Why are the prices of goods lower in super markets than in other retail stores?

Because of bulk purchasing.

No worries! We‘ve got your back. Try BYJU‘S free classes today!

Low profit margins.

No worries! We‘ve got your back. Try BYJU‘S free classes today!

Both A and B

Right on! Give the BNAT exam to get a 100% scholarship for BYJUS courses

None of the above

No worries! We‘ve got your back. Try BYJU‘S free classes today!

Open in App

Solution

The correct option is C Both A and B
A super market is a large retailing business unit selling wide variety of consumer goods on the basis of low margin appeal, wide variety and assortment, self-service and heavy emphasis on merchandising appeal.
The prices of the products are generally lower than other types of retail stores because of bulk purchasing, lower operational cost, and low profit margins.

Suggest Corrections

Similar questions

Taxes are actually interventions that affect market prices, because taxes affect the equilbrium price of the goods, raising it above or below market price.

Q. At lower commodity prices more of the commodity will be purchased in the market because of _________.

Q. Mention the goods that are traded in Super markets.

A retailer cheats his wholesaler and customer both. He purchases $19 %$ more from the wholesaler and sells $15 %$ less while selling to its customer. What is profit percentage by selling the goods at cost price?

Q. The maximum retail price (MRP) of a product is

55 %

above its manufacturing cost. The product is sold through a retailer, who earns

23 %

profit on his purchase price. What is the profit percentage for the manufacturer who sells his product to the retailer? The retailer gives

10 %

discount on MRP.

Join BYJU'S Learning Program