NCERT Textbook: Introduction to Retailing | Extra Documents & Tests for Class 9 PDF Download

 Page 1


The retail industry secures the fifth position as 
an industry and is the second largest employer 
after agriculture, providing bright and exciting job 
opportunities in India. 
Retail business is undergoing rapid transformation 
in its marketing practices. Till a few years ago, we bought 
most of the daily use products from small shops in 
our neighbourhood or a nearby market. Generally, the 
shopkeepers sell goods—either individually as a sole 
proprietor or with the help of a few assistants. In the last 
few years, however, the concept of large departmental 
stores and malls has come up, which also provide the 
same products. 
Today, supermarkets, departmental stores, 
hypermarkets, malls and non-store retailing like 
multilevel marketing and telemarketing, have replaced 
or co-exist, transacting with the traditional retail 
businesspersons, such as hawkers, grocers and 
vendors, etc. There are various levels at which retail 
businesses operate—ranging from small, owner-
operated and independent shops to those in the national 
and international market. 
An increase in income levels and the need for new 
products and services, a rise in standard of living, 
competition in the market and increasing consumption 
patterns of customers have contributed to the demand 
for creation of these type of stores. 
Introduction to 
Retailing
1
Page 2


The retail industry secures the fifth position as 
an industry and is the second largest employer 
after agriculture, providing bright and exciting job 
opportunities in India. 
Retail business is undergoing rapid transformation 
in its marketing practices. Till a few years ago, we bought 
most of the daily use products from small shops in 
our neighbourhood or a nearby market. Generally, the 
shopkeepers sell goods—either individually as a sole 
proprietor or with the help of a few assistants. In the last 
few years, however, the concept of large departmental 
stores and malls has come up, which also provide the 
same products. 
Today, supermarkets, departmental stores, 
hypermarkets, malls and non-store retailing like 
multilevel marketing and telemarketing, have replaced 
or co-exist, transacting with the traditional retail 
businesspersons, such as hawkers, grocers and 
vendors, etc. There are various levels at which retail 
businesses operate—ranging from small, owner-
operated and independent shops to those in the national 
and international market. 
An increase in income levels and the need for new 
products and services, a rise in standard of living, 
competition in the market and increasing consumption 
patterns of customers have contributed to the demand 
for creation of these type of stores. 
Introduction to 
Retailing
1
   
2
This unit will focus on various aspects of retailing. 
The first session covers the basics of retailing, the 
second session deals with organised and unorganised 
retailing, the third explains store retailing and non-
store retailing, and the fourth session discusses the 
duties of a retail cashier and also discusses the Indian 
and global retailer. 
SeSSion 1: BaSicS of Retailing Concept of retail
Retail is a business deal in which the seller sells small 
quantities of goods to the customers as per their needs. 
A retail store is a retail business enterprise which 
primarily deals with sales volume in retailing. 
In easy terms, the function of retailing is to sell 
products to final consumers by an individual or a firm.
Functions of retailer
The retailer provides the products and services that the 
customer needs, in the required quantity, at the right 
place and time. This activity of the retailer creates value 
addition or utility to the customers. Do you know, there 
are four basic functions of the retailer:
 (i) Breaking bulk into smaller quantities  : To reduce 
the cost of long distance transportation, producers 
ship the goods in large quantities; the middlemen, 
including the retailers, open these large packages 
and make the product available in much smaller 
quantities to the consumers, as per the needs.
 (ii) Providing product and service information to 
customers: The retailer or salesperson is an 
important source of information, especially about 
the features and working of the different brands 
available. The salesperson has knowledge about 
the product being sold. 
 (iii) Providing customer services: Retailers provide 
various services to their customers. These may 
include  —free home delivery, gift wrapping, credit 
facility and after-sales services.
n oteS
Page 3


