Investigation on the Influence of the Recession towards Online Retail Literature review

Investigation on the Influence of the Recession towards Online Retail Shopping - Literature review Example Retailing mainly aims at providing an innovative way of shopping experience for the consumers with due regards to their preferences to a large extent. The basic strategy of retailing intends to deliver the best quality service for a longer period of time. In the current era, the retailing industry plays a significant role as a major contributor to the GDP growth of any economy. It is further noted as one of the fastest growing and most promising industries in the global region (Purohit & Kavita, 2009). It was further stated by Chan (2007) that retailing is considered to be the ultimate connection between the end-users and the production of various goods. With the assumption that the end-consumers are not quite huge in number or population and are immobile as well as uninformed, the firms operating in the retail industry should focus on various attributes. These attributes to be considered by the retailing forms include the geographic regions of the targeted market, the price visibili ty of the consumers, quality assurance, and product portfolio among others. It is in this context that by considering these attributes, a retail firm is likely to gain better understanding of the market trends and consumer behaviour (Frieden & Roche, 2006). Difference between Traditional and Online Retail With due consideration to the development of the retail industry, its structure can be classified in two segments, such as the traditional retail industry and the contemporary retail industry. As stated by Frieden & Roche (2006), traditional retail is highly developed in small areas of towns and cities of various geographical regions which fundamentally concentrate on the physical distribution of commodities with minimum role to play by technology. Traditional retailing stores reduce the cost of shopping as it brings the products within the reach of the customers, mostly in their local residential area. Certain significant aspects such as assurance of the selected products, its pri ce, and promotional features among others are primarily taken into account by the traditional retailers. Traditional retail system also concentrated on direct selling channels which provided with bargaining opportunities to the customers but incurred considerable costs for the distributors (Chan, 2007). It is worth mentioning that in the contemporary retail marketing, various products are offered including the categories such as food and grocery, wet groceries, and apparel among others that increases the growth of modern retailing. It mainly aims at developing different types of strategies and selling the products as well as services by minimizing the cost of the product. This enables the contemporary retail channels to offer the consumers a vast and complete range of products as per their request and at a cheaper rate than that available through traditional stores. The supermarkets also bear same kind of strategies and are analyzed in an effective manner for an efficient developmen t of traditional retailers. Another advantage presented by the retail stores can be regarded as the accessibility of various national brands as well as internationally renowned brand in the particular market segment (Berni & et. al., n.d.). This increases the customer satisfaction to a large extent