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Applied SENIOR
H IGH

Economics SCHOOL

Self-Learning
Module

Retail Trade Industry 5

Quarter 4
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Applied Economics
Quarter 4 – Self-Learning Module 5: Retail Trade Industry
First Edition, 2020

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Borrowed materials (i.e., songs, stories, poems, pictures, photos, brand names,
trademarks, etc.) included in this module are owned by their respective copyright
holders. Every effort has been exerted to locate and seek permission to use these
materials from their respective copyright owners. The publisher and authors do
not represent nor claim ownership over them.

Published by the Department of Education - Schools Division of Pasig City

Development Team of the Self-Learning Module

Writer: Emmanuel B. Penetrante

Editor: Edna D. Camarao, PhD
Reviewers:
Content/Language: Edna D. Camarao, PhD, Dennis T. Alex
Technical: Emmanuel B. Penetrante Illustrator:
Name
Layout Artist: Name
Management Team: Ma. Evalou Concepcion A. Agustin
OIC-Schools Division Superintendent
Aurelio G. Alfonso EdD
OIC-Assistant Schools Division Superintendent
Victor M. Javeña EdD
Chief, School Governance and Operations Division and
OIC-Chief, Curriculum Implementation Division

Education Program Supervisors

Librada L. Agon EdD (EPP/TLE/TVL/TVE)
Liza A. Alvarez (Science/STEM/SSP)
Bernard R. Balitao (AP/HUMSS)
Joselito E. Calios (English/SPFL/GAS)
Norlyn D. Conde EdD (MAPEH/SPA/SPS/HOPE/A&D/Sports)
Wilma Q. Del Rosario (LRMS/ADM)
Ma. Teresita E. Herrera EdD (Filipino/GAS/Piling Larang)
Perlita M. Ignacio PhD (EsP)
Dulce O. Santos PhD (Kindergarten/MTB-MLE)
Teresita P. Tagulao EdD (Mathematics/ABM)
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Printed in the Philippines by Department of Education – Schools

Division of Pasig City
SENIOR

Applied
HIGH
SCHOOL

Self- Learning
Module

5
Quarter 4

Retail Trade Industry

Economics
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Introductory Message

For the facilitator:

Welcome to the Senior High School – Applied Economics Self Learning

Module on Retail Trade Industry!

This Self-Learning Module was collaboratively designed, developed and

reviewed by educators from the Schools Division Office of Pasig City headed by its
Officer-in-Charge Schools Division Superintendent, Ma. Evalou Concepcion A.
Agustin, in partnership with the City Government of Pasig through its mayor,
Honorable Victor Ma. Regis N. Sotto. The writers utilized the standards set by the
K to 12 Curriculum using the Most Essential Learning Competencies (MELC) in
developing this instructional resource.

This learning material hopes to engage the learners in guided and

independent learning activities at their own pace and time. Further, this also aims
to help learners acquire the needed 21st century skills especially the 5 Cs,
namely: Communication, Collaboration, Creativity, Critical Thinking, and
Character while taking into consideration their needs and circumstances.

In addition to the material in the main text, you will also see this box in the
body of the module:

Notes to the Teacher

This containshelpful tips or strategies
that
will help you in guiding the learners.
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As a facilitator you are expected to orient the learners on how to use this
module. You also need to keep track of the learners' progress while allowing them
to manage their own learning. Moreover, you are expected to encourage and
assist the learners as they do the tasks included in the module.

For the learner:

Welcome to the Applied Economics Self Learning Module on Retail Trade

Industry!

This module was designed to provide you with fun and meaningful
opportunities for guided and independent learning at your own pace and time.
You will be enabled to process the contents of the learning material while being
an active learner.

This module has the following parts and corresponding icons:

Expectations - This points to the set of knowledge and

skills that you will learn after completing the module.
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Pretest - This measures your prior knowledge about the lesson at hand.

Recap - This part of the module provides a review of concepts and skills
that you already know about a previous lesson.

Lesson - This section discusses the topic in the module.

Activities - This is a set of activities that you need to perform.

Wrap-Up - This section summarizes the concepts and application of the

lesson.

Valuing - This part integrates a desirable moral value in the lesson.

Posttest - This measures how much you have learned from the entire
module.
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EXPECTATIONS
After going through this module, you are expected to:
1. define retail trade;
2. understand the importance of the retail industry on the economy; and 3.
apply business principles, tools, and techniques in the retail trade
business.

PRETEST

Directions: Choose the letter of the best answer and write it on a separate sheet
of paper.

1. It is a business activity associated with the sale of goods to the ultimate

customer.
A. Merchandise
B. Manufacturing
C. Retail Trade
D. Service Trade
2. It is the promotion of goods and services that are available for retail
sale.
A. Merchandising
B. Manufacturing
C. Servicing
D. Trading
3. Below are the examples of retail trade business, EXCEPT.
A. Online Store
B. Sari-Sari Store
C. Motorcycle Trade
D. None of the above
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4. These are business firms

engaged in offering goods and services directly to consumers.
A. Service business
B. Retail business
C. Manufacturing business
D. None of the above

5. How many retail businesses were established and registered in 2017?

A. 101,136
B. 115,998
C. 123,487
D. None of the above

RECAP
Directions: Define the following terms.