The retail industry secures the fifth position as 
an industry and is the second largest employer 
after agriculture, providing bright and exciting job 
opportunities in India. 
Retail business is undergoing rapid transformation 
in its marketing practices. Till a few years ago, we bought 
most of the daily use products from small shops in 
our neighbourhood or a nearby market. Generally, the 
shopkeepers sell goods—either individually as a sole 
proprietor or with the help of a few assistants. In the last 
few years, however, the concept of large departmental 
stores and malls has come up, which also provide the 
same products. 
Today, supermarkets, departmental stores, 
hypermarkets, malls and non-store retailing like 
multilevel marketing and telemarketing, have replaced 
or co-exist, transacting with the traditional retail 
businesspersons, such as hawkers, grocers and 
vendors, etc. There are various levels at which retail 
businesses operate—ranging from small, owner-
operated and independent shops to those in the national 
and international market. 
An increase in income levels and the need for new 
products and services, a rise in standard of living, 
competition in the market and increasing consumption 
patterns of customers have contributed to the demand 
for creation of these type of stores. 
Introduction to 
Retailing
1
   
2
This unit will focus on various aspects of retailing. 
The first session covers the basics of retailing, the 
second session deals with organised and unorganised 
retailing, the third explains store retailing and non-
store retailing, and the fourth session discusses the 
duties of a retail cashier and also discusses the Indian 
and global retailer. 
SeSSion 1: BaSicS of Retailing Concept of retail
Retail is a business deal in which the seller sells small 
quantities of goods to the customers as per their needs. 
A retail store is a retail business enterprise which 
primarily deals with sales volume in retailing. 
In easy terms, the function of retailing is to sell 
products to final consumers by an individual or a firm.
Functions of retailer
The retailer provides the products and services that the 
customer needs, in the required quantity, at the right 
place and time. This activity of the retailer creates value 
addition or utility to the customers. Do you know, there 
are four basic functions of the retailer:
 (i) Breaking bulk into smaller quantities  : To reduce 
the cost of long distance transportation, producers 
ship the goods in large quantities; the middlemen, 
including the retailers, open these large packages 
and make the product available in much smaller 
quantities to the consumers, as per the needs.
 (ii) Providing product and service information to 
customers: The retailer or salesperson is an 
important source of information, especially about 
the features and working of the different brands 
available. The salesperson has knowledge about 
the product being sold. 
 (iii) Providing customer services: Retailers provide 
various services to their customers. These may 
include  —free home delivery, gift wrapping, credit 
facility and after-sales services.
n oteS
IntroductIon to r etaIlIng 3
 (iv) Creating a convenient, comfortable and pleasant 
shopping experience for consumers: The aim 
of the retailer is to provide products required 
by the consumer, conveniently. This creates 
place utility. Also, the number of customers 
increases when the environment inside the 
retail stores is friendly and pleasant. Playing 
soft music, proper lighting, creating a larger 
space for movement, courteous and well-dressed 
employees, etc., create a positive environment for  
the customers. 
 (v) Providing feedback to producers about customer 
needs: With their first hand interaction with the 
customers, retailers have a good understanding 
of the customers’ needs. This information, in the 
form of feedback can greatly contribute to product 
improvement by producers. 
Essential requirements of retailers
A retailer should:
• establish the shop in a place where customers are 
attracted.
• stock the goods which are needed by the customers.
• competitive in price and quality of goods to be sold.
• financially sound.
• be cautious of over-stocking or under-stocking of 
goods.
• be up-to-date with trends in the market and its 
position.
• ensure window display and counter display to 
promote sales.
• always be accessible to the customers.
Retailer’s services to the customers
• Selling of goods in little quantities as per their need, 
at reasonable prices.
• Meeting the consumer demand and make available 
the required stock.
• Providing the consumer-necessary information for 
buying goods.
• Guiding replacement conditions for the damages.
n oteS
Page 4


