Question

Differentiate between departmental stores and chain stores on the following basis : (a) Location, (b) Range of product, (c) Services offered, (d) Pricing, (e) Class of customer, (f) Credit facilities.

Answer 1

Following points show the difference between the two :

$\begin{array}{cccc}\text{S.No}& \text{Basis}& \text{Departmental}& \text{Chain-store/}\\ & & \text{store}& \text{Multiple stores}\\ \text{(a)}& \text{Location}& \text{A departmental}& \text{Multiple store/}\\ & & \text{store is located at a}& \text{chain stores are}\\ & & \text{central place where}& \text{located at a}\\ & & \text{a large number of}& \text{number of places}\\ & & \text{customers can be}& \text{for approaching}\\ & & \text{attracted to it}& \text{a large number of}\\ & & & \text{customer}\\ \text{(b)}& \text{Range of}& \text{These store carry a}& \text{The multiple store}\\ & \text{product}& \text{variety of products}& \text{aims to satisfy the}\\ & & \text{of different types}& \text{requirements of}\\ & & \text{to satify all the}& \text{customers relating}\\ & & \text{need of customers}& \text{to a specified range}\\ & & \text{under one roof.}& \text{of their product}\\ & & & \text{only.}\\ \text{(c)}& \text{Services}& \text{Departmental stores}& \text{The multiple store}\\ & \text{offered}& \text{give great emphasis}& \text{provide very}\\ & & \text{to their customers}& \text{limited services}\\ & & \text{like alteration of}& \text{confined to}\\ & & \text{garments,}& \text{guarantees and}\\ & & \text{nestrooms,}& \text{repairs the goods, if}\\ & & \text{resturants etc.}& \text{they turnout to}\\ & & & \text{be defective.}\\ \text{(d)}& \text{Pricing}& \text{The departmental stores}& \text{The multiple chain}\\ & & \text{stores do not have}& \text{shops sell goods}\\ & & \text{uniform pricing}& \text{at fixed prices and}\\ & & \text{policy for all the}& \text{maintain uniform}\\ & & \text{departments; rather}& \text{pricing policy for}\\ & & \text{they have to}& \text{all the shops.}\\ & & \text{occassionally ofter}& \\ & & \text{discounts, rebate}& \\ & & \text{etc. to clean the}& \\ & & \text{unsold stock.}& \\ \text{(e)}& \text{Class of}& \text{These stores cater}& \text{The chain stores}\\ & \text{customer}& \text{to the needs of}& \text{cater to difference}\\ & & \text{relatively high}& \text{types of customers}\\ & & \text{income group of}& \text{including lower}\\ & & \text{customers who}& \text{income groups}\\ & & \text{care more for the}& \text{who are intereted}\\ & & \text{services provided}& \text{in buying}\\ & & \text{instead of the}& \text{quality goods at}\\ & & \text{prices of goods.}& \text{reasonable price.}\end{array}$