Question

Q8. A manufacturing Co. manufacturing cloth open shops at different locations in India. He

sells goods on cash only. The shops have identical decorations. The prices of goods are fixed.

In this way they eliminate unnecessary middleman thus benefiting the consumers.

(a) Identify the type of shop referred to.​

Answer 1

Answer:

chain store shop because the price is fixed

Answer 2

The type of shop referred to here is a Chain store.

• A chain store also known as a retail chain or a retail outlet is a series of shops owned by one firm and selling the same goods. It is basically one brand that has many retail outlets.
• It focuses on approaching the customer by going near to the customers and inviting them to purchase the product. They have uniformity of shops and their identity and customers can easily identify the shops.