Economics of pharmacy; organization of pharmacy activities. Analysis of inventory and goods turnover

Trade turnover is

1) the process of circulation of goods. 2) An economic indicator reflecting the total cost of sales.

Distinguish wholesale and retail trade turnover .

Wholesale turnover includes the volume of sales of goods to retail organizations and manufacturing enterprises.

Retail turnover includes the volume of sales of goods and services to the population.

Trade turnover, circulation of goods; stage of the reproduction process, covering the movement of goods from the sphere of production to the sphere of consumption. T. expresses the value (amount) of sales of means of production and consumer goods and characterizes the quality and quantity of economic activity in the sphere of commodity circulation.

Wholesale T.

Retail T. expresses the value of total retail sales of goods and services of a commodity nature to the population purchasing them in exchange for their cash income. Through retail technology, the forms of value change and value and consumer value gain public recognition. Retail retail is one of the main indicators of the well-being of the people; it characterizes the amount of realized effective demand of the population; its material basis consists of commodity funds.

Turnover - this is one of the indicators of the effectiveness of the economic activities of a trading enterprise. Accelerating the time of circulation of goods is of great importance: it increases the economic efficiency of all social production, being at the same time an important condition for increasing the profitability of the trading activities of an enterprise. A slowdown, on the contrary, indicates a deterioration in its performance.

The turnover of goods can be accelerated only by improving all trade, commercial and economic activities of the enterprise. This requires a deep understanding of the influence of various factors on the formation of inventory.

Wholesale trade turnover.

Wholesale T. is a form of trade relations between enterprises; its main function is to supply the retail trade network with goods with the least amount of labor and money. It covers the sale of goods by production and marketing associations (enterprises) to trade organizations for subsequent sale to the public, as well as for industrial processing. There are 3 types of wholesale trade: turnover of means of production mainly according to material and technical supply plans; agricultural turnover products (purchases and sales of agricultural products and raw materials); turnover of consumer goods for market and non-market purposes. The volume of wholesale trade is determined by plans for retail turnover and production programs of industry and agriculture.

Intermediary sellers can be individuals, businesses and organizations that purchase goods from manufacturers or other sellers in order to resell or rent them to other consumers for a profit. Intermediate trade can be carried out by industrial, wholesale and retail enterprises, and intermediary firms.

The need for wholesale trade is caused by the social division of labor, the presence of commodity-money relations, the narrow specialization of industrial enterprises, the need for regional balancing of supply and demand, the rapid sale of manufactured goods to resume expanded reproduction, and bring it to the final consumer.

Characteristics of wholesale trade:

1) Wholesale transactions are large, the trading area is large.

2) The wholesaler pays little attention to sales promotion and the location of his enterprise, because deals with professional clients, not the end consumer.

3) Differences in legal support and tax legislation (in countries with developed market economies).

Wholesale trade entities. Wholesale trade can be carried out by:

Specialized large enterprises with a full service cycle;

Incomplete, selling a wide and highly specialized assortment, intermediaries (firms of various forms of ownership, wholesalers-traveling salesmen, wholesale organizers, wholesalers-consignors, brokers, agents, etc.);

Wholesale and retail associations created on the basis of specialized wholesale enterprises, warehouses of former trades and trusts that have received legal independence;

Warehouses of large retail and industrial enterprises, warehouse stores;

Wholesale enterprises of the “Cash-and-carry” type (paid - take it);

Wholesale and retail associations of small and medium-sized trade and food enterprises that do not have a material and technical base (a wholesale link is formed on a cooperative basis).

Wholesale functions:

Sales and its promotion;

Purchasing and formation of product range;

Breaking down large quantities of goods into small ones;

Warehousing, transportation, financing (if with deferred payment or pre-order without payment);

Taking risks;

Informing about the market, competitors, new products, price dynamics;

Management and consulting services.

The main purpose of wholesale trade is to organize an uninterrupted, rational supply of goods to retailers and industrial enterprises, to ensure a balance between supply and demand.

The main quantitative indicator that allows us to evaluate the volume of work in wholesale trade is wholesale trade turnover - this is the sale of goods in large quantities to wholesale trade enterprises for subsequent resale (retail trade - for sale to the public, other enterprises - for industrial consumption, etc.).

