1.

Which types of risks are borne by the retailer?

Answer»

1. Options of selection:

A retailer keeps and sells products of several producers. Hence, customers get several options to choose from.

2. Home delivery of goods:

Some retailers provide their customers the facility of delivering the purchased goods at their homes even if the customers order on phone. This help customers to save their time and effort.

3. Redressal of customer complaints:

  • Retailers are in direct contact with customers. If customers have any complaints regarding a product then they complain to retailers.
  • Retailers pass these complains to wholesalers and wholesalers pass them to producers and solve the complains quickly.

4. Selling goods on credit:

Frequent customers develop good rapport with retailers. So, retailers also provide credit or even installment facility to such few customers based on their rapport with retailer and economic condition.

5. After sales service:

Retailers provide after sales services such as assisting in installation, repair, exchanging faulty products or taking them back, etc.

6. Helps customers to make purchase decision:

Retailers provide customers information on utility, features, quality, price, etc. of the products. Their explanation and selling skills helps the customer make decision about buying a product.

7. Freedom from storage:

Retailers provide goods to customer as and when they need. This helps customers to free themselves from unnecessarily stocking products.

8. Guidance to customers:

  • Retailers guide the customers in various ways. They guide them about the changes likely to occur in near future, new products and schemes about to be issued by producers, guide them about supply or demand of a product, price rise that it may witness, etc.
  • Correct guidance can help the customer to choose a right product at a right time.


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