EXERCISES
Short Answer Questions
1. What is meant by internal trade?
2. Specify the characteristics of fixed shop retailers.
3. What purpose is served by wholesalers providing warehousing facilities?
4. How does market information provided by the wholesalers benefit the manufacturers?
5. How does the wholesaler help the manufacturer in availing the economies of scale?
6. Distinguish between single line stores and speciality stores. Can you identify such stores in your locality?
7. How would you differentiate between street traders and street shops?
8. Explain the services offered by wholesalers to manufacturers.
9. What are the services offered by retailers to wholesalers and consumers?
Long Answer Questions
1. Itinerant traders have been an integral part of internal trade in India. Analyse the reasons for their survival in spite of competition from large scale retailers.
2. Discuss the features of a departmental store. How are they different from multiple shops or chain stores,
3. Why are consumer cooperative stores considered to be less expensive? What are its relative advantages over other large scale retailers?
Answers
Answer:
(1):ans= international trade is the exchange of goods and services between countries trading globally gives consumer and country the opportunity to be exposed to goods and service not available in their own countries are more expensive domestically
(2):ans=(1) the characteristics of fixed shop retailers arethey have greater is source and operate at a relative Lee large scale as compared with the itinerant traders(2) these retailers deal in different products including consumer durable as well as non-durables
(3):ans= wholesaler provide warehousing facility for finished good they take full responsibility for storing the products and bear the risk of theft and damage due to spoilage and obsolescence this reduces the burden of the manufacture of providing for storage facilities of finished goods.
(4):ans= wholesaler providesuseful market information to the manufacture about various aspects like customer taste and preference market conditioncompetitive activities and the future preferred by the buyer this information groups experimentally benefit to the manufacturer as it helped them in taking effective decisions regarding their production and marketing strategies
(5): ans=wholesaler often purchase good in bulk quantities from manufacture this service reduce the border on manufacture by creating time and place on utility thus enabling them to produce goods on a large scale and benefit from the economics of scale