Wholesale classification:

By purpose: 3 types of wholesale sales turnover:

1. Sale of goods to retail and industrial enterprises, institutions, organizations, as well as for export;

2. Interstate (interrepublican) supply (sale of goods outside the republic to other sovereign states on the basis of intergovernmental agreements);

3. Intra-system supply (sale within the republic by one wholesaler to another);

According to the forms of organization of goods movement:

1. warehouse (sale of goods to wholesale buyers directly from warehouses);

2. transit with participation in settlements - sale of goods from the warehouses of an industrial enterprise directly to the consumer, bypassing the warehouses of the wholesale base. In this case, the settlement with the shipper is carried out by the base, because by issuing an invoice for a batch of shipped goods in the name of the wholesale base, the latter, in turn, issues an invoice or invoice in the name of the buyer, including in the invoice amount a wholesale markup, determined by agreement of the parties in order to cover its expenses for organizing transit sales and make a profit .

Wholesale trade with participation in settlements - the sum of transit and warehouse, taking into account in the calculation of turnover. All qualitative indicators for assessing the work of wholesale trade are calculated in relation to wholesale trade turnover with participation in the calculations.

Tasks and procedure for analyzing wholesale trade turnover

The purpose of the analysis is an objective assessment of work and identification of reserves for improving customer service and improving product distribution.

Assess the implementation of the wholesale turnover plan and delivery of goods to customers;

Study them in dynamics;

Identify and measure the influence of the main factors on wholesale trade turnover;

Establish the causes of shortcomings in trade and commercial activities and various measures to eliminate them.

Analysis steps:

1. Analysis of plan implementation and dynamics of wholesale trade turnover:

The degree of implementation of the plan and the dynamics of wholesale trade turnover are assessed; analysis of the composition, assortment and structure of trade turnover for individual customers;

Fulfillment of the wholesale turnover plan according to the composition of types of wholesale sales: warehouse and transit with participation in settlements;

An assessment is made of the implementation of the wholesale trade turnover plan by product groups and by forms of wholesale sales (for example, shoes

Wholesale trade turnover can also be studied in the areas of sales of goods (by market and non-market funds).

Market funds - release to retail and catering enterprises for sale to the public.

Non-market funds - release to enterprises for production needs.

2. Analysis of the uniformity of supply by quarter, month, decade.

3. Analysis of the rationality of product distribution using mathematical programming methods: simplex, distribution, potential method, i.e. transport tasks.

4. Analysis of the influence of factors on the implementation of the plan and the dynamics of wholesale trade turnover.

From the provision and use of commodity resources:

From the provision of the required resources and increased labor efficiency;

From the status, development and efficiency of use of the MTB wholesale enterprise.

5. Conduct operational analysis of the supply of goods and wholesale trade turnover.

6. Planning of wholesale trade turnover.

The wholesale trade turnover plan includes: 1) the wholesale trade turnover plan by total volume, structure, types; 2) the rate of turnover of inventory; 3) commodity supply plan.

Analysis of sales of a retail store begins with studying the dynamics of sales volume and assessing the compliance of actual and planned indicators, if the store uses a planning system. Retail store sales analysis involves systematic data collection. The most convenient forms for collecting data are tables and graphs, which clearly illustrate the dynamics of trade turnover.

As an example, we give a version of the table, which can reflect information on the turnover of a retail chain (table).

Table

Dynamics of retail chain sales volume

Such tables allow you to analyze the dynamics of trade turnover during the year at a separate retail outlet and compare trade turnover at different retail outlets. In addition, based on this table, you can estimate the average turnover per 1 sq. m of store space, this indicator allows you to evaluate the efficiency of using the store’s retail space. A similar table can be built for one store; it will illustrate the dynamics of turnover during the year (or other time period).

In addition to analyzing the overall turnover of a retail outlet, it is necessary to analyze the turnover for each product category. Only such an analysis will make it possible to evaluate the effectiveness of the assortment matrix developed in the store and make rational decisions on its optimization. To do this, data on sales volumes can be accumulated in the following table (table).

Table

Dynamics of sales volume of a product category

Presenting data in tabular form simplifies the process of analyzing information and makes it more visual.

Based on the data presented in the table, it is possible to calculate a number of indicators characterizing the dynamics of trade turnover.

1. Chain growth rate of trade turnover shows how the turnover of the current month changes in relation to the previous month.

Trade turnover growth rate (chain) = volume of trade turnover in the current period/volume of trade turnover in the previous period

2. Basic growth rate of trade turnover shows how the turnover of the current period changes in relation to the base period.