The retail industry secures the fifth position as 
an industry and is the second largest employer 
after agriculture, providing bright and exciting job 
opportunities in India. 
Retail business is undergoing rapid transformation 
in its marketing practices. Till a few years ago, we bought 
most of the daily use products from small shops in 
our neighbourhood or a nearby market. Generally, the 
shopkeepers sell goods—either individually as a sole 
proprietor or with the help of a few assistants. In the last 
few years, however, the concept of large departmental 
stores and malls has come up, which also provide the 
same products. 
Today, supermarkets, departmental stores, 
hypermarkets, malls and non-store retailing like 
multilevel marketing and telemarketing, have replaced 
or co-exist, transacting with the traditional retail 
businesspersons, such as hawkers, grocers and 
vendors, etc. There are various levels at which retail 
businesses operate—ranging from small, owner-
operated and independent shops to those in the national 
and international market. 
An increase in income levels and the need for new 
products and services, a rise in standard of living, 
competition in the market and increasing consumption 
patterns of customers have contributed to the demand 
for creation of these type of stores. 
Introduction to 
Retailing
1
   
2
This unit will focus on various aspects of retailing. 
The first session covers the basics of retailing, the 
second session deals with organised and unorganised 
retailing, the third explains store retailing and non-
store retailing, and the fourth session discusses the 
duties of a retail cashier and also discusses the Indian 
and global retailer. 
SeSSion 1: BaSicS of Retailing Concept of retail
Retail is a business deal in which the seller sells small 
quantities of goods to the customers as per their needs. 
A retail store is a retail business enterprise which 
primarily deals with sales volume in retailing. 
In easy terms, the function of retailing is to sell 
products to final consumers by an individual or a firm.
Functions of retailer
The retailer provides the products and services that the 
customer needs, in the required quantity, at the right 
place and time. This activity of the retailer creates value 
addition or utility to the customers. Do you know, there 
are four basic functions of the retailer:
 (i) Breaking bulk into smaller quantities  : To reduce 
the cost of long distance transportation, producers 
ship the goods in large quantities; the middlemen, 
including the retailers, open these large packages 
and make the product available in much smaller 
quantities to the consumers, as per the needs.
 (ii) Providing product and service information to 
customers: The retailer or salesperson is an 
important source of information, especially about 
the features and working of the different brands 
available. The salesperson has knowledge about 
the product being sold. 
 (iii) Providing customer services: Retailers provide 
various services to their customers. These may 
include  —free home delivery, gift wrapping, credit 
facility and after-sales services.
n oteS
IntroductIon to r etaIlIng 3
 (iv) Creating a convenient, comfortable and pleasant 
shopping experience for consumers: The aim 
of the retailer is to provide products required 
by the consumer, conveniently. This creates 
place utility. Also, the number of customers 
increases when the environment inside the 
retail stores is friendly and pleasant. Playing 
soft music, proper lighting, creating a larger 
space for movement, courteous and well-dressed 
employees, etc., create a positive environment for  
the customers. 
 (v) Providing feedback to producers about customer 
needs: With their first hand interaction with the 
customers, retailers have a good understanding 
of the customers’ needs. This information, in the 
form of feedback can greatly contribute to product 
improvement by producers. 
Essential requirements of retailers
A retailer should:
• establish the shop in a place where customers are 
attracted.
• stock the goods which are needed by the customers.
• competitive in price and quality of goods to be sold.
• financially sound.
• be cautious of over-stocking or under-stocking of 
goods.
• be up-to-date with trends in the market and its 
position.
• ensure window display and counter display to 
promote sales.
• always be accessible to the customers.
Retailer’s services to the customers
• Selling of goods in little quantities as per their need, 
at reasonable prices.
• Meeting the consumer demand and make available 
the required stock.
• Providing the consumer-necessary information for 
buying goods.
• Guiding replacement conditions for the damages.
n oteS
   
