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SS1: COMMERCE - 1ST TERM

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  1. Introduction to Commerce | Week 1
    3 Topics
    |
    1 Quiz
  2. E-Commerce | Week 2
    1 Topic
    |
    1 Quiz
  3. History of Commerce | Week 3
    3 Topics
    |
    1 Quiz
  4. Occupation I | Week 4
    1 Topic
  5. Occupation II | Week 5
    3 Topics
    |
    1 Quiz
  6. Production, Division of Labour, Specialization & Exchange I | Week 6
    3 Topics
  7. Production, Division of Labour, Specialization & Exchange II | Week 7
    2 Topics
    |
    1 Quiz
  8. Home Trade | Week 8
    6 Topics
  9. Small Scale Retailing | Week 9
    6 Topics
  10. Large Scale Retailing | Week 10
    9 Topics
    |
    1 Quiz



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Definition of Tied Shops:

Tied Shops are shops or houses owned and managed by manufacturers. These retail outlets are where the manufacturers/producers sell their products. Tied shops are confined to a single line of a commodity which is directly supplied by the manufacturers.

Advantages of Tied Shops:

1. Personal Contact: Customers come in direct contact with the manufacturers who are able to give them useful advice on the product.

2. High-Profit Margin: The trade and cash discounts that would have been given to wholesalers are retained thereby enabling them to make a high profit.

3. Adequate Monitoring of Sales: They ensure an adequate supply of goods and monitor the sales too.

4. After-sales Services: They educate their customers and offer after-sales services to their customers.

5. Goods Produced according to Customer’s Specification: Customers can approach the manufacturers to directly ask for a particular product and it will be done according to request.

Disadvantages of Tied Shops:

1. Hoarding of Goods: If there are no competitors, the tendency for them to hoard goods is high.

2. Limited Range of Goods: The customers may not have the choice of goods required due to a limited range of goods available.

3. Increased Selling Costs: The use of delivery vans attract high selling costs for the goods to customers.

4. Capital Tied Down: Capital is tied down in stock due to only one distributive channel i.e. from the manufacturer to the final consumers.

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