Any previous period can be selected as the base period. As a rule, January of the current year is taken as the base period.

Trade turnover growth rate (base) = (volume of trade turnover in the current period/volume of trade turnover in the base period) * 100%.

3. Average annual growth rate of trade turnover shows how trade turnover changed on average during the year. It can be calculated both on the basis of chain and basic trade turnover. This indicator allows you to compare the pace of development of various retail outlets, if we are talking about a retail chain, and analyze the development of an individual store over several years.

In conditions of high inflation, it is necessary to calculate not only nominal values ​​of trade turnover, but also real ones. Nominal values ​​are calculated in current prices, and real values ​​are calculated in prices of the base period, i.e. taking into account changes in the price level. The real volume of trade turnover can be calculated using the following formula:

Volume of trade turnover (real) = volume of trade turnover (nominal)/price change index

For example, the store’s turnover last year amounted to 30 million rubles, the turnover of the reporting year was 32.5 million rubles. Let's calculate the dynamics of trade turnover in current and comparable prices, taking into account that the price index of the current year in relation to the previous year is 1.2.

Dynamics of trade turnover at current prices = 32.5 million rubles. / 30 million rub. *100% = 108.3%.

To calculate the dynamics of trade turnover in comparable prices, it is necessary to calculate the real volume of trade turnover in the current year.

The real volume of trade turnover of the current year = 32.5 million rubles. / 1.2 = 27.1 million rubles.

Dynamics of trade turnover in comparable prices = 27.1 million rubles. / 30 million rub. X 100% = 90.3%.

Thus, this example clearly demonstrates a situation where an increase in turnover in a store was achieved due to rising prices, and not due to an increase in sales volume. This is evidenced by the positive dynamics of trade turnover in current prices and the negative dynamics in comparable prices.

Price change indices are calculated by the Federal State Statistics Service and are available on its official website (http://www.gks.ru).

In the process of analyzing the sales volume of a retail store, it is advisable to analyze the dynamics of its change both in value and in physical terms.

If a store is planning its turnover, then during the analysis it is necessary to analyze the degree of implementation of the plan both for the store as a whole and for individual product categories.

For example, the actual turnover of the reporting year was 3,500 thousand rubles, and the sales forecast for the reporting year was 3,350 thousand rubles. Then the percentage of sales forecast fulfillment will be 3500 / 3350 * 100% = 104.5%.

Thus, in this example, the sales volume plan was exceeded by 4.5%.

To analyze the dynamics of trade turnover for individual product groups, you can calculate the coefficient of absolute structural changes, which allows you to assess changes in the structure of trade turnover.

Trade turnover is the most important indicator for an enterprise selling anything. First of all, it is expressed in monetary terms and characterizes the amount of products sold over a certain period. Trade turnover does not show profit; profitability cannot be judged from it; it is simply a quantitative number expressed in commodity form. But analysis of turnover is extremely important for choosing the company’s future strategy.

Classification

All types of trade turnover are divided into three large groups: wholesale, retail and trade intermediary. Each of these segments is divided into other subtypes, which is why the classification has a rather branched form.

Wholesale turnover is the sale of goods from the manufacturer to intermediaries engaged in the subsequent resale of individual batches. Wholesale firms play a key role in the market. They make it possible to overcome obstacles that arise during the transportation and storage of goods as they move from the manufacturer to the end user.

The main task of a wholesale enterprise is the uniform distribution of necessary items across all retail outlets, even the most remote geographically. In this regard, the following subtypes of wholesale trade turnover are distinguished: by region, by other regions and international. A more detailed classification can be seen in the figure.

Retail turnover

It combines all operations related to the delivery of goods to the final consumer. Retail sales complete the process of circulation of consumer goods and food products in the consumer market. Since this type of trade turnover occupies the largest share in the general classification, several types of delivery of items to the end user can be distinguished. A more detailed gradation can be found in the following figure.

The organizational form can be completely different. In addition to the usual trade in stores and supermarkets, catalogs and booklets are gaining great popularity. New forms are constantly emerging, such as selling through social networks and group purchasing.

Payment methods also differ. Long gone are the days when it was difficult to pay with a card in a store. Now even small market stalls are often equipped with portable handheld terminals. You can also pay checks or take out expensive goods on credit.

