1. Why should retailers be concerned about selecting the right target market? How are target market selection and location related?

2. Promotional objectives can be established to help improve both long- and short-term financial performance. What do you think is the most important short-term objective for a retailer: increase patronage from existing customers or attracting new customers? Explain the reasoning behind your answer.

3. The method of merchandise presentation can have a dramatic impact on image and space productivity. What is the psychology of merchandise presentation, and how is it used? Can it be used by e-tailers?

SOLUTION

Question 1

Retailers should exercise caution when selecting target markets to ensure that they are productive. No matter which industry you are in, distinguishing your target market is the most basic progress………………………………………………