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Example research essay topic: Wal Mart Discount Stores - 454 words

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Off-price retailing expanded in the recession of the 70 s. Consumers with limited income did not want to sacrifice quality and fashion. The recession of the early 90 s reinforced consumers value-oriented mentality and heightened the demand for quality fashions at reasonable prices. Discount stores tried to upgrade as off-price retailers invaded their low-price, high volume sector.

Off-price retailers purchase below-wholesale items and charge less than retail prices, which is quite different from discount stores. TJX companies, Ross Stores, and Big Lots are three large North American off-price retailers with revenues greater than $ 5 billion. Overstock. com (OSTK) is an off price retailer which offers a huge range of discounted goods online.

Off-price retailers sell clothing and accessories from major-label brands at a significant discount. They take advantage of overruns, canceled orders, and forecasting mistakes made by their counter-parts. Whenever a designer produces more than it can sell or a store can't move all of a particular line, the excess inventory is 20 %- 60 % off, and the savings are passed on to the consumer. A discount store is a department store with products at low prices. Discount department stores offer an assortment of goods. Discount stores began after World War II when retail establishments began to pursue a high-volume, low-profit strategy to attract price-conscious consumers.

Discount store chains during the mid- 1960 s in the United States were Kmart, Zaire, Howard Brothers Discount Stores, Kuhn's-Big K (sold to Wal-Mart in 1981), GEM, TG&Y, and Wool (closed in 1983, part sold to Wal-Mart). Currently, Wal-Mart, the largest retailer in the world, operates 1, 353 discount stores in the United States. Target and Kmart are Wal-Mart's top competitors. Dollar Discount Stores are a franchise with a time-tested retailing formula and a well-developed vendor distribution system that ensures distinctive and high-quality merchandise and a constant flow of products.

Franchising offers benefits that no other business model can duplicate. The U. S. Small Business Administration reports that franchising sales account for 40 % of the total retail sales in the U. S. According to the International Franchise Association, franchising contributes more than $ 1 trillion to the U.

S. economy each year. Dollar Discount stores buy merchandise from the nation's leading suppliers and keep prices low and value high. Merchandise inventory turns over quickly.

Dollar Discount stores capitalize on seasonal merchandise. The key to retailing is having the right product in the right place at the right time. 10 Reasons to Own a Dollar Discount Store Franchise retrieved from web on April 18, 2009. Off Price Retailers retrieved from web on April 18, 2009. Discount Stores retrieved from " web " on April 18, 2009 Office Price Retail retrieved from web on April 18, 2009


Free research essays on topics related to: wal mart, discount stores, high volume, discount, april 18

Research essay sample on Wal Mart Discount Stores

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