The importance of turnover analysis for a store

Trade turnover analysis is performed to determine the following number of tasks:

• in order to study the dynamics of sales and implementation of plans;
• to determine the most influential groups of goods and, conversely, the least profitable;
• to study factors influencing trade turnover;
• to identify reserves, what can still be purchased, and what needs to be gotten rid of;
• to develop strategic plans for future activities.

The general scheme by which the analysis is carried out is shown in the figure.

General indicators

Trade turnover indicators serve to establish the main qualitative and quantitative characteristics of a company’s work for a certain period. The further calculation of other economic indicators depends on the correctness and completeness of the analysis performed. Today, all these tasks are performed very simply with the help of automated programs that help to fully monitor any changes in turnover and quickly make prompt decisions to eliminate problems if they arise.

The main indicators of trade turnover include:

• volume of maintenance in monetary terms at prices of the current and planned periods;
• assortment structure;
• Maintenance per day, month, quarter, year;
• Maintenance per worker;
• time of circulation of goods;
• number of revolutions over a certain period of time.

Dynamics of trade turnover growth

Since trade turnover is the monetary equivalent of all goods sold at one enterprise for a specific period, the first indicator that needs to be calculated is its dynamics at current prices. Abbreviated as DTO. You can compare any period of time using the formula:

ATO = Actual turnover for the period in current prices * 100 / Actual TO of the period that is being compared.

This formula is applicable for periods in which prices did not change. For example, over a short period of time - one or two months. If a quarter or a year is being considered, prices have most likely changed and therefore the calculation must be adjusted using a price index, which is calculated as follows:

I price = price of the reporting period / price of the base period (taken as 100%).

In this way, you can adjust the actual turnover (the formula is presented below) at current prices:

F then in comparable prices = (Actual trade turnover in current prices / I prices) * 100%.

Turnover speed

An indicator such as turnover has its own speed. In fact, it characterizes how long it will take for all warehouse stocks to go into circulation. Velocity analysis is extremely important for food retail businesses. Thanks to it, shelf life, delivery time and final sales dates are calculated. After all, you need to order the goods on time so that they can arrive before customers buy up the last remnants, and at the same time not violate the expiration dates. Trade turnover (speed formula) is characterized by the following indicators:

Inventory turnover:

where T is the monetary expression of trade turnover for a certain period, and Z is the amount of inventory.

The circulation time is calculated in days:

where D is the number of calendar days, and n is the turnover ratio (calculated above).

Range

When engaged in trade, it is impossible not to analyze the assortment. Whatever the trading enterprise, small or large, the owner still looks at which goods are bought more, which ones less, which ones to order for future use, and which ones will be in demand by the end of the season. Assortment policy is a whole branch of science, the study of which can significantly increase the profitability of an enterprise.

In small trade organizations, assortment analysis is carried out on an intuitive level. By simple comparison and study of trade turnover, items with the greatest and least demand are recognized. But for large hypermarkets and wholesale companies, assortment analysis plays a key role. And it’s quite difficult to deal with this manually.

A thriving enterprise has everything under strict control. Each unit of goods has its place in the structure of trade turnover. At such enterprises, it is advisable to analyze the assortment using ABC XYZ analysis. The first half of ABC means studying product groups for profitability, group A includes those who bring the greatest income, C - the least. XYZ is responsible for demand. Thus, the AX group will include goods that are purchased most often and bring the greatest profit. If there are items included in the last category of CZ, then it is better to get rid of them altogether, since they are ballast.

ABC XYZ analysis is a complex and simple method at the same time. The easiest way to do this is with automated programs. It gives excellent results, which perfectly characterize retail turnover.

conclusions

Trade turnover is the single and most important indicator of the performance of a trading enterprise, regardless of its size and form of organization. Its analysis allows one to judge the results of activities and choose the company’s future strategy.

The concept of trade turnover

Retail turnover

Wholesale turnover

Features of turnover of food enterprises

Trade turnover structure

Analysis of trade turnover dynamics

The concept of turnover

One of the main economic indicators of the economic activity of a trading enterprise is turnover.

Trade turnover is the process of exchanging goods for money.

The owner of the goods - a trading enterprise - sells the goods for money into the ownership of another legal entity or individual.

Trade turnover characterizes the process of movement of goods through acts of purchase and sale.

goods as an object of sale;

sales as a form of movement of goods from producer to consumer.

