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Advantages of Departmental Stores



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Advantages of Departmental Stores 

1.
Wide Choice of Products
: It offers large stock of goods of different 
qualities and make so that the consumes can select goods of their liking 
which are provided by the departments of the stores. 
2.
Convenience in shopping 
: It offers wide choice of goods under one 
roof which enable the customers to purchase all the goods at one place 
instead of going to different shops. This saves time and effort of the 
customers. 
3.
Service to Consumers 
: It offers recreation and other facilities in the 
stores such as rest room, restaurants, telephone facility etc. 
4.
Extensive use of Advertisement 
: Each department of the stores act as 
an advertisement for other departments. It is because the customers pass 
through more than one department and the window display motivate 
them to purchase the goods. 
5.
Specialisation 
: It employs specialists with expert knowledge of buying, 
selling, advertising, pricing etc. as the departmental store is organised as 
a joint stock company with huge amount of capital. 
6.
Economical Buying 
: It purchases goods in bulk quantities and on cash 
payment basis. 
7.
Large Turnover 
: It attracts a large number of customers since it is 
located at a centralised place with wide variety of goods attractive layout 
and availability of quality goods. 
8.
Finance strength 
: It enjoys credit standing and can borrow at 
economical rates. 
 


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Disadvantages of Departmental Stores 

1.
Huge Capital
: It has to mobilise huge capital to maintain a large staff 
and to maintain huge stocks of all varieties of products. 
2.

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