Question

11. Puma stores and networks of retail shops owned and operated by Puma company. These
shops operate in different parts of country.one can easily identify these shops in any part of
country as they have same appearance, even their interior is also identical. All the shops are
supplied the goods from head office only and all the policies for all branches are made by head
office only. Even store sell some goods at uniform prices.
(a) State the type of retail store mentioned in above case.
(b) State any two features of above case. (3)

12. Enjoy entertainment is a popular film entertainment company. keeping in view the growing
culture of multiplex, its owners have decided to make some changes in the interiors like creating
a launch area, installing more effective sound system etc. The company wants to raise the
required fund for a period of more than one year but less than five years.
In context of above case.
a) Identify and explain the types of funds company seek to raise on the basis of time period.
b) Give two merits of that source. (3)

13. How can you say that wholesale and retail trade are the part of internal trade? (4)​

Answer 1

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Answer 2

11. Chain Stores

12. Public Deposits

Explanation:

11. a) The type of retail store mentioned in the given case is Chain Stores

      or Multiple shops. Chain stores are the networks of retail shops that  

     are possessed by manufacturers.  

    b) Features are:

• This type of retail store has identical shops which are established in multiple places across the city.

• They generally deal with branded consumer durable goods.

12. a) Public deposits refers to the funds raised by the firm from the general public for its short-term needs. They are unsecured deposits as they do not involve mortgages. These deposits are generally received for a period of 6 - 36 months.

b) Merits are :

• No dilution control
• Low interest rate

13. Internal trade include two categories : Wholesale and Retail

Wholesale trade refers to buying and selling of goods in large quantities in cheap prices and selling it to retailers. The wholesaler is interested in selling only a specific product. Wholesalers generally buy quantity related products and not quality.

Retail Trade refers to selling a product to final consumers. This trade doesn't involve any further resale of items. The retailers are the middlemen between wholesaler and customers.