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From Wikipedia, the free encyclopedia

Shopping is the purchase of goods and services from retailers.

1 Explanation
2 Retail pricing
3 Kinds of shops

Shopping is considered a recreational activity of psychological interest. Shopping involves selection and purchase.
"Window shopping" is an American/English phrase meaning to look into glass windows of a shop for entertainment and imagine purchasing items without actually purchasing, possibly just to pass the time between other activities, or planning a purchase.
Retail pricing
The pricing technique used by most retailers is cost-plus pricing. This involves adding a markup amount (or percentage) to the retailers cost. Another common technique is manufacturers suggested list pricing. This simply involves charging the amount suggested by the manufacturer and usually printed on the product by the manufacturer.
In Western countries, retail prices are often so-called psychological prices or odd prices: a little less than a round number, e.g. $ 6.95. In Chinese societies, prices are generally either a round number or sometimes some lucky number. This creates price points.
Often prices are fixed and displayed on signs or labels. Alternatively, there can be price discrimination for a variety of reasons. The retailer charges higher prices to some customers and lower prices to others. For example, a customer may have to pay more if the seller determines that he or she is willing to. The retailer may conclude this due to the customer's wealth, carelessness, lack of knowledge, or eagerness to buy. Price discrimination can lead to a bargaining situation often called haggling — a negotiation about the price. Economists see this as determining how the transaction's total surplus will be divided into consumer and producer surplus. Neither party has a clear advantage, because the threat of no sale exists, whence the surplus vanishes for both.

Kinds of shops
Shops are divided into multiple categories of stores which sell a selected set of goods or services.
Many shops are part of a chain: a number of similar shops with the same name selling the same products in different locations. The shops may be owned by one company, or there may be a franchising company that has franchising agreements with the shop owners (see also restaurant chain).
Some shops sell second-hand goods. Often the public can also sell goods to such shops. In other cases, especially in the case of a nonprofit shop, the public donates goods to the shop to be sold (see also thrift store). In give-away shops goods can be taken for free.
For details on the various types of retail stores see:
Convenience store
Department store
Dollar store
Electronic commerce, B2C
General store
Hardware store
Hobby store
Mail order
Pet store
Surplus store
Thrift store
Travel agency

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From Wikipedia, the free encyclopedia

Sale is an economic term referring to the exchange of goods and services for money.

Look up sale in Wiktionary, the free dictionary.Sale is a type of contract for the exchange of goods, property or services. See Contract of sale. There are several types of sales.
Sale is a forum or method of exchange. See auction.
Sale is term used by stores to signify a reduction off the original price. For example "All computers are on sale this week." See sales promotion and discounts and allowances. See also closeout and final.

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Shopping mall
From Wikipedia, the free encyclopedia

The King of Prussia Mall, one of the largest in the world, located in Pennsylvania, United StatesFor the traditional meaning of the word mall, see pedestrian street or promenade.
A shopping mall (or simply mall), shopping center, or shopping arcade is a building or set of buildings that contain stores and have interconnecting walkways that make it easy for people to walk from store to store. The walkways might be enclosed. In the United Kingdom and Australia these are also called shopping centres, shopping arcades as well as shopping malls. In North America the term "mall" is preferred.
Strip malls are a recent development, corresponding to the rise of suburban living after World War II in the United States. As such, the strip mall development has been the subject of the same criticisms leveled against suburbanization and suburban sprawl in general. In the United Kingdom these are called retail parks or out-of-town shopping centres.

