Page 36 - DMGT554_RETAIL_BUYING

Unit 2: Buying for Traditional Retail Organizations

Notes
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Caselet Retail Sales Growth Lift Titan Industries Profit

itan Industries Ltd profits are up 21.34 per cent at ` 180.14 crore for the second
quarter this fiscal. The watch and eyewear businesses of the company, with decent
Timport content, continued to be affected by input cost increases and adverse currency
movements, leading to a challenge on managing desired margins.
All businesses of the company have recorded growth in income compared to the same
period last year. The income for watches was higher by 13 per cent to ` 471.79 crore in Q2
compared to ` 417.42 crore last year.

Jewellery business grew 5.7 per cent in Q2 to ` 1,723.93 crore compared to ` 1631.51 crore
last year. Other businesses of the company — precision engineering (a B2B business),
eyewear business and accessories — grew 49 per cent to ` 97.37 crore in Q2 compared to
` 65.17 crore last year. Titan Industries retail chain has 879 stores as on September 30, with
a retail area crossing 11.3 lakh square feet nationally for all brands.
Source: http://www.thehindubusinessline.com/companies/retail-sales-growth-lift-titan-industries-
profit/article4051025.ece

2.3 Single-unit Independents

The dream of many people interested in retailing is to be in business for themselves. Some have
gained their experience by working in large operations, while others might have had some
formal retail educational training and wish to test their entrepreneurial skills in a small store of
their own. Generally, single-unit independent stores are speciality stores that feature just one
merchandise classification, such as children’s wear or shoes, boutiques that sell limited quantities
of higher-priced fashion merchandise, gourmet food emporiums that feature quality prepared
foods, and the like.
Unlike the formal structures found in the department stores and chains that employ vast numbers
of employees, these ventures are generally run by a handful of people. Of course, some of these
stores grow and eventually employ many people.
The proprietor is most often a multitalented individual who performs numerous tasks. He or
she purchases the merchandise, determines the selling prices, hires employees, sells to customers,
manages the sales staff, performs clerical tasks, and does anything else that is necessary to
operate his or her business.

Notes The actual organizational structure might include, in addition to the owner, a store
manager who is in charge during the owner’s absence, an assistant manager if one is
warranted, and salespeople. Others might include an alterations person in a boutique or a
chef in a gourmet food store that specializes in takeout meals.
The numbers and types of people employed are determined by the size of the business, the role
played by the owner, and the products offered for sale.

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