Which type of store is much larger than regular supermarkets and offers a large assortment of routinely purchased food products nonfood items and services?

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Chapter 13

RETAILING AND WHOLESALING

MARKETING STARTER: CHAPTER 13

BEKO: The Leading Wholesaler from Turkey

Synopsis

Founded in 1955, Arçelik Group is the leader of the Turkish consumer durables sector and a key

player in the international arena. BEKO is the international brand of Arçelik Group and is one of

the top ten home appliance brands in the world. The BEKO brand continues its steady growth in

global markets, especially in Western and Eastern Europe. It is the leading oven/cooker, cooling

and freezer brand in the UK and one of the fastest-growing washing machine and dishwasher

brands. BEKO stands to be a consumer focused brand delivering technology and efficient solutions

with functional design. Supporting this approach BEKO has received many international awards

acknowledging both their flare for innovation and energy efficiency. Some of the awards include

the Energy Saving Trust award, Plus X award, iF and RedDot Design awards. What is behind this

spectacular success? First, contrary to many global firms, BEKO puts its human resources at the

center of its strategy. Second, BEKO is very respectful of its customers. In addition, the success

of BEKO relies heavily on innovation and the possibilities for distinguishing BEKO from the

competition. Suppliers want to share BEKO’s philosophy, business rules, and ethics (including a

list of prohibited materials) to collectively and mutually benefit from the BEKO organization.

Suppliers are also expected to comply with a code of conduct that complies with the European

Committee of Domestic Equipment Manufacturer. BEKO and its suppliers mutually sign

“purchasing contracts” to define working conditions.Despite BEKO’s incredible success over the

past two decades, it faces some huge challenges ahead as many markets other than developed

economies in the West are opening up rapidly.

CHAPTER OVERVIEW

This chapter is a continuation of the prior chapter on marketing channels; it provides more detail

on retailing and wholesaling, two very important concepts in the value delivery network.

Retailers can be classified according to several characteristics, including the amount of service

they offer, the breadth and depth of their product lines, the relative prices they charge, and how

they are organized.

The major decisions retailers make are centered on target market and positioning, product

assortment and services, price, promotion strategies, and where they are located.

The wheel of retailing concept says that many new retailing forms begin as low-margin, low-price,

low-status operations. They challenge established retailers, and then the new retailers’ success

leads them to upgrade their facilities and offer more services. In turn, their costs increase, and

eventually they become like the conventional retailers they replaced. The cycle begins again.

Which type of store is much larger than regular supermarkets and offers a large assortment of routinely purchased food products?

Which type of retailer tends to be the most frequently shop?

Are small stores that carry a limited line of high turnover convenience goods?

Which of the following terms best describes a large low cost?