1 History
2 Regional mall
3 Strip mall
4 Dead malls and new trends
5 Legal issues

Indoor multi-vendor shopping is not a recent innovation. Isfahan's Grand Bazaar, which is largely covered, dates from the 10th century A.D. The 10 kilometer long covered Tehran's Grand Bazaar also has a very old history. The Burlington Arcade in London was opened in 1819. The Arcade in Providence, Rhode Island introduced the concept to the United States in 1828. The Galleria Vittorio Emanuele II in Milan, Italy followed in the 1860s and is closer to large modern malls in spaciousness. Many other large cities created arcades and shopping centers in the late 19th century and early 20th century, including the Cleveland Arcade and GUM in Moscow in 1890. Early shopping centers designed for the automobile include Market Square, Lake Forest, Illinois (1916) and Country Club Plaza, Kansas City, (1924).
An example of the mid-19th-century shopping mall: The Passage in St Petersburg.In the mid-20th century, with the rise of the suburb and automobile culture in the United States, a new style of shopping center was created away from city centers. The concept was pioneered by the Austrian-born architect Victor Gruen. The new generation called malls included Northgate Mall, built in north Seattle, Washington, USA in 1950, Gruen's Northland Shopping Center, built near Detroit, Michigan, USA in 1954, and the Southdale Center, the first fully enclosed mall, which opened in the Twin Cities suburb of Edina, Minnesota, USA in 1956. In the UK, Chrisp Street Market was the first pedestrian shopping area built with a road at the shop fronts.
A very large shopping mall is sometimes called a megamall. The title of the largest enclosed shopping mall was held by the West Edmonton Mall in Edmonton, Alberta, Canada for 20 years. One of the world's largest shopping complex at one location is the two-mall agglomeration of the Plaza at King of Prussia and the Court at King of Prussia in the Philadelphia suburb of King of Prussia, Pennsylvania, USA. The King of Prussia mall has the most shopping per square foot in the US. Comparable in size is Europe's largest shopping center, the MetroCentre in Gateshead, England. The most visited shopping mall in the world and largest mall in the United States is the Mall of America, located near the Twin Cities in Bloomington, Minnesota, USA. However, several Asian malls are advertised as having more visitors, including Berjaya Times Square in Malaysia and SM Megamall in the Philippines..
The race is on to build the largest mall. Beijing's Golden Resources Shopping Mall, opened in October 2004, is the world's largest, at 600,000 m² (approximately 6 million square feet). Berjaya Times Square in Kuala Lumpur, Malaysia, is advertised at 700,000 m². SM Mall of Asia in the Philippines, opened in May 2006, is the world's third largest at 386,000 square meters of gross floor area with further expansions still ongoing. The Mall of Arabia inside Dubai Land in Dubai, United Arab Emirates, which will open in 2006, will become the largest mall in the world, at 929,000 square meters (10 million sq. feet).
"Pitt Street Mall" of Sydney is Australia's busiest shopping precinct. This mall has eight retail centres and more than 600 speciality stores, within two city blocks.Mall can refer to a shopping mall, which is a place where a collection of shops all adjoin a pedestrian area, or an exclusively pedestrian street, that allows shoppers to walk without interference from vehicle traffic. Mall is generally used in North America and Australasia to refer to large shopping areas, while the term arcade is more often used, especially in Britain, to refer to a narrow pedestrian-only street, often covered or between closely spaced buildings. A larger, often only partly covered but exclusively pedestrian shopping area is in Britain also termed a shopping precinct or pedestrian precinct. The majority of British shopping centers are in town centers, usually inserted into old shopping districts, and surrounding by subsidiary open air shopping streets. A number of large out-of-town "regional malls" such as Meadowhall were built in the 1980s and 1990s, but there are only ten of them or so and current planning regulations prohibit the construction of any more. Out-of-town shopping developments in the UK are now focused on retail parks, which consist of groups of warehouse style shops with individual entrances from outdoors. Planning policy prioritizes the development of existing town centres, although with patchy success.

Regional mall
A regional mall is a shopping mall which is designed to service a larger area than a conventional shopping mall. As such, it is typically larger, and offers a wider selection of stores. Given its wider service area, these malls tend to have higher-end stores that need a larger area in order for their services to be profitable. Regional malls are also found as tourist attractions in vacation areas.
Super-regional malls are usually shopping centers with over 1 million square feet of retail space and serves as the dominant shopping venue for the region that it serves.

