of
large retail firms
 Large enough to operate their
own warehouses, eliminating the
need for wholesaling.
 The combination of large stores
and large firms result in a very
efficient distribution system.

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Comparison of Distribution Channels
around the World

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What have created these differences
in distribution systems?

Social &  China, India: To reduce unemployment by

Political protecting small businesses
Objectives  EU: To protect small retailers
To preserve green spaces/town centers
Geography Much lower population density in the US than in India,
China, and EU (where less low-cost real estate are
available for building large stores)

Market size  Large retail markets in US, India, China

 Countries in EU – distribution channels and retail
chains operate in a single country (no economy of scales
to be achieved; trade barriers still exist)

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 Nature of Retail Industry is Changing

To Today’s Retailer

Mom and Pop Store

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Jan 17, 2019

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Retailing is a High Tech Industry

 Selling Merchandise through the Internet

 Using Internet to manage supply chains

 Analyze POS data to tailor assortments to stores

 Computer systems for merchandise planning and

tracking

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Retailers are a Business Like Manufacturers

Accounting Finance

Marketing
MIS

Operations
Human Resources

The McGraw-Hill Companies,

Inc./Andrew Resek, photographer

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Opportunities in Retailing:
Management opportunities

■ People with a wide range of skills and interests needed

because retailers’ functions include
 Finance

 Purchase

 Accounting

 Management information system (MIS)

 Supply management including warehouse and

distribution management
 Design and new product development

■ Financially rewarding
 5-year salary of buyers: $50,000 - $60,000

 5-year salary of store managers: $120,000 - $160,000

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Opportunities in Retailing:
Entrepreneurial opportunities
Wal-Mart: Sam Walton
■ Retailing provides opportunities for
people who want to start their own
business
■ Some of the world’s richest people
are retailing entrepreneurs

■ Examples of retailing IKEA: Ingvar Kamprad

entrepreneurs
Sam Walton (Wal-Mart)
Jeff Bezos (Amazon.com)
Ingvar Kamprad (IKEA)
Anita Roddick (the Body Shop)

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Career Opportunities in Retailing
Start Your Own Business

List of Retail Entrepreneurs on Forbes 400 Richest Americans

 Walton Family (Wal-Mart)

 Fisher (The Gap)
 Wexner (The Limited)
 Menard (Menard’s)
 Marcus (The Home Depot)
 Kellogg (Kohl’s)
 Schulze (Best Buy)
 Levine (Family Dollar)
 Gold (99Cent Only)

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Misconceptions About Careers in Retailing

■ College not needed

■ Low pay
■ Long hours
■ Boring
■ Dead-end job
■ No benefits
■ Everyone is part-time
The McGraw-Hill Companies, Inc./Andrew Resek, photographer

■ Unstable environment
■ No opportunity for women and minorities
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Why You Should Consider Retailing

■ Entry level management positions:

Department manager or assistant buyer/planner
■ Manage and have P&L (Profit & Loss) responsibility on your first
job
■ Starting pay average with great benefits
■ Some retailers pay graduate school
■ No two days are alike
■ Buying and planning for financially analytically oriented
■ Management for people-people
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Types of Jobs in Retailing

Most entry level jobs are in

store management or buying, but there’s…
-accounting and finance
-real estate
-human resource management
-supply chain management
-advertising
-public affairs
-information systems
-loss prevention
-visual merchandising 1-72
Retail Management Decision Process

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Decision Variables for Retailers

Customer Service

Store Design Merchandise

and Display Assortment
Retail
Strategy
Pricing Location

Communication
Mix
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Wal-Mart’s Retail Mix

Customer Location
Service

Store Design Retail Strategy Merchandise

And Display Assortment
MiX

Communication Pricing
Mix
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Wal-Mart’s Retail Mix

Location Strategy

Location: Free-
standing Stores

Customer
Service

Store Display Merchandise

And Design Assortment

Communication
Mix Pricing
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Wal-Mart’s Retail Mix

Assortment Strategy

Merchandise
Assortment
Customer
Service Location
Large Number
of
Store Design
and Display Categories
Few Items
Communication
Mix Pricing in Each
Category

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Wal-Mart’s Retail Mix

Location
Pricing Strategy
Customer
Merchandise
Service
Assortment

Store Design
and Display

Communication
Mix Pricing: Low, EDLP

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Wal-Mart’s Retail Mix

Customer
Service Location

Communication Mix
Store Design Merchandise
and Display Assortment

Pricing

Comm Mix:TV and Newspaper

Insert Ads

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Wal-Mart’s Retail Mix

Store Design and Display

Customer
Store Design Service Location
and Display

Basic, Special Merchandise

Assortments
Displays
for Products Communication
Mix Pricing

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Wal-Mart’s Retail Mix

Customer Service
Customer
Service

Limited
Location

Merchandise
Assortment

Store Design
and Display Pricing

Communication
Mix

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Ethical Situations for a Retail Manager

 Should a retailer sell merchandise that they suspect utilized

child labor?
 Should it advertise that its prices are the lowest in an area
even though some items are not?
 Should a buyer accept an expensive gift from a vendor?
 Should salespeople use high-pressure sales when they know
the product is not the best for the customer’s needs?
 Should a retailer give preference to minorities when making a
promotion decision?
 Should a retailer treat some customers better than others?

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Ethical Situations for a Retail Manager

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