The focus of this analysis will be on the retail industry, where the goods and services are sold from individuals to the end user. In general these goods and services are initially purchased from the manufacturer and then sold to consumers at some profit. This sector has a very significant effect on the Canadian economy; it is noteworthy that the retail trade was up by 0.6% in July, 2013 after a decline of 1.4% in June 2013. This reflected an increase of gains at the merchandise or department stores including grocery stores, and clothing stores. It is a challenging industry with relatively low profit margins and very competitive pricing due to a mature industry life cycle and globalization. Another interesting aspect of the retail industry …show more content…
This is an increase from the realized growth of 1.7% in 2013. The Conference Board of Canada feels that this trend will continue into 2015. A strong economy results in there being more work and more money available for the labour force. During the downturn of the economy in 2009 to 2011 the American and Canadian government propped up the lagging economies with fiscal stimulus. This stimulus spending has created deficits for both countries that will inevitably need to be repaid. The only way this debt can be repaid without cutting current spending would be an increase in economic output which in turn increases the revenue collected by a government through things such as income taxes and payroll …show more content…
not available for a specific reference period 1.The relative importance is based on the weight that each three-digit code of the North American Industry Classification System (NAICS) contributes to the overall Retail Services Price Index. The total does not equal 100 as automobile dealers (NAICS 4411), other motor vehicle dealers (NAICS 4412) and non-store retailers (NAICS 454) were not surveyed. 2. Automobile dealers (NAICS 4411) and other motor vehicle dealers (NAICS 4412) were not surveyed and, therefore, data are not available at this time. Date modified: 2014-09-04
The preceding image obtained from Moody’s Analytics shows that Canada is currently in an expansion business cycle. The GDP for Canada has also increased from 1.2% to 3.1% between the first and second quarter of 2014. This growth in the value of the finished goods and services produced within Canada is now the highest it has been in two years. Also, the Consumer Price Index (CPI) remains steady at 2.1% and new motor vehicle sales have increased from 2.9% to 11.6% between June and July 2014. Most importantly Moody’s Survey of Manufacturing indicates a 1.9% increase over the same period. These figures indicate that the Canadian economy, while not robust, is stable and
Levy, Michael, Barton A. Weitz, and Dhruv Grewal. Retailing Management. ed. New York, NY: McGraw-Hill Education, 2014. Print.
This constant income has proven to support our economy by more than just improving life quality. Canada’s three main exports also allow Canada to keep a more balanced budget. With an extensive amount of money being put into importing goods from other countries, exporting gives Canada a fighting chance against the terrible trag...
there is no doubt that the growth of Canada and the consolidation of the gains
In many ways, the automotive industry has huge impacts on Canada. The impact it has creates jobs, and services. It also boosts economy and contributes to its success. Over the last two decades, the automotive industry has been a leading contributor to Canada’s economy and is a primary factor as to whether or not the economy will be successful. There are many contributing branches of the sector that allow it to be successful. This is shown through the production and manufacturing of vehicles, as well as the sale of the vehicles. The automotive industry has had a significant impact on Canada’s economy over the last 10 years. If the production and sale of domestic vehicles were to decline, Canada’s economy to be severely crippled and fall back into a recession.
...nguage, and religion all make up Canada’s human face, but also front how the cultural accommodation will continue with the risk of losing Canada’s main traditions. Faultlines again come into perspective within demographic issues, especially with newcomers/old-timers, aboriginal population expansions, and French/English language. The core/periphery model is also represented. The end of the chapter places a focus on Canada’s economic face as well, dealing with stresses inside the global economy as well as its strong dependency on the U.S markets (Bone, 169) especially with the stimulating global recession. Canada’s economic structure leans on the relative share of activity in the primary (natural resource extraction), secondary (raw material assembly), tertiary (sale/exchange of goods and services), and quaternary (decision-making) sectors of the economy (Bone, 166).
example, it now costs "20% to 25% less to assemble a car in Canada then in the
Industry Overview Some 400,000 specialty retail stores operate in the US with combined annual sales of $350 billion. CAGR 2002-06: 5%. Market is dominated by large players like Best Buy, Toys “R” Us, Gap, Sports Authority, etc. The market size of some major product categories.
