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43 Cards in this Set

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Branded Merchandise
identified by a name and/or symbol associated by certain product characteristics
National Brand
a product that is available nationally but is not associated with a specific retailer
The types of brands sold at a prestige or boutique store
Designer Lines
Brands sold at a specialty store
Bridge/Diffusion lines
Brands sold at a department store
Better and moderate lines
Brands sold at a discount store
Budget/mass-market lines
Brand Extension
involves adding related products to an existing line of branded products or developing a new product with the same brand identity
Private Label (i.e. Gap, Abercrombie)
a name used exclusively by the retailer
Exclusive line
created exclusively for a retailer with a brand or designer label that is not considered to be a private label
Store brand products
exclusive merchandise of private labels, manufactured by the retailer i.e. Gap, Old Navy
Planning and Forecasting
Planning- involves establishing goals and strategies to achieve them
Forecasting- attempt to predict trends or outcomes
Long and Short-range plans
Long- covers a 3-5 year period, is more strategic in nature
Short- covers a period of less than a year, is more day-to-day in nature
Sources of Planning Information (CTTFRC)
Consumer Publications, Trade Publications, Trade Associations, Forecasting Services, Reporting Services, COnsultants.
Top-down and bottom-up plans
Top-down- starts at the upper levels of a business where objectives are defined, then other division plans follow.
Bottom-up- PLans start at department level and work their way up
4-5-4 Calendar
an accounting calendar that structures a fiscal year. Each month has 4 weeks (28 days) or 5 weeks (35 days. Makes comparisons of retail sales more consistent.
Six month plan
2 seasons: Fall (August-January) and Spring (February-July). More sales in Fall.
Components of the six month plan
1- Planned Sales
2- Planned Stock
3- Markdowns
4- Planned Purchases
External and internal influences of planned sales
External- Season, Economy, Weather, Fashion trends
Internal- past sales, promotional events expansion or closure of branches
Planning and Forecasting
Planning- involves establishing goals and strategies to achieve them
Forecasting- attempt to predict trends or outcomes
Long and Short-range plans
Long- covers a 3-5 year period, is more strategic in nature
Short- covers a period of less than a year, is more day-to-day in nature
Sources of Planning Information (CTTFRC)
Consumer Publications, Trade Publications, Trade Associations, Forecasting Services, Reporting Services, COnsultants.
Top-down and bottom-up plans
Top-down- starts at the upper levels of a business where objectives are defined, then other division plans follow.
Bottom-up- PLans start at department level and work their way up
4-5-4 Calendar
an accounting calendar that structures a fiscal year. Each month has 4 weeks (28 days) or 5 weeks (35 days. Makes comparisons of retail sales more consistent.
Six month plan
2 seasons: Fall (August-January) and Spring (February-July). More sales in Fall.
Components of the six month plan
1- Planned Sales
2- Planned Stock
3- Markdowns
4- Planned Purchases
External and internal influences of planned sales
External- Season, Economy, Weather, Fashion trends
Internal- past sales, promotional events expansion or closure of branches
Divisions (i.e. menswear, intimate apparel, juniors)
Highest level of merchandising- coordinates groups of similar products
Departments (i.e. men's tailored)
merchandise is more narrowly focused, buyer is the administrative head
Classifications (i.e. men's shirts, trousers)
merchandise with similar characteristics
Subclasses (i.e. long sleeve, knit, pullovers)
Merchandise is even more narrowly focused
Assortment Planning
the prices, styles, brands, sizes, fabrics, and colors that make up the merchandise created to mee customer demand
Planning stock
always planned for the beginning of the month, BOM, which is also last month's EOM
Productivity
a measure of the number of units of output produced produces per unit of input
Turnover/stockturn
the number of times that an average inventory is sold within a time period
Average inventory/stock
the average amount of stock on hand within a time period
High turnover
High- is generally more desirable retailers want to generate more sales on less inventory
Stock to Sales ratio
the proportionate relationship between sales and BOM stock
Micromerchandising
the concept of managing individual brands or categories of merchandise as units of the business
Cost
paid to the supplier (wholesale cost or price)
Markup (markon)
amount added to the cost to est. retail price
Initial Markup
first price an item has been sold at
Cumulative Markup
markup for a group of varied price goods
Maintained markup
difference between the cost of the merchandise and the actual retail selling price