Consider a department store. Which departments probably should not be located near each other? Would any departments benefit from close proximity?
Service layout of retail stores like department stores, banks or restaurants are designed in such a way that would maximize the net profit per square foot of the store. The layouts of retail stores are decided according to the relatedness of different departments and requirement of product exposure to the customers.
Consider a department store that consist of different departments including clothes, cosmetics, shoes, furniture, electronics, food, product for pets, toiletries, etc. In addition to it the stores also have non selling departments like billing department and customer service departments.
A department store should not locate departments selling completely unrelated products near each other. For example electronics and food department, or hardware and cosmetics department should not be placed near each other.
Contrary to this, departments selling complementary goods like men’s clothes and shoes department or female clothes and cosmetics/jewelry departments should be located at close proximity. This arrangement would increase the visibility of products and induce impulse buying.
Consider a department store. Which departments probably should not be located near each other? Would any...
For a department store with four departs, which of the following statements is always correct? A department: None of these. Which has a net loss should be discontinued. Should not be discontinued if it will cause a loss of total sales. should not be discontinued if it will cause other departments to bear more overhead. which has a positive gross profit should never be discontinued.
Sub Place, a small sandwich store, is located on a busy corner near many other businesses. The shop's busiest time is during the mid-day period. Rent for the location is 5900 per month, and wages amount to $2100 per month Variable costs consist of supplies and sandwich Ingredients that cost $2.36 per sub sandwich The subs are to be sold at a price of $5.89 bach. Answer each of the following independent questions. (a) How many sandwiches must the shop...
2. Biden Department Store has four departments: men's, women's, children's, and electronics. The following information is provided: Floor space Men's 10,000 sq ft $35,000 Women's 20,000 sq ft $75,000 Children's 8,000 sq.ft $20,000 Electronics 2,000 sq ft $12.000 Sales The company's accountant needs to allocate the store's annual rent of $160,000. Required: 1) Compute the allocation rate that should be used to allocate the rent cost to the four departments 1 2) Compute the amount of rent that should be...
ABC Company is a discount department store that has three major departments, groceries, general merchandise and drugs. Management is considering dropping groceries, which have consistently shown a net loss. The space vacated by the dropping of groceries would remain idle and the common fixed cost would remain the same. The following is the financials for the three departments: Total Groceries Merchandise Drugs Sales $ 1,900 $ 1,000 $ 800 $ 100 Variable costs $ 1,420 $ 800 $ 560 $ 60 Contribution margin $ 480 $ 200 $ 240 $ 40 Fixed...
0 Sub Haven, a small sandwich store, is located on a busy corner near many other businesses. The shop's busiest time is during the mid-day period. Rent for the location is $900 per month, and wages amount to $2800 per month. Variable costs consist of supplies and sandwich ingredients that cost $2.07 per sub sandwich. The subs are to be sold at a price of $5.99 each. Answer each of the following independent questions (a) How many sandwiches must the...
Job: Assistant Store Manager A large department store is located in two major parts of the country: the Midwest and the Southwestern United States. The store employs 700 assistant managers. The store has organized its operations based upon these two geographical regions. Each region runs independently of the other. The data below are used to assess turnover for each division. Employee Information for assistant store managers Midwest Division Southwestern Division Number of full-time employees on July 1st 500 200 Number...
Other things equal, which of the following goods would have the most inelastic price elasticity of demand? A.A t-shirt from The Gap (a famous American retail store). B.All red t-shirt sold in the U.S. C.All shirts, of any color, sold in the U.S. D.A red t-shirt from Macy's (a large department store)
Consider a Hotelling line of length 1. A grocery store is located at each endpoint. The grocery store at the west end point is owned and operated by Jack Donaghy and offers customers the use of a personal “grocery concierge”, free of charge, who assists the customer in shopping. The grocery store at the east endpoint is owned and operated by Milton Greene and does not offer its customers a grocery concierge. The utility of a consumer at location x...
Consider Macy's department store as a production system in which the final product is a customer. For this system: a. Define quality from the producer's and customer's prospective. b. Develop a fitness-for-use description for final product quality at Macy's c. Give examples of the cost of poor quality (internal and external failure costs) and the cost of quality assurance (prevention and appraisal) cost for Macy's
Which of the following would not be a behavioral consideration in performance evaluation? Managers should be refused the opportunities to respond to any part of the evaluation process. The support of top management in the evaluation process should be evident. The focus of the performance report should be all significant variances for only the controllable cost and revenue items. (d) Managers should have input into the standards and goals set for their areas of responsibility. 15. (b) Which of the...