People outside of Canada are baffled at how Canada ended up in such a state of affairs. Canada as a country has a lot going for it. A high GNP, and high per capita income in international terms. It is ranked at the top of the...
...ed the lifestyle of Canadians. Their effect on Canadians contributed to the making of our consumer capitalist society. While department stores introduced several innovative ideas to the business world, their negative impact significantly contributes to our materialistic lifestyle. Donica Belisle’s “Retail Nation: Department Stores and the Making of Modern Canada” clearly define these aspects and describe the mass retailers relationship between the public, its stakeholders and Canada’s national identity. The author’s well researched information and various perspectives of a situation support her arguments effectively. In conclusion, Donica Belisle’s book excels in its presentation as it is well written and well organised. She successfully communicates her main points and eliminates bias by presenting both sides of a story, making this a good book for others to read.
Canada and other consumer driven economies depend on weaker developing economies who strongly rely on production to drive their economies. The problem here is that the poorer developing countries found themselves dependent on foreign demand from more wealthy consumption-driven countries. The developing countries are too impoverished to even consume the goods they arduously produce. The only way they can stay afloat in the global system is by catering solely to foreigners in distant lands, instead of having the ability to take steps in becoming a more diverse and sustainable
The shortage of skilled workers in the coming decade poses a serious threat to all aspects of the Canadian economy. Like all others, our economy is comprised of three major elements: primary products, secondary goods and services. My research indicates that primary products constitute just over 7% of Canada's GDP, secondary goods account for 21%, and the services comprise 72%. This distribution although heavily in favor of the service industry still shows the importance of the secondary/manufacturing industry in Canada's modern day economy. Taking into fact that since the late nineteenth century, Canada's centre of manufacturing is focused in two provinces, Ontario and Quebec. Consistently, year after year, Ontario contributes about 50% of the Canadian total of manufactured goods produced, measured by value, and Quebec 25%.
Indian retail industry is one of the fastest growing retail industries in the world, comprising both of organized and unorganized sectors, especially over the last few years.
On the other hand, the retail industry is central to the UK’s economy: it employs in the region of 2.9 million people – 11% of the total UK workforce – and in 2010 UK retail sales stood at over £293 billion. Yet it is clearly facing severe challenges at the moment. (Barry Knight). The high street retail market has been experiencing a downfall over the last couple of years. The most important factor is the rate of inflation, particularly in relation to commodity prices. The rising Value Added Tax (VAT) and National Insurance have drastically affected the consumer spending. This decreases the disposable income of the consumers with retailers suffering as a result. As stated by Knight that the latest figures from the British Retail Consortium, UK retail sales values for May 2011 were 2.1% down on a like-for-like basis compared with the same month a year earlier. Furthermore, it looks unlikely that conditions will ameliorate quickly as the perpetuating low interest rates and relative support from the banking sector are still maskin...
“The Net-Profit margin narrows the focus on profitability and highlights not just the company’s sales efforts, but also its ability to keep operating costs down, relative to sales”. (Carlberg, 2007) The Net Profit Margin shows how well these major retail businesses can control...
Retail comes from the French word retailer, which refers to "cutting off, clip and divide" in terms of tailoring (1365). It first was recorded as a noun with the meaning of a "sale in small quantities" in 1433 (French). Its literal meaning for retail was to "cut off, shred, paring”. Retail is the final stage of any economic activity. By virtue of this fact, retail occupies an important place in the world economy. According to Philip Kotler, Retailing includes all the activities involved in selling goods or services to the final consumers for personal, non-business use. A retailer or retail store is any business enterprise whose sale volume comes primarily from retailing. These are the final business entities in a distribution channel that