Mathematics for Profitable Merchandising
(Section 1, Part 1)
We recommend printing off the course content reference guide to assist you in the How to Think Like a Buyer courses.
Retailing is all the business activities involved in planning and procuring goods and services from vendors and pricing, positioning, presenting, packaging, promoting, and ultimately selling those goods to the target consumer.
Merchandising is all the business activities involved in planning, creating, distributing, and marketing merchandise assortments and classifications to the target consumer while reflecting the company image. There are different types of merchandising based on which link or level (i.e., fiber, textile, apparel/home furnishings companies, retail stores) in the supply chain the merchandising is housed.
Retail Pricing Terminology
Pricing is planning retail price for retailer’s inventory or determining the amount of money charged by the retailer for a product or services; planning strategies and policies to price merchandise in a retail store.
- Policies are procedures and guidelines for determining the retail price for a retailer’s inventory.
- Strategies are pricing policies, action plans and techniques, and guidelines for price adjustments for implementing policies.
- Types are pricing models to implement pricing strategies.
Retail Price is the price the consumer pays for the merchandise or the dollar value of the merchandise the consumer pays to the retailer when making a purchase.