TRANDITIONAL VS ONLINE RETAILER
MGMT310-1205B-01
Pamela Kruse
January 13, 2013

Abstract:
As we all know the internet has created many ways for companies to do business online. In this paper I will discuss the differences between traditional and online retailers. I will also discuss what advice I would give a traditional retailer to switch to an online retail organization.

Traditional Retailer is called a building that is of brick and mortar store. This means that the customer will walk or drive to the store to do their shopping. A good location for these stores would be around a shopping center; this is a foot traffic place. The retailer will also advertise to attract more customers in that area as well. A traditional retailer will have to pay rent, heat, light, and of course insurance bills. The retail store will also have to keep merchandise in the stores for the customers to buy; this will need space and storage to where they will not run out of merchandise. The retail store in order to get customers to come and keep coming must have a good store front. That means neat appearance along with good advertisement that will invite the customer to come shop. Online retailer can reach people all over the world, but you will need to set up a good ecommerce site so people find you. This can be done by making sure promoting the website through links like shopping directories, and social network sites. Online retailers have lower overhead costs than traditional retailer. Online retailers will only need a small office place with less employees and have to pay for internet site, and service costs. This retailer will ship to the customers directly from the distributors and requires less inventory, they can do this from an office or from their home as long as their website is professional and has the customer confidence. There are many examples of traditional