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 |
Friday, December 24, 2010
Difference Between Departmental Stores and Multiple Shops
Labels:
Distribution,
Marketing,
Retail Distribution
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