Strip mall
A strip mall is a shopping center where the stores are arranged in a row, with a sidewalk in front. Strip malls are typically developed as a unit and have large parking lots in front. They face major traffic arterials and tend to be self-contained with few pedestrian connections to surrounding neighborhoods.
In the U.S., strip malls usually come in two sizes. The smaller variety is more common, and often located at the intersection of major streets in residential areas; they cater to a small residential area. This type of strip mall is found in nearly every city or town in the U.S. They are service-oriented and will often contain a grocery store, video rental store, dry cleaner, small restaurant, and other similar stores. In the past, pharmacies were often located next to the grocery stores, but, now, the drug store is often free-standing in the parking lot. Sometimes, gas stations, banks, and other businesses will also have their own free-standing buildings in the parking lot of the strip center.
The other variety of strip mall in the U.S. has large, big box retailers as the anchors, such as Wal-Mart or Target. They are sometimes referred to as power centers in the real estate development industry because they attract and cater to residents of an entire population area. The type of retailers may vary widely--from electronics to bookstores to home improvement stores. There are typically only a few of these type of strip malls in a city, compared to the grocery store-anchored strip mall. Some of these strip centers may only have three of four of these large retailers in them, while others may have a dozen or more major retailers.
Some strip malls are a hybrid of both of these types.
Strip malls vary widely in architecture. Older strip malls tend to have plain architecture with the stores arranged in a straight row; in some cases there are vacant stores. Newer strip malls are often built with elaborate architecture to blend in with the neighborhood or be more attractive. In some cases, strips malls are broken up into smaller buildings to encourage walking. Sometimes the buildings will wrap around the parking lot to hide the parking from the road or residential areas.
Due to land use issues, strip malls in the United Kingdom are typically found on the edges of cities on greenfield sites, and are known as out of town shopping centres. Ones in more urban areas (often brownfield redeveloped sites) are more typically known as retail parks.
The first shopping center (strip mall) in the United States was the Roland Park Shopping Center in Baltimore, Maryland (1896).

Dead malls and new trends
Main article: Dead mall
In the U.S, in recent times, as more modern facilities are built, many early malls have become largely abandoned, due to decreased traffic and tenancy. These deteriorating "dead malls" have failed to attract new business and often sit unused for many years until restored or demolished. Interesting examples of architecture and urban design, these structures often attract people who explore and photograph them. Until the mid-1990s, the trend was to build enclosed malls and to renovate older outdoor malls into enclosed ones. Such malls had advantages such as temperature control. Since then, the trend has turned. It is once again fashionable to build open-air malls, and some enclosed malls have been opened up, such as the Sherman Oaks Galleria. In addition, some malls, when replacing an empty anchor location, have replaced the former anchor store building with the more modern outdoor design, leaving the remainder of the indoor mall intact.
In parts of Canada, it is now rare for new shopping malls to be built, as outdoor outlet malls or big box shopping areas known as power centres are now favored, although the traditional enclosed shopping mall is still much in demand by those seeking weather-protected, all-under-one-roof shopping. In addition the underground interconnections between downtown multi story shopping malls continue to grow in the Underground city of Montreal and the PATH system of Toronto, reaching a total of 32 km of shop-lined pedestrian passages in Montreal and 27 km in Toronto. The numbers do not include the passages inside the many subway stations which also interconnect with the commercial areas.

Legal issues
One controversial aspect of malls has been their effective displacement of traditional main streets. Many consumers prefer malls, with their spacious parking garages, well-maintained walkways, and private security guards, over public streets, which often suffer from limited parking, poor maintenance, and limited police coverage.
The Mall, an out-of-town shopping centre at Patchway, near Bristol, England. Escalators connect the upper and lower levels.In response, a few jurisdictions, notably California, have expanded the right of freedom of speech to ensure that speakers will be able to reach consumers who prefer to shop within the boundaries of privately owned malls. See Pruneyard Shopping Center.

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From Wikipedia, the free encyclopedia

In economics and business, the price is the assigned numerical monetary value of a good, service or asset.
The concept of price is central to microeconomics where it is one of the most important variables in resource allocation theory (also called price theory).
Price is also central to marketing where it is one of the four variables in the marketing mix that business people use to develop a marketing plan.

1 Conventional definition
2 Relative and Nominal Price
3 Marxian price theory
4 Austrian theory

Conventional definition
In ordinary usage, price is the quantity of payment or compensation for something. People may say about a criminal that he has 'paid the price to society' to imply that he has paid a penalty or compensation. They may say that somebody paid for his folly to imply that he suffered the consequence.
Economists view price as an exchange ratio between goods that pay for each other. In case of barter between two goods whose quantities are x and y, the price of x is the ratio y/x, while the price of y is the ratio x/y.
This however has not been used consistently, so that old confusion regarding value frequently reappears. The value of something is a quantity counted in common units of value called numeraire, which may even be an imaginary good. This is done to compare different goods. The unit of value is frequently confused with price, because market value is calculated as the quantity of some good multiplied by its nominal price.
Theory of price asserts that the market price reflects interaction between two opposing considerations. On the one side are demand considerations based on marginal utility, while on the other side are supply considerations based on marginal cost. An equilibrium price is supposed to be at once be equal to marginal utility (counted in units of income)from the buyer's side and marginal cost from the seller's side. Though this view is accepted by almost every economist, and it constitutes the core of mainstream economics, it has recently been challenged seriously.
There was time when people debated use-value versus exchange value, often wondering about the Diamond-Water Paradox. The use-value was supposed to give some measure of usefulness, later refined as marginal benefit (which is marginal utility counted in common units of value)while exchange value was the measure of how much one good was in terms of another, namely what is now called relative price.
That debate is no longer useful in talking about price.