4
• Displaying and demonstrating goods to attract the 
customers.
• Offering credit facility to the regular and reliable 
customers.
At this point, it is necessary to understand the term 
wholesaler. A wholesaler is an important intermediary 
in distribution channels. Wholesale means selling of 
goods for business use or for resale purpose. In other 
words, wholesalers resell goods to retailers, not to the 
consumers. Normally, wholesalers sell large quantities. 
The wholesaler acts as a link between the manufacturer 
or the producer, and the retailer.
Activity 1
Visit a retail store for studying various sections and basic 
functions of a retailer.
Materials Required
Notebook, pen or pencil and check list
Procedure
1. Prepare a check list for the points of observation or study, 
and give it to the students.
2. Divide the student into groups as per the class strength.
3. Reach the store as per schedule.
4. Interact with the shopkeeper or the executive. Greet 
him/her and enquire:
(a) Type of products and services offered for sale;
(b) Who are their potential customers?
(c) Departments or sections in the retail outlet; and
(d) Degree of customer satisfaction.
5. Meet one or two customers present in the shop. Greet 
them and enquire about:
(a) The basic functions that a retailer performs.
(b) Their level of satisfaction.
(c) Suggestions they would like to offer for improving the 
quality of buying and selling.
6. Note all the observations, discuss with friends and finalise 
the report.
7. Confirm with the executive.
8. Prepare report and submit to the subject teacher.
n oteS
Page 5


The retail industry secures the fifth position as 
an industry and is the second largest employer 
after agriculture, providing bright and exciting job 
opportunities in India. 
Retail business is undergoing rapid transformation 
in its marketing practices. Till a few years ago, we bought 
most of the daily use products from small shops in 
our neighbourhood or a nearby market. Generally, the 
shopkeepers sell goods—either individually as a sole 
proprietor or with the help of a few assistants. In the last 
few years, however, the concept of large departmental 
stores and malls has come up, which also provide the 
same products. 
Today, supermarkets, departmental stores, 
hypermarkets, malls and non-store retailing like 
multilevel marketing and telemarketing, have replaced 
or co-exist, transacting with the traditional retail 
businesspersons, such as hawkers, grocers and 
vendors, etc. There are various levels at which retail 
businesses operate—ranging from small, owner-
operated and independent shops to those in the national 
and international market. 
An increase in income levels and the need for new 
products and services, a rise in standard of living, 
competition in the market and increasing consumption 
patterns of customers have contributed to the demand 
for creation of these type of stores. 
Introduction to 
Retailing
1
   
2
This unit will focus on various aspects of retailing. 
The first session covers the basics of retailing, the 
second session deals with organised and unorganised 
retailing, the third explains store retailing and non-
store retailing, and the fourth session discusses the 
duties of a retail cashier and also discusses the Indian 
and global retailer. 
SeSSion 1: BaSicS of Retailing Concept of retail
Retail is a business deal in which the seller sells small 
quantities of goods to the customers as per their needs. 
A retail store is a retail business enterprise which 
primarily deals with sales volume in retailing. 
In easy terms, the function of retailing is to sell 
products to final consumers by an individual or a firm.
Functions of retailer
The retailer provides the products and services that the 
customer needs, in the required quantity, at the right 
place and time. This activity of the retailer creates value 
addition or utility to the customers. Do you know, there 
are four basic functions of the retailer:
 (i) Breaking bulk into smaller quantities  : To reduce 
the cost of long distance transportation, producers 
ship the goods in large quantities; the middlemen, 
including the retailers, open these large packages 
and make the product available in much smaller 
quantities to the consumers, as per the needs.
 (ii) Providing product and service information to 
customers: The retailer or salesperson is an 
important source of information, especially about 
the features and working of the different brands 
available. The salesperson has knowledge about 
the product being sold. 
 (iii) Providing customer services: Retailers provide 
various services to their customers. These may 
include  —free home delivery, gift wrapping, credit 
facility and after-sales services.
n oteS
IntroductIon to r etaIlIng 3
 (iv) Creating a convenient, comfortable and pleasant 
shopping experience for consumers: The aim 
of the retailer is to provide products required 
by the consumer, conveniently. This creates 
place utility. Also, the number of customers 
increases when the environment inside the 
retail stores is friendly and pleasant. Playing 
soft music, proper lighting, creating a larger 
space for movement, courteous and well-dressed 
employees, etc., create a positive environment for  
the customers. 
 (v) Providing feedback to producers about customer 
needs: With their first hand interaction with the 
customers, retailers have a good understanding 
of the customers’ needs. This information, in the 
form of feedback can greatly contribute to product 
improvement by producers. 
Essential requirements of retailers
A retailer should:
• establish the shop in a place where customers are 
attracted.
• stock the goods which are needed by the customers.
• competitive in price and quality of goods to be sold.
• financially sound.
• be cautious of over-stocking or under-stocking of 
goods.
• be up-to-date with trends in the market and its 
position.
• ensure window display and counter display to 
promote sales.
• always be accessible to the customers.
Retailer’s services to the customers
• Selling of goods in little quantities as per their need, 
at reasonable prices.
• Meeting the consumer demand and make available 
the required stock.
• Providing the consumer-necessary information for 
buying goods.
• Guiding replacement conditions for the damages.
n oteS
   
