I. Answer the following questions.

1. How are middlemen involved in trade? 2. What are the types of middlemen and what is the difference between them? 3. How do wholesalers and retailers make a profit? 4. What is the source of profit for brokers?

II. Translate the following sentences into English.

1. Торговые посредники занимаются покупкой и продажей товара, являясь промежуточным звеном между производителя­ми и потребителями. 2. Оптовики покупают у производителей товар по одной цене, а продают по другой, более высокой цене. 3. Брокеры в отличие от оптовиков и розничных торговцев не являются владельцами товара, которым они торгуют. 4. Брокеры действуют как посредники, устраивая сделки для своих клиентов, за что получают комиссионные. 5. Оптовые торговцы, занимающиеся импортом и экспортом, надеются получить прибыль, но могут и понести убытки. 6. Крупные розничные торговцы покупают товар оптом у производителей. 7. Мелкие розничные торговцы покупают у оптовиков, а затем разбивают товар на более мелкие партии.

UNIT 15

Wholesaling and retailing

Wholesalers are the institutions which stand between the manufacturer and the retailer. Wholesaling provides channels of distribution which help to bring goods to the market. Wholesalers act as middlemen between manufacturer and retailers. They buy goods in bulk from the manufacturer at a low price and sell them in small quantities to retailers. Wholesaling simplifies the process of distribution. As wholesaler handles a large assortment of goods from many manufactures, he reduces the problem of both manufacturers and retailers.

Wholesalers are used for information and advice. Suggestions which customers make to the retailer are passed to the wholesaler who conveys them to the manufacturer. Thus, the producer can improve his product.

The wholesaler keeps stock. Shoppers like to obtain goods immediately. This requires stock. Neither the producer, nor the retailer has extensive storage facilities and responsibility falls on the wholesaler. More over, the wholesaler arranges imports from abroad. Foreign manufacturers can rarely ship parcels to individual retailers abroad. They prefer to deal with a wholesaler, an import merchant with established trade connections.

Retailing is selling goods and services to the ultimate consumer. There are several types of retail institutions: specialty stores, supermarkets, general merchandise and non-store retailing.

Specialty stores sell one type of product, such as clothing, jewelry, furniture, books. These stores compete against giant department stores. They can adjust more quickly to market conditions.

Big supermarkets are usually well located. All the goods are arranged on trays and shelves. All the prices are clearly marked. The goods are ready-weighed and beautifully packed. There you can find everything you need.

General merchandise stores (GMS) carry a wide variety of products. There are three types of GMS: department stores, discount stores, hypermarkets.

Big department stores started in America more than 50 years ago and then the idea was brought to European countries. Department stores sell a wide range of goods. They are usually found in city centers and often charge high prices. These stores are wonderful places. People can do all their shopping under one roof. All the things for sale are displayed so that they can be easily seen and the customers walk around and choose what they want.

Discount storesspecialize in a narrow range of items. Low price is the major attraction of the discount stores. These stores are found outside city centers but near main roads so that customers can easily get to them. A lot of money is spent on advertising and detailed price lists are often shown in newspaper advertisements. Discount stores sell the most popular items, colors and sizes. The stores keep long hours and usually open on Sundays.

Hypermarket is a type of discount store that was developed in Germany. They are very large stores with low-price and high-turnover products. Hypermarkets are found on the edges of towns but near main roads in order to attract customers from a wide area. They are self-service, selling a very wide range of goods including groceries, clothing, gardening equipment and televisions. Hypermarkets achieve cost savings by simplifying their unpacking and display.

There are some major types of non-store retailing: vending machines, door-to-door sales and catalogue sales.

Vocabulary

wholesaling – оптовая торговля

to stand between – быть посредником между

to buy goods in bulk – покупать товар оптом

to simplify – упрощать, делать более простым, легким

to convey – перевозить, переправлять

stock – ассортимент товаров

storage facilities – склады, возможности для хранения

retailing – розничная торговля

ultimate consumer – конечный потребитель

specialty store – магазин, специализирующийся на продаже одного вида товара

general merchandise stores – магазины смешанных товаров

discount store – магазин, продающий товары со скидкой

non-store retailing – внемагазинная торговля

department store – универмаг

to adjust – приспосабливаться, привыкать

high-turnover product (item) – ходовой товар

cost saving – снижение себестоимости

vending machine – торговый автомат

door-to-door sales – торговля, продажа вразнос

catalogue sale – розничная продажа товаров по каталогу

I.Give Russian equivalents to the following word combinations:

wholesaling; channels of distribution; to bring goods to the market; to act as middlemen; to simplify the process of distribution; to handle a large assortment of goods; to convey; storage facilities; retailing; specialty store; discount store; department store; to adjust to market conditions; door-to-door sales.

II. Give English equivalents to the following word combinations:

быть посредником между производителем и розничным торговцем; покупать товар оптом; ассортимент товаров; конечный потребитель; магазины смешанных товаров; внемагазинная торговля; ходовой товар; снижение себестоимости; торговый автомат; розничная продажа товаров по каталогу.