This topic contains a solution. Click here to go to the answer

Author Question: When a retailer's actual results fall short of planned results, North America's retailing philosophy ... (Read 53 times)

crazycityslicker

  • Hero Member
  • *****
  • Posts: 537
When a retailer's actual results fall short of planned results, North America's retailing philosophy is to place blame on:
 a. external factors.
  b. management/employees.
  c. the economy.
  d. merchandisers.
  e. decline in target markets.

Question 2

Explain the difference between disposable and discretionary income. Which is more important to retailers?



Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by a Subject Expert

Andromeda18

  • Sr. Member
  • ****
  • Posts: 336
Answer to Question 1

B

Answer to Question 2

Economists tend to view income from two different perspectives: disposable and discretionary. Disposable income is simply all personal income minus personal taxes. For most consumers, disposable income is their take-home pay. Discretionary income is disposable income minus the money needed for necessities to sustain life, such as minimal housing, minimal food, and minimal clothing. Retailers who sell necessities, such as supermarkets, like to see incomes rise and taxes decrease. These retailers know that while consumers will not spend all their increased disposable income on the retailer's merchandise, they will nevertheless increase spending. Retailers who sell luxury goods want to see discretionary income increase. However, the recent economic slowdown has had a negative effect on both types of incomes as the value of the houses and stock market portfolios declined during this slowdown.




crazycityslicker

  • Member
  • Posts: 537
Reply 2 on: Jun 29, 2018
YES! Correct, THANKS for helping me on my review


FergA

  • Member
  • Posts: 352
Reply 3 on: Yesterday
Wow, this really help

 

Did you know?

The first war in which wide-scale use of anesthetics occurred was the Civil War, and 80% of all wounds were in the extremities.

Did you know?

Each year in the United States, there are approximately six million pregnancies. This means that at any one time, about 4% of women in the United States are pregnant.

Did you know?

Since 1988, the CDC has reported a 99% reduction in bacterial meningitis caused by Haemophilus influenzae, due to the introduction of the vaccine against it.

Did you know?

Normal urine is sterile. It contains fluids, salts, and waste products. It is free of bacteria, viruses, and fungi.

Did you know?

A good example of polar molecules can be understood when trying to make a cake. If water and oil are required, they will not mix together. If you put them into a measuring cup, the oil will rise to the top while the water remains on the bottom.

For a complete list of videos, visit our video library