Asked by Kayden Ngenzi on Jun 19, 2024
Verified
According to the wheel of retailing,new types of retailers enter the market and gain a competitive foothold by offering superior service.
Wheel of Retailing
is a concept that illustrates how new retailing forms often start at a low price point with minimal services before evolving into more established forms with higher costs and services.
Competitive Foothold
A strategic position obtained by a company in a market that gives it an advantage over its competitors.
- Grasp the concept and operational principles of retailing, including factors affecting retailing decisions.
- Understand the evolution and competitive dynamics of the retail landscape.
Verified Answer
JN
Jocellyn NoyolaJun 23, 2024
Final Answer :
False
Explanation :
The wheel of retailing theory suggests that new types of retailers usually gain a competitive foothold by offering lower prices, not necessarily by offering superior service. Over time, as they become more established, they may move upmarket and increase prices and services.
Learning Objectives
- Grasp the concept and operational principles of retailing, including factors affecting retailing decisions.
- Understand the evolution and competitive dynamics of the retail landscape.
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