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Trading Markets

Trading Markets

16.03.2021

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Market – a place for retail and small-scale wholesale trade.

In accordance with the Explanatory Dictionary of the Living Great Russian Language, a market is an area in cities and villages intended for trade in food and other supplies in the wild (in the air), a place of congress and gatherings of sellers and buyers on appointed days. Various types of goods are traded in the markets.

Story

Markets appear along with the primary division of labor functions in ancient society (into peasants and artisans) and the emergence of commodity production, the emergence of an excess of handicraft and agricultural products.

Varieties

Markets differ:

  • By trade object
  • Commodity
  • Monetary
  • Currency

By the main categories of consumer goods:

  • Clothes
  • Grocery
  • Meat
  • Fish

By secondary groups of goods:

  • Car markets
  • Flea
  • Bird Market
  • Book
  • Radio Markets
  • Floral

In the old days there were also:

  • Grain
  • Hay (forage)
  • Cattle
  • Slaves

By organization level:

  • Organized
  • Spontaneous (bazaars)

By working time:

  • Daytime
  • Night

Covered space availability:

  • Covered
  • Open air

The main differences from spontaneous trading places

  • The general level of organization and sanitary conditions;
  • Availability of regulatory normative documentation;
  • Legal administration;
  • The presence of legitimate representatives of regulatory services;
  • The presence of representatives or representations of the sanitary and epidemiological services;
  • Availability of written trading rules;
  • The presence of legally defined penalties for violation of trade rules.

In Turkic-speaking countries, the definitions “market” and “bazaar” are officially synonyms at the legislative level due to national traditions and the peculiarities of word-formation according to the literary norm of local state (Turkic) languages.

Modern trading market

The modern trade market is not just an assortment of various farm products, but also an interior and conceptual solution linked into a single marketing strategy. Competitive struggle for the consumer poses new challenges and requires a deeper and more meaningful approach from the developer. A spoiled buyer, especially in large cities of Russia, wants to see a sufficiently high level of service and quality of the offered assortment and only secondarily looks at prices. Thus, the interior solution, the class of equipment used, technological innovations become the main trade drivers. As a rule, modern marketing ideas revolve around the topic of naturalness, the freshness of the offered products, an emphasis on minimizing the time spent on cooking and comfort. All this translates into the need for a food court area, various additional services both in the field of food and in the household sphere. A winning interior design should emphasize the quality and environmental friendliness of the offered goods and provide maximum comfort. Moreover, the latter should include a whole range of issues, ranging from parking for visitors, indoor microclimate, the width of the aisles, also the presence of various recreation areas, and so on, up to shopping carts and baskets in an advanced version. Today the business simply does not work anymore. A demonstration of customer care, sincere attention to detail, and detail are required. This is appreciated with interest, and the buyer comes back again and again. Thus, your tenant starts earning good money, which means that the rent can start to increase.

The modern trading market allows you to receive significant operating income but requires deep study and accurate calculation. This is especially true for the future consumer audience. Everything that was said here above concerns a wealthy consumer and every year it becomes more relevant since not many are able to work in this segment. Thus, having mastered this niche, you avoid active competition, start making good money, and most importantly, you will feel self-respect, since your modern trading market will truly represent something worthwhile.

The infrastructure of the commodity market

The infrastructure of the commodity market is a complex of enterprises, organizations, institutions that ensure the promotion of goods from manufacturer to consumer, as well as regulate commodity transactions and turnover.

The main element of the market infrastructure is the sales and distribution network – a system of interconnected enterprises organizing the purchase of products from manufacturers and their sale to consumers.

These include:

  • Wholesale and small wholesale stores;
  • Retail Stores;
  • Wholesale and retail markets;
  • Trading houses;
  • Trading firms;
  • Commodity exchanges;
  • Thrift stores;

The market infrastructure also includes special forms of trade and promotion of goods: fairs, auctions, tenders, etc.

Wholesale and retail trade is objectively necessary for a market economy since not every manufacturer has the opportunity to sell his goods himself. This is due to the fact that some of the producers do not know their final consumer, some do not have a sales and distribution network and the means to organize it, some firms are not ready to bear too high sales costs and/or are afraid of commercial risks.

Trading enterprises have specially trained personnel, physical capital, information support for the quick sale of products, means for storing them. They can provide the buyer with the desired product, in the required quantity and at the right time.

Fixed assets of trade enterprises include not only trade equipment, but also access roads, storage facilities, transport, handling equipment, etc.

One of the most important objects of commercial relations is a product (service). A commodity is a product of labor capable of satisfying social needs and intended for sale.

A commodity market is an organized form of exchange of goods.

It has a complex structure since it includes various goods, as well as various forms of their implementation. The commodity market can be classified according to the following criteria.

The commodity market, first of all, includes a system of markets for consumer products and goods for industrial and technical purposes.

Consumer goods include:

  • Food products,
  • Essential goods (medicines, cosmetics, clothing, household chemicals),
  • Durable goods (real estate, furniture, cars, household appliances),
  • Services (repair, transport services, communication services).

Products for industrial and technical purposes include items and means of labor: raw materials, materials, equipment, semi-finished products, components, production services (repair and maintenance, innovation and marketing services, etc.). The demand for these products is secondary and is determined by the demand for products that will be produced from resources. Moreover, it is often low-elastic and rather stable.

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