Term Paper

Of
Retail Management

On

ELECTRICALS GOODS
(New Retail Shop “LIVE LIFE”)

Submitted To:- Submitted By:-

Miss Savita ASHISH KUMAR
Lecturer-(Retail Management) Roll no :- A13
Section :-1803
Regd. :- 10808982

LOVELY SCHOOL BUSINESS

Lovely Professional University Phagwara (Pb.)

 ACKNOWLEDGEMENT

I feel immense pleasure to give the credit of my term paper not only to one individual as
this work is integrated effort of all those who concerned with it. I want to owe my thanks
to all those individuals who guided me to move on the track.

This report entitled ELECTRICALS GOODS Critically Review With evidences.

I sincerely express my gratitude and lot of thanks to Miss Savita Lect.(Retail

Management)for guiding me in completing my Term paper and making it a great
success.

I would like to express my deep sense of gratitude to staff of LOVELY SCHOOL OF

BUSINESS who introduced me to the subject and under whose guidance I am able to
complete my project.
 PREFACE

As MBA degree require equal attention practical as well as theoretical aspect of the
business, various problems are to be dealt within these courses, that is why research
programs are there to give deep as well as thorough knowledge of the subjects.
I have attempted to live up these requisites while preparing this term paper. It is a part of
professional courses. With the help of term paper we can able to understand the deep
knowledge about the specific topics assign to us.

During my project work I observed some the aspects of ELECTRICALS GOODS and
gathered all the necessary information regarding it.

My project entitled ELECTRICALS GOODS ,Critically Review With evidences.

It is hoped that this report meets the given expectations and various requirements of the
research.
 ELECTRICAL APPLIANCES GOOD RETAIL
“LIVE LIFE”
My term paper is to open up the retail store of the electrical appliances. The name of my

store is “LIVE WELL”. This store to be contain the number of variety and assortment of

the electrical goods. My retail store “LIVE WELL” to be contain the CFL tubes , usha

fans , bajaj fans , philips tubes , sylvania tubes , all types of circuits , crompton fans nd

white tubes etc .

Business Mission

“LIVE WELL” mission statement is to focus on bringing high quality electrical

goods and services to the market at the lowest possible prices every day. The mission

statement is well understood throughout the organization. LIVE WELL offers their

customers with low prices on selected private and a limited selection of nationally

branded products in a wide range of merchandise categories. Rapid inventory turnover,

high sales volume per warehouse, leveraging an efficient operating structure, reduced

handling of merchandise, and making themselves the low cost operator in retail are all

key elements that make the retail store so successful. LIVE WELL defines its business in

terms of benefiting their customers. In addition to offering low prices on top-quality

goods and a variety of convenient services.

(a) Type of retail format and ownership (Variety and assortment decisions regarding
products or services to be offered);

I am opening these electrical goods retail, on my own ,i.e

Partnership.
Electrical Goods Store Menu
TUBES
Basically the best quality tubes are philips , crompton , surya . All these different
brands are kept in my store . Basically 40 walt tubes are demanded by the customers nd
very less quantity of 20 walt tubes are demanded by the customers . So these particular
brands are kept in my store .

FANS
Fans are required in the summer season . There are different brands of fans
. But most popular brands are khaitan , bajaj , usha etc . The quality of these brands is
very good . There is hardly any complaint ragarding these brands .

BULBS
Today people don’t like yellow light bulbs . At present people like white light
bulbs . The best quality brand for white light bulbs is crompton . crompton provides 2
year gauranty . The light of crompton bulbs is very goods . At night people like colored
zero walt bulbs .
.
SWITCHES
The best quality in switches are anchor nd havell . There are various varieties in
switches . Like two pin plugs , three pin plugs , bed switches , multi-plugs , extension
etc .

FANCY LIGHTS
Today people like to have fancy lights in there houses . They use different fancy lights
for decorating their houses . Different types of lighting stands are there .

WIRES
WIRES OF HAWELL BRAND ARE KEPT IN THE STORE .
HEATERS
Heaters are required in the winter season . Usha nd apsara are two major brands .

