store of value

Examples of store of value in the following topics:

• Functions of Money

  • The main functions of money are as a medium of exchange, a unit of account, and a store of value.
  • Gold was popular as a medium of exchange and store of value because it was inert.
  • To act as a store of value, money must be able to be reliably saved, stored, and retrieved.
  • Some have argued that inflation, by reducing the value of money, diminishes its ability to function as a store of value.
  • Money, such as the U.S. dollar, functions as a medium of exchange, a unit of account, and a store of value.

• Marketing Intermediaries

  • This could include distribution, marketing, sales, retail, e-commerce, web development, branding, packaging, storing, and a variety of other functions.
  • Amazon actually handles quite a bit of intermediary responsibilities (i.e. shipping, storing, and e-commerce for starters).
  • The value Amazon adds is not only limited to the skills of building strong websites, however.
  • Understanding the value chain is central to the concept of intermediaries.
  • Identify the value of various intermediaries, and understand which situations call for collaboration with them

• Store Retailers

  • Store retailers vary in size, in the kinds of services, the assortment of merchandise they carry, and many other respects.
  • Most stores are small and have daily sales of only a few hundred dollars.
  • The depth of the product mix depends on the store.
  • Chain Stores: The 1920s saw the evolution of the chain store movement.
  • Catalog showrooms are the largest type of warehouse retailer, at least in terms of the number of stores operated.

• Typical forms of waste

  • Aichi Toyoda and his colleagues originally identified seven common forms of waste, but over time two more have been added.
  • Today, the nine forms of waste that lean manufacturing seeks to reduce or eliminate are:
  • Moving items: needlessly shifting, storing, stacking or filing materials and information, or needlessly moving people, materials and/or information from one point to another.
  • Unnecessary motion: any activity that does not add value to a product or service.
  • Defects: the unnecessary repairing, scrapping or reworking of material or information.

• Chapter Summary

  • Next, we will introduce a case that demonstrates the value of market research to any firm willing to spend time and resources using it.
  • A Candy Store Company with subsidiaries in New York and other large cities in US was interested in opening a store in Monterrey, Mexico.
  • The plan for the store located in Monterrey was recently completed.
  • Additional to the thematic areas defined in the New York store, this store will have a space for "old candy brands" to attract older consumers.
  • The store will also have a section for local brands.

• Developing Services

  • Although they are delivering a product/service that is similar to competitors, the higher price suggests theirs has greater value.
  • They account for nearly 50% of the average consumer's total expenditures, 70% of the jobs, and two-thirds of the GNP.
  • Warranty: There are several types of durable products, retail stores, and even service products where warranties are expected.
  • Very few major appliance stores, lumber yards, or furniture stores could survive without provisions for this service.
  • Explain how services are a key aspect of the goods industry

• The Accounting Cycle

  • Some examples are: the receipt you get when you purchase something at the store, interest you earned on your savings account which is documented in your monthly bank statement, and the monthly electric utility bill that comes in the mail.
  • This process of transferring the values is known as posting.
  • Notice that the values are not posted to the trial balance, they are merely copied.
  • The accountant produces a number of adjustments which make sure that the values comply with accounting principles.
  • These values are then passed through the accounting system resulting in an adjusted Trial balance.

• Definition

  • Common benefits include price, service, reputation, and image, but may include virtually anything else associated with a product that the buyer values.
  • Example of businesses that have both parallels and substitutes include grocery stores.
  • Parallels include grocery stores with slightly varying themes, warehouse stores, e.g.
  • Sam's club and Costco, and natural food stores.
  • Substitutes include specialty food stores, e.g. bakeries, dairy stores, and butcher shops; restaurants; and take-out shops.

• The Value of Intermediaries

  • When it comes to retailing your items, you don't have the capital to purchase property and open stores.
  • The rest are value-adding intermediaries who limit your risk and allow you to focus on what you do best.
  • Building relationships with various strategic partners along your value chain can be a significant source of competitive advantage and agility in the modern, hugely fast-paced world of business.
  • The Value Chain is a great way to visualize where intermediaries could potentially exist within a given organization.
  • Outline the various benefits of utilizing intermediaries, and understand how to capture value from the process

• Nonstore Retailers

  • Non-store retailing is the selling of goods and services outside the confines of a retail facility.
  • Non-store retailing is the selling of goods and services outside the confines of a retail facility.
  • It is a generic term describing retailing taking place outside of shops and stores (i.e., off the premises of fixed retail locations and of markets stands).
  • Vending machines are another type of non-store retailing.
  • Mail order is a form of non-store retailing that relies on product description to sell merchandise.