Friday, December 24, 2010

Difference Between Departmental Stores and Multiple Shops


SNo.
Basis of Difference
Departmental Stores
Multiple Shops
1.    
Meeting of Customers' Needs
In these stores, the customers get all their needed items at one and the same place.
In these shops, only one or two items of customers' needs are available.
2.    
Nature of Items Sold
In these stores, the luxu­rious items are mostly sold.
In these shops, things of common people's use are sold.
3.    
Personalized Service
Besides supplying the things, various kinds of personal services are also provided by these stores to the customers, e.g. reading room, hair-cutting saloons, canteens, etc.
By these shops, no personalized services are provided to their custo­mers.
4.    
Credit Facility
Departmental stores ex­tend the facility of credit to their customers.
By these shops, only cash sale is performed and no sort of any credit facility is granted to the custo­mers.
5.    
Prices of Products
Things sold here, are available at higher prices.
Things sold in these shops are available on lower prices.
6.    
Scope for Advertise­ments
The scope for advertisements, in departmental stores, is restricted since their customers are only local.
The scope of advertise­ments of these shops is quite extensive and wid­espread, so they seek the help of the national level media for publicity of their products.
7.    
Transfer
of Products
In these stores, the items of one department are not transferred to the other.
In these shops, if some product is not sold at one place or shop, it could be transferred to the other shop.
8.    
Jurisdiction of Business
In these stores, the sphere of business is quite limited since these are confined to a particular city.
Since the network of such shops is spread through­out the whole country, hence the sphere of their business is quite exten­sive.
9.    
Capital
For setting up the depart­mental stores, much capital is required.
For establishing such shops relatively less capital is needed.
10.         
Location
These stores are set-up in such parts of the city where the rich people could easily come and go.
These shops are set up on such places where the common masses could easily approach.
11.         
Right of Making Purchases
In these stores, the mana­ger of every sub-department has the right to make the purchases for the stores.
In these shops, the right of purchasing the products is available only to the central office

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