MULTI CHANNEL DECISIONS

LIVE WELL retail ELECTRICAL retail to use the multi channel , These channel were
used for selling the electrical good . By using a combination of channels to be provided
unique benefits to my electrical retail store by attract and satisfy more customers. My
electrical retail use all three channels to interact with its customers. These are following

1. STORE CHANNEL
It is provide the browsing to the customers before purchasing of products It is also
provided touching and feeling products opportunity to the customer
Store channel to given advantage for the customer to get the product immediately after
they buy it.
2. CATALOG
Our electrical retail is also provided the Catalog channel; offer the convenience of
looking at product and placing an order on any day at any time from almost anywhere
We are also provided the photographs of electrical goods in catalogs, while not as useful
as in store presentations, are superior to the visual information that can be displayed on a
CRT screen.

3. INTERNET CHANNEL
Our electrical retail provides the information to customer about which the electrical good
are available in our retail store. These Internet channels also contain the all information
about electrical good price. The benefit of Internet channel as compared with the other
two channels is the vast number of consumers to purchase the product easily.
Retail market strategy to be followed and preparation of
Strategic Retail planning;

Retail market strategy is a statement identifying (1) the retailer’s target market (2) the
format the retailer plans to use to satisfy the target market’s need and (3) the vases upon
which the retailer plans to build a sustainable competitive advantage.

Our electrical retail will be containing the strong brand electrical product for the
customers. It will be developing clear and price positioning strategies and creating an
emotional attachment with customers through loyalty programs.
We also will be using the retail mix to create an image of the retailer in the customer’s
mind relative to its competitors. Stores will be offering fine quality electrical goods at
competitive prices

CUSTOMER BUYING BEHAVIOR

 Consumer behavior is the study of how consumer makes make decision to use their
respective resources such As timed ‘money and effort for buying, using and disposing
goods and services. The behavior of humans as consumer is complex buying behavior
will help them. to serve their customers effectively and efficiently and attract new
customer’s .

The most challenging concept in marketing deals with understanding why buyers do what
they do (or don’t do). But such knowledge is critical for marketers since having a strong
understanding of buyer behaviours will help shed light on what is important to the customer
and also suggest the important influences on customer decision-making. Using this
information, marketers can create marketing programs that they believe will be of interest to
customers.

Buyer behaviour is deeply rooted in psychology with dashes of sociology thrown in just to
make things more interesting. Since every person in the world is different, it is impossible to
have simple rules that explain how buying decisions are made. But those who have spent
many years analyzing customer activity have presented us with useful “guidelines” in how
someone decides whether or not to make a purchase.

The perspective we take is to touch on just the basic concepts that appear to be commonly
accepted as influencing customer behaviour. We will devote two sections of the Principles of
Marketing Tutorials to customer behaviour. In this section we will examine the buying
behaviour of consumers (i.e., when people buy for personal reasons) while in the Business
Buying Behaviour tutorial we will examine factors that influence buyer’s decisions in the
business market.
RETAIL FORMAT
In which I have included the different strategies which lead our
business and used different competitive promotional planned which make our retail store
attractive and effective. And these should be done according to these points;

 Nature of merchandise and services offered

 Pricing policy
 Advertising and promotion programs
 Store design and visual merchandising
 Customer services

LOCATION

Location of retail store is important aspect as customer point of view

because location is the critical factor in consumer selection of store and whenever we
opened a retail store than we have assumed the different factor which showed our retail
store features like as:

 Demographic features(to know about the potential customer in that area,

metropolitan statistical area)
 Competition(to know about the competitors and how they far from my retail
store)
 Strategic fit(to must know about the life style of potential customer)
 Operating cost(different area have different cost)
 No. of small shops in that area
 Economy of scale
We are choosing a city or state to locate our retail store, research the area thoroughly before
making a final decision. Read local papers and speak to other small businesses in the area.
Obtain location demographics from the local library, chamber of commerce or the Census
Bureau. Any of these sources should have information on the area' population, income and
age. And make sure we find a location where our customers live, work and shop.

 Accessibility, Visibility and Traffic

Don't confuse a lot of traffic for a lot of customers. Retailers want to be located where there
are many shoppers but only if that shopper meets the definition of their target market. Small
retail stores may benefit from the traffic of nearby larger stores.

• How many people walk or drive past the location.

• Is the area served by public transportation?
• Can customers and delivery trucks easily get in and out of the parking lot?
• Is there adequate parking?

Depending on the type of business, it would be wise to have somewhere between 5 to 8

parking spaces per 1,000 square feet of retail space. When we considering visibility, look at
the location from the customer's view point. Can the store be seen from the main flow of
traffic? Will your sign be easily seen? In many cases, the better visibility your retail store has,
the less advertising needed. According to the survey A specialty retail store located six miles
out of town in a free standing building will need more marketing than a shopping store
located in a mall.

