Final answer:
The basic requirements for moving to a category management approach are a clear understanding of customer needs and preferences, data-driven decision making, collaboration with suppliers, and strong retail execution.
Step-by-step explanation:
The basic requirements for moving to a category management approach are:
- Clear understanding of customer needs and preferences: Category management requires thorough research and analysis of customer behavior to identify their needs and preferences.
- Data-driven decision making: It is important to collect and analyze data on sales, market trends, and competition to make informed decisions regarding product assortment, pricing, and promotion.
- Collaboration with suppliers: Effective category management involves building strong relationships with suppliers to ensure consistent supply, negotiate favorable terms, and access the best products.
- Strong retail execution: To implement a category management approach, retailers need efficient processes, well-trained staff, and effective store layouts to optimize category performance.