(a) Describe any four features of a multiple shop. (b) Give any four reasons why...
(a) Describe any four features of a multiple shop.
(b) Give any four reasons why small scale retailing is common in Nigeria.
Explanation
(a) Features of a Multiple shop are:
(i) A multiple shop specialises in single commodity lines.
(ii) It has a central administration and control.
(iii) The numerous branches of a multiple shop system are usually spread over the country.
(iv) The numerous branches are owned by one single firm.
(v) The goods sold in all the branches are bought by the head office and sent to the branches.
(b) Small scale retailing is common in Nigeria for the following reasons:
(i) Lack of true entrepreneurship prevents many people from establishing large retail business units.
(ii) There is absence of developed market in West Africa.
(iii) Inadequate and inefficient means of transport and communication in West Africa do not create room for large retail trade but small ones.
(iv) Lack of sufficient capital on the part of businessmen that should be used in establishing large retail organisations.
(v) Small scale retailing requires small capital which many people can easily provide.
(vi) Low per capita income hence, majority can only afford to buy goods in units.