Relative and Nominal Price
The difference between nominal price and relative or real price (as exchange ratio) is often made. Nominal price is the price quoted in money while relative or real price is the exchange ratio between real goods regardless of money. The distinction is made to make sense of inflation. When all prices are quoted in terms of money units, and the prices in money units change more or less proportionately, the ratio of exchange may not change much. In the extreme case, if all prices quoted in money change in the same proportion, the relative price remains the same.
It is now becoming clear that the distinction is not useful and indeed hides a major confusion. The conventional wisdom is that proportional change in all nominal prices does not affect real price, and hence should not affect either demand or supply and therefore also should not affect output. The new criticism is that the crucial question is why there is more money to pay for the same old real output. If this question is answered, it will show that dynamically, even as the real price remains exactly the same, output in real terms can change, just because additional money allow additional output to be traded. The supply curve can shift such that at the old price, the new higher output is sold. This shift if not possible without additional money.
From this point of view, a price is similar to an opportunity cost, that is, what must be given up in exchange for the good or service that is being purchased.
The price of an item is also called the price point, especially where it refers to stores that set a limited number of price points. For example, Dollar General is a general store or "five and dime" store that sets price points only at even amounts, such as exactly one, two, three, five, or ten dollars (among others). Other stores (such as dollar stores, pound stores, euro stores, 100-yen stores, and so forth) only have a single price point (1$, 1£, 1€, 100¥), though in some cases this price may purchase more than one of some very small items.

Marxian price theory
In Marxian economics, it is argued that price theory must be firmly grounded in the real history of economic exchange in human societies. Money-prices are viewed as the monetary expression of exchange-value. Exchange-value can however also be expressed in trading ratios between quantities of different types of goods.
In Marxian economics, the increasing use of prices as a convenient way to measure the economic or trading value of labor-products is explained historically and anthropologically, in terms of the development of the use of money as universal equivalent in economic exchange. However, in an anthropological-historical sense, Marxian economists argue a "price" is not necessarily a sum of money; it could be whatever the owner of a good gets in return, when exchanging that good. Money prices are merely the most common form of prices.
Marxian economists distinguish very strictly between real prices and ideal prices. Real prices are actual market prices realised in trade. Ideal prices are hypothetical prices which would be realised if certain conditions would apply. Most equilibrium prices are hypothetical prices, which are never realised in reality, and therefore of limited use, although notional prices can influence real economic behaviour.
According to Marxian economists, while all labor-products existing in an economy have economic value, only a minority of them have real prices; the majority of goods and assets at any time are not being traded, and they have at best a hypothetical price. Six criticisms Marxian economists make of neoclassical economics are that neoclassical price theory:
is not based on any substantive, realistic theory of economic exchange as a social process, and simply assumes that exchange will occur;
simply assumes prices can be attached or imputed to all goods and services;
assumes equilibrium prices will exist and that markets tend spontaneously to equilibrium prices;
fails to distinguish adequately between actual market prices; administered prices; and ideal, accounting, or hypothetical prices.
disconnects price theory from the real economic history of the use of prices.
is unable to provide a coherent explanation of the relationship between price and economic value.

Austrian theory
The last objection is also sometimes interpreted as the paradox of value, which was observed by classical economists. Adam Smith described what is now called the Diamond–Water Paradox: diamonds command a higher price than water, yet water is essential for life, while diamonds are merely ornamentation. One solution offered to this paradox is through the theory of marginal utility proposed by Carl Menger, the father of the Austrian School of economics.
As William Barber put it, human volition, the human subject, was "brought to the centre of the stage" by marginalist economics, as a bargaining tool. Neoclassical economists sought to clarify choices open to producers and consumers in market situations, and thus "fears that cleavages in the economic structure might be unbridgeable could be suppressed".
Without denying the applicability of the Austrian theory of value as subjective only, within certain contexts of price behaviour, the Polish economist Oskar Lange felt it was necessary to attempt a serious integration of the insights of classical political economy with neo-classical economics. This would then result in a much more realistic theory of price and of real behaviour in response to prices. Marginalist theory lacked anything like a theory of the social framework of real market functioning, and criticism sparked off by the capital controversy initiated by Piero Sraffa revealed that most of the foundational tenets of the marginalist theory of value either reduced to tautologies, or that the theory was true only if counter-factual conditions applied.
One insight often ignored in the debates about price theory is something that businessmen are keenly aware of: in different markets, prices may not function according to the same principles except in some very abstract (and therefore not very useful) sense. From the classical political economists to Michal Kalecki it was known that prices for industrial goods behaved differently from prices for agricultural goods, but this idea could be extended further to other broad classes of goods and services.