HUMAN RESOURCE MANAGEMENT

Retailing is a labor-intensive business and Knowledgeable and skilled employees

committed to the retailer's objectives are critical assets that support the success of the
business. And it should be done by following steps:
  Retail market & financial
 Retail site location
 Customer relationship management (CRM)
 Information & Distribution system

SUPPLY CHAIN MANAGEMENT

In which I have included the pattern of flow of my product, services and information
through supplier to customer.

 Supplier
 Factory
 Warehouse
 Retailer
 Customer

INFORMATION SYSTEM:-

Information system is the important factor in current scenario in retail store because it
just gave the information about the product which you sold in your retail store. The
system builds efficiencies into ordering, distribution and merchandising processes and is
designed to provide timely, accurate sales information on an item-by-item basis. And
retail information system includes;

 Touch-screen point-of-sale (POS) cash registers with scanners,

 The integration of credit-card authorization
 Item-level information to assist in making product-ordering decisions,
 Hand-held Mobile Ordering Terminals to facilitate ordering,
Store personnel determine appropriate product assortment and slow-moving items

Merchandise Management System:

The order received from a vendor are kept in container and the inventory is raised
whereas sale of each SKU to customer decreases the level of inventory. Therefore there is
need to keep a record of total orders received and sale of SKU. There is a need to manage
the merchandise so as to keep minimum level of stock which should be there all the time
in store, Inventory for Re-order and the time to which an order with vendor is to be
placed so as to run business efficiently.

Inventory management report:

There is need to maintain this report so as to know the Level of Sales to do the forecast of
sales for the next year, Amount of inventory available so as to know quantity of re-order,
product which are available in the store. This report is prepared to have a record for
current year and recognize the deviations from the set standards and to make forecast for
future years. This report will have information about the SKU which have been most sold
during that period according to month, season.

Buying Merchandise:
The store will have a mix of Private and National-label brand so as to give both the
quality and compatibility to customers. National brands are kept in stores so as to create
an image in the mind of customers about quality that has been offered in stores where as
private brands are kept because the target group of customers are people who are very
price conscious and can compromise quality for cost moreover Private-label Brands have
strong margins for retailer.

Planning the retail communication program

The objective for communication program is to provide direction to people implementing
the program about the long term objective and what effect will it have in creating brand
image and other is to provide basis for evaluating its effectiveness. The objective for
planning retail communication mix for the store is to create a store image among
consumers such that whenever they have need for and home ware appliances the top-of-
their-mind is our store and the amount of assortment which are being offered to
customers here and they have favorable attitude coming into store.
Next part of planning retail communication mix is to develop a budget, so as to make
resource allocation decisions, allocation of merchandise to stores, staffing stores and
floor and shelf space devoted to merchandise categories and to determine all these things
correctly MARGINAL ANALYSIS METHOD is best which states that a store should
increase communication expenditure as long as each additional rupee spent should
generate more than a rupee. The strategy is to increase the expenditure so as to create
brand image among customers, build brand uniqueness, and sustain that brand name of
store unless it is giving in return more than the expense incurred on communication
program.

Setting the Promotion Mix

When we deciding how to properly utilize the marketing communications mix to meet our
marketing objectives, it is important to consider the relative strengths and weaknesses of each
component of the mix. Further, we must always define our total budget first (generally
defined in the Marketing and/or Business Plan) and then decide upon the best way to
leverage the different elements of the mix to maximize the return on our investment. We will
balance the various parts of the mix to not only create an integrated approach to our
marketing communications but we must also devote enough resources for each component to
be successful.

Advertising

Reaches large, geographically dispersed audiences, often with high frequency; Low cost
per exposure, though overall costs are high; Consumers perceive advertised goods as
more legitimate; Dramatizes company/brand; Builds brand image; may stimulate short-
term sales; Impersonal, one-way communication; Expensive

Personal selling
Most effective tool for building buyers’ preferences, convictions, and actions; Personal
interaction allows for feedback and adjustments; Relationship-oriented; Buyers are more
attentive; Sales force represents a long-term commitment; Most expensive of the
promotional tools