4
• Displaying and demonstrating goods to attract the 
customers.
• Offering credit facility to the regular and reliable 
customers.
At this point, it is necessary to understand the term 
wholesaler. A wholesaler is an important intermediary 
in distribution channels. Wholesale means selling of 
goods for business use or for resale purpose. In other 
words, wholesalers resell goods to retailers, not to the 
consumers. Normally, wholesalers sell large quantities. 
The wholesaler acts as a link between the manufacturer 
or the producer, and the retailer.
Activity 1
Visit a retail store for studying various sections and basic 
functions of a retailer.
Materials Required
Notebook, pen or pencil and check list
Procedure
1. Prepare a check list for the points of observation or study, 
and give it to the students.
2. Divide the student into groups as per the class strength.
3. Reach the store as per schedule.
4. Interact with the shopkeeper or the executive. Greet 
him/her and enquire:
(a) Type of products and services offered for sale;
(b) Who are their potential customers?
(c) Departments or sections in the retail outlet; and
(d) Degree of customer satisfaction.
5. Meet one or two customers present in the shop. Greet 
them and enquire about:
(a) The basic functions that a retailer performs.
(b) Their level of satisfaction.
(c) Suggestions they would like to offer for improving the 
quality of buying and selling.
6. Note all the observations, discuss with friends and finalise 
the report.
7. Confirm with the executive.
8. Prepare report and submit to the subject teacher.
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IntroductIon to r etaIlIng 5
Check your Progress
A. Fill in the Blanks
1. The function of retailing is to sell products and services to 
the final __________________ by an individual or a firm.
2. The _____________________ has to be well informed about the 
product being sold.
3. The main aim of the retailer is to provide products 
required by the consumer conveniently, this creates place 
_______________________.
4. This information in the form of ________________ greatly 
contributes to product improvement by the producers.
5. Selling of goods to consumers in small quantities as per their 
need at ________________________ prices.
6. Wholesalers act as a link between _________________ and the 
retailer. 
B. Multiple Choice Questions 
1. The purpose of retail business is to__________________
(a) go for partnership        
(b) make maximum promotion  
(c) extend to other localities
(d) selling goods to customer  
2. A retail store deals primarily with sales ____________________ 
in retailing.
(a) volume
(b) location  
(c) places
(d) value  
3. The term ‘wholesale’ means the selling of goods for business 
use or for ________________ purpose.
(a) sale 
(b) resale 
(c) post sale 
(d) None of the above 
C. State whether the following are True or False
1. The term ‘retailing’ refers to a business deal in which the 
seller sells in large quantities as per the need of the customer.
2. This activity of the retailer does not create value addition or 
utility for customers. 
3. Wholesalers resell merchandise to retailers and not to the 
consumers.
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Unit 1.indd   5