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From Wikipedia, the free encyclopedia

Sales, or the activity of selling, forms an integral part of commercial activity. Mastering sales is considered by many as some sort of persuading "art". On the contrary, the methodological approach of selling refers to it as a systematic process of repetitive and measurable milestones, by which a salesperson relate his offering enabling the buyer to visualize how to achieve his goal in an economic way.
`Selling' has long suffered from a tarnished image. It is,indeed, true that dubious selling practices may occasionally result in a sale if the customer is particularly gullible. But it is arguable that, even then, only good marketing (which encompasses a far wider range of skills, with an almost diametrically opposed motivation) 'will lead the customer to buy again from the same company '. Organizations seldom profit from single purchases made by first-time customers. Normally they rely on repeat business to generate the profit that they need.[[1]]
Selling is a practical implementation of marketing; it often forms a separate grouping in a corporate structure, employing separate specialist operatives known as salesmen (singular: salesman or salesperson).
The successful questioning to understand a customer's goal, the further creation of a valuable solution by communicating the necessary information that encourages a buyer to achieve his goal at an economic cost is the responsibility of the sales person or the sales engine (e.g. internet, vending machine etc).
The primary function of professional sales is to generate and close leads, educate prospects, fill needs and satisfy wants of consumers appropriately, and therefore turn prospective customers into actual ones.
From a marketing point of view, selling is one of the methods of promotion used by marketers. Other promotional techniques include advertising, sales promotion, publicity, and public relations.
Various sales strategies exist, such as tit-for-tat which is best if ongoing dealings and interactions are expected. This insight is behind so-called consultative sales process which are used by Saturn to sell cars, as well as for some direct Business-to-Business sales.
Several types of sales exist including direct, consultative, and complex sales. Complex sales varies from other types in that the customer plays a more pro-active role, often requiring proposal response to their Request for Proposal (RFP).

1 Forms
2 Critique of selling

Modes of selling include:
Direct Sales - involving face-to-face contact
retail or consumer
door-to-door or travelling salesman
party plan
Industrial/Professional Sales - selling from one business to another
Indirect - human-mediated but with indirect contact
telemarketing or telesales
web B2B, B2C
multi-level marketing
sales agents (real estate, manufacturing)
Types of sales include:
Transaction sales
Consultative sales
Complex sales

Critique of selling
In theory, the purpose of selling is to help a customer realize his or her goals in an economic fashion. However, in reality this is not always the case. Customers can be influenced to purchase a product or service that initially was not of interest to them. Some salespeople are trained in the art of selling customers things they don't need.
Take for example the purchasing of a car: a consumer may have a set of cars in mind (called an evoked set) that she feels match her needs, wants and budget. She may seek the advice of a salesperson given that a salesperson can help her realize the right car given those criteria. This can be a socially useful function; salespeople have specialized knowledge of products that can help consumers make an informed decision. However, a salesperson may also talk a consumer into purchasing a more expensive or perhaps larger car then she needs or can afford. In this context, the salesperson may have usefully helped the customer re-evaluate her needs, thereby establishing a new set of appropriate choices among which included the newer or large car. This again would be a helpful and useful service provided by the salesperson. However, it is sometimes the case that customers purchase a product or service that was not initially intended and remains an inappropriate purchase after the fact. On the other hand, the consumer in this scenario can be held partially responsible for the inappropriate purchase; indeed, "A fool and his money are soon parted." (P.T. Barnum, English proverbs)
This dysfunctional behaviour is encouraged by:
incentives of salespeople to increase their total number of sales, especially where retailers keep track of sales or offer commission-based salaries
incentives from the manufactures of products or the companies of service providers to salespeople to sell their products where other similar products offered by competitors are offered
the incentive to sell a customer a product that is in need of being cleared out, despite the fact that a customer may be better to wait for the new product.

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