Sale Promtion

May be targeted at the trade or ultimate consumer; Makes use of a variety of formats:
premiums, coupons, contests, etc.; Attracts attention, offers strong purchase incentives,
dramatizes offers, boosts sagging sales; Stimulates quick response; Short-lived; Not
effective at building long-term brand preferences

Public Relation

Highly credible; Very believable; Many forms: news stories, news features, events and
sponsorships, etc.; Reaches many prospects missed via other forms of promotion;
Dramatizes company or product; Often the most under used element in the promotional
mix; Relatively inexpensive (certainly not 'free' as many people think--there are costs
involved)

Many forms: Telephone marketing, direct mail, online marketing, etc.; Four distinctive
characteristics: Nonpublic, Immediate, Customized, Interactive; Well-suited to highly-
targeted Direct Marketing

Visual merchandising

Visual merchandising is one of the final stages in trying to set out a store in a way that
customers will find attractive and appealing and it should follow and reflect the principles
that underpin the store’s image. Visual merchandising is the way one displays 'goods for
sale' in the most attractive manner with the end purpose of making a sale. "If it does not
sell, it is not visual merchandising
Especially in today’s challenging economy, people may avoid designers/ visual
merchandisers because they fear unmanageable costs. But in reality, visual merchandisers
can help economise by avoiding costly mistakes. With guidance of a professional, retailer
can eliminate errors, saving time and money. It is important to understand that the visual
merchandiser is there, not to impose ideas, but to help clients articulate their own
personal style
Visual merchandising is the art of implementing effective design ideas to increase store
traffic and sales volume. VM is an art and science of displaying merchandise to enable
maximum sale. VM is a tool to achieve sales and targets, a tool to enhance merchandise
on the floor, and a mechanism to communicate to a customer and influence his decision
to buy. VM uses season based displays to introduce new arrivals to customers, and thus
increase conversions through a planned and systematic approach by displaying stocks
available.

Customer Relationship Management

CRM stands for Customer Relationship Management. It is a process or methodology
used to learn more about customers' needs and behaviors in order to develop stronger
relationships with them. There are many technological components to CRM, but thinking
about CRM in primarily technological terms is a mistake. The more useful way to think
about CRM is as a process that will help bring together lots of pieces of information
about customers, sales, marketing effectiveness, responsiveness and market trends.

CRM helps businesses use technology and human resources to gain insight into the
behavior of customers and the value of those customers.
Recommendations

 Inspection at high electrical potential : method of the « holiday detector

 The metallic part of the sample to be examined shall be connected to the
ground of the device.
 The inspection shall be carried out on a pipe which is clean, and dry in the
case of the method at high voltage.
 The presence of conducting particles in or on the coating (water, salt, metallic
particles,…) may modify its electrical characteristics and lead to false alarms
or to a faulty localization of the flaw.
 It must be avoided to inspect several times the same area, as consecutive
passages of the holiday
 detector may lead to the deterioration of the coating, even if the voltage is
adequately adjusted.
Conclusion
While companies like next and crome have been working to support socially responsible
electricals, , as a whole, must become involved if it wants to save thiselectricals
industry .America has begun to recognize that problems like short circuit, heatin of wire
relate to those working on “A recent study by the Guatemalan Commission for the
Verification of Corporate Codes of Conduct found half the workers on fences in that
country earning less than $3 per day.

Live life helps clients reach a new tier of high performance through an innovative
balance of customer satisfaction, low costs and improved efficiency. Leading electricals
companies display an obsession with customer satisfaction that must be balanced against
keeping costs low, while always striving to improve efficiency. Life live has a vast
amount of expertise in systems development that allows it to integrate these obsessions
and enable to deliver customer-centric service and reach new heights of performance Our
dynamic experience and research, aided by innovative technology, ensure a track record
of improved business processes and competitive positions for our clients. Clients can
expect a wealth of expertise .
Refrences:

INTERNET

www.thecontractoroffice.com/are-you-an-electrician-an-electrical-contractor

www.crmelectrical.co

www.pastplaces.com/Next-Appliances-Cashback-Shopping-973.aspx

www.alertelectrical.com

www.hcltech.com/.../planning-merchandising-demand-intelligence

www.dimensionicad.com/india/retail-design-solutions.html

www.indianretailer.com/indianretailer0707/visualstrategy

www.flipkart.com/retail-management

BOOKS:

LEVY.M,(RETAIL MANAGEMENT)

OTHER WEB MATERIALS

GOOGLE

WIKIPEDIA

INVESTOPEDIA