1. Manufacturing -
______________________________________________________________________________.

2. Economies of Scale -
______________________________________________________________________________.
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LESSON

Merchandising Business

Merchandising is the promotion of goods and services that are available

for retail sale. Merchandising includes the determination of quantities, setting
prices for goods and services, creating display designs, developing marketing
strategies, and establishing discounts or coupons. Merchandising is part of the
retail trade industry.

Retail Trade Industry

Retail trade is the business activity associated with the sale of goods to
the ultimate customer. It links the manufacturers and the customers of the
product. Typically retailers sell goods in small quantities to consumers for
personal use, not for resale or business use.

Typical Types of Retail Trade Business

Retail enterprises can be either independently owned and operated or part

of a "chain," a group of two or more stores whose activities are determined and
coordinated by a single management group. Stores that are part of a chain may
all be owned by a single company, but in other cases, the individual stores may
be franchises that are independently owned by a small business person.

Many different types of retail establishments exist, as noted above, the

overall industry has seen no barriers that had long separated the wide range of
companies operating under the retail umbrella. Nonetheless, retailing
establishments still generally fall into one of the following general categories:

1. Specialty Stores - These establishments typically concentrate on selling

a single type or very limited range of merchandise. Clothing stores, musical
instrument stores, sewing shops, and party supply stores all fall within this
category.

2. Department Stores - These establishments are comprised of a series of

departments, each of which specializes in selling a particular grouping of
products. Under this compartmentalized arrangement, consumers go to one area
of the store to purchase tableware and another area to acquire bedding, for
example.
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3. Supermarkets - These retail establishments, which are primarily involved
in providing food to
consumers but have
increasingly ventured into other product areas in recent years, account for the
vast majority of total food-store sales in America.

4. Convenience Stores – It is a retail outlet that sells a limited range of

prepared and ready-to-eat food, bottled and fountain beverages, household
staples, tobacco products, and periodicals.
Retail Industry in the Philippines
Retail trade is widely known as a very competitive area of commercial
endeavor. Businessmen note that many fledgling retail establishments do not
survive for more than a few years. Indeed, competition for sales has become so
great that consumers have seen a marked blurring of product lines among
retailers. Increasingly, retailers have taken to stocking a much greater variety of
goods than their basic industry classification would indicate (bookstores, for
example, increasingly stock electronic products, while other ready-to-eat food
such as snacks and biscuits, and personal hygiene products can be found in
contemporary drug stores). This development further complicates efforts to
establish and maintain a healthy presence in the market. But for the small
business owner who launches a retail store on an adequate foundation of capital,
and attractive merchandise, involvement in the trade can be rewarding on both
financial and personal fulfillment levels.

The latest Annual Survey of Philippine Business and Industry (ASPBI)

showed that a total of 101,136 establishments were engaged in wholesale and
retail trade in 2017. This represents a decrease of 12.8% compared with the
115,998 establishments in 2016.

Among the industry groups, retail sale of other goods in specialized stores
reported the highest share of 30.7% to the total number of establishments for
the sector. This was followed by the retail sale of other household equipment in
specialized stores with 13.4%. Retail sale of food, beverages, and tobacco in
specialized stores came in third with 8.9%.
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ACTIVITIES
Activity 1: Name It!
Directions: Name at least five (5) retail trade businesses that operate in your
area or within Metro Manila.

1. __________________ 4. __________________

2. __________________ 5. __________________
3. __________________

Activity 2: Business Tool

Directions: From the list above, choose one (1) retail trade business and identify
its business environment and competitiveness using any of the
business tools (Environmental Scanning, SWOT Analysis, or Porter’s
Five Forces Model). Use the space below or separate sheets for your
answer.
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WRAP-UP

To summarize what you have learned in the lesson, answer the following
questions:
1. What is the retail trade business?
2. What is the importance of the retail trade industry on the economy?

VALUING
Reflect on this!

“Your smile is your logo, your personality is your business card, how you leave
others feeling after an experience with you becomes your trademark.”

- Jay Danzie

POSTTEST
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Directions: Read each statement carefully. Write T if the statement is correct,
otherwise write F.

____________1. A supermarket is a retail outlet that sells a limited range of

prepared and ready-to-eat food, bottled and fountain beverages,
household staples, tobacco products, and periodicals.

____________2. A specialty store is an establishment which typically concentrates

on selling a single type or very limited range of merchandise.

____________3. Retail trade is the business activity associated with the sale of
goods to the ultimate customer.

____________4. Sari-sari stores are comprised of a series of departments, each of

which specializes in selling a particular grouping of products.

____________5. Retail industry has been improved in 2017 compared in 2016.

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