Question

General speaking, department located near entrances, on major aisles, and on the main level of multilevel stores have the best profit-generating potential. What additional factors
help to determine the location of department? Give examples of each factor. Consider a situation in which you received poor customer service in a retail store or from a customer service provider. Did you make the store's management aware of your experience? Have you returned to this retailer? For each of these questions, explain why you did what you did.

Answer 1

Locations with the higher average household incomes are ideal for a department. This is because customers in these areas have more purchasing power and hence more sales are likely to happen. The departments must be located in urban areas and cities where the average foot falls are likely to be high. Similarly shopping centers which are nearer to affluent residential markets, higher-end super markets, malls, nicer restaurants, airports etc are all ideal locations to establish a department. In addition, better transportation facilites, proximity to city centers etc also are favorable factors in establishing a department.

Last year, I had visited a retail store near to my house where I bought a toy as a gift for my sister. My sister liked it initially. But after a few days, she started complaining that the toy was not working. So, I decided to return it. I visited the store and tried to discuss my problem with the manager there. However, the manager said that they had a no return policy for toys. I was not aware of this. They did not even inform me regarding the policy while I purchased the toy. I felt cheated after this experience andI never returned to the store again.