Year of Award
Master of Business Administration (MBA)
College of Arts & Sciences
consignment, merchandise, sales, merchandising
Consignment is a natural for many "mom and pop" stores. It does particularly well in the clothing, shoe, furniture, housewares, appliance, and stereo industries and can work in any field with high unit sales and is competitive at the manufacturer's level.1 What makes consignment sales so attractive is the fact that the supplier takes no risk. As a retailer sells the goods, he takes his percentage and remits the difference to the supplier. Until the goods are sold, the seller retains title. If the retailer fails or closes his store, the supplier can just step in and remove the goods. It is that lack of risk that induces a supplier to provide goods to a retailer who can sell the goods, bypassing any concerns of credit or cash.
Creative Commons License
This work is licensed under a Creative Commons Attribution-Noncommercial-Share Alike 4.0 License.
Kessler, Rita Richelle, "A Comparative Analysis of Franchising, Owning, and Consigning for the Low Volume Retailer" (1994). Theses, Dissertations, and Capstone Projects. 231.
Available to Fontbonne users only. Please log in with your id + password.
If you are the author of this work and would like to make it openly accessible to all, please click the button above.