The turnover of a trading enterprise can be considered: 1) firstly, as a result of the activities of a trading enterprise, its economic effect; 2) secondly (in the socio-economic aspect) as an indicator of the commodity supply of the population, one of the indicators of the standard of living (according to the UN classification, the Republic of Tajikistan belongs to indicators characterizing the standard of living).

Trade turnover is expressed in the volume of monetary revenue for goods sold - by its size one can judge the importance of a given enterprise in the consumer market.

There are retail and wholesale trade turnover.

Retail turnover

Retail turnover is the sale of goods directly to consumers for personal consumption. At this stage it ends the process of movement of goods from the sphere of commodity circulation, and the goods are transferred into the consumption stage. This transition occurs in accordance with the terms of commodity circulation through purchase and sale mainly for cash.

As an economic indicator, retail trade turnover reflects the volume of goods (in monetary terms) moving into the sphere of personal consumption, and characterizes, on the one hand, the monetary proceeds of trade, and on the other, the amount of household expenses for the purchase of goods.

In terms of its economic content, RT represents the sale of goods to individual and partly collective consumers in exchange for their cash income. Goods are sold to organizations and enterprises by non-cash payments, transfers through the State Bank, in the form of small wholesale sales, which amounts to approximately 5% of turnover.

In addition, the turnover includes the sale of goods to the population from the warehouses of procurement centers, directly from state farms, various production organizations, ateliers, workshops of clothing, linen, hats, shoes, as well as the revenue of the workshops for the manufacture of these products from the customer’s materials, for the repair of clothing, shoes, furniture, etc.

Revenue from the provision of various services to the population by public service enterprises (hairdressers, laundries, photography, rental shops) does not relate to retail turnover, because in this case, there is no sale of goods or increase in their value. The services provided to the population are of a non-commodity nature.

The volume of retail trade turnover largely characterizes the state of the national economy, reflecting the state of affairs in industry and agriculture, inflationary processes, changes in the well-being of the population, conditions and capacity of the domestic market.

The purchasing funds of the population are the part of their cash income necessary for the purchase of food and non-food goods.

A certain proportionality is observed between purchasing funds and the volume of retail trade turnover, which consists in the fact that the volume of trade turnover must correspond to the size of the purchasing funds of the population. Thus, if the volume of RT is below purchasing funds, the effective demand of the population is not satisfied, this creates a shortage of goods, interruptions in trade, and rising prices in the markets. If the volume of RT is higher than the calculated size of purchasing funds, difficulties arise in selling the goods, part of it remains unsold.

The RT indicator has quantitative and qualitative characteristics.

A quantitative characteristic of trade turnover is the volume of sales in monetary terms.

Qualitative - structure of trade turnover. The structure (or assortment composition) of trade turnover is the share of individual product groups in the total sales volume.

The composition of RT is classified by type of sales:

revenue from sales of food and non-food products in stores, tents, vending machines, kiosks, delivery and distribution trade;

turnover of OP enterprises, consisting of turnover for the sale of products of their own production and purchased goods, including mark-ups;

revenue from the sale of medicines in pharmacies;

revenue from the sale of books, newspapers, magazines, including subscriptions, etc.

Wholesale turnover

Wholesale trade turnover is the sale of goods by trading enterprises to other enterprises that use these goods either for subsequent sale, or for industrial consumption as raw materials, or for material support of economic needs. As a result of wholesale trade, goods do not pass into the sphere of personal consumption, but remain in the sphere of circulation or enter industrial consumption. In other words, in wholesale circulation, goods are sold for subsequent processing or resale.

Wholesale trade turnover is classified as a rule:

by appointment;

form of organization of goods distribution.

Depending on the purpose, wholesale trade turnover is divided:

for wholesale sales;

intrasystem wholesale trade turnover.

Wholesale trade turnover for sales- this is the sale of goods to retail trade enterprises, public catering, supplies to off-market consumers, and for export.

Intrasystem wholesale trade turnover- this is the release of goods by some wholesale enterprises on behalf of others directly to market and intra-market consumers. Intrasystem wholesale trade turnover, as a rule, is used to maneuver commodity resources and is characteristic of large commercial structures.

Thus, wholesale sales turnover characterizes the process of direct wholesale sales of goods, and intra-system wholesale turnover characterizes the movement of goods between wholesale trade links.

The sum of the two types of wholesale trade turnover is gross wholesale trade turnover.

Depending on the organization of goods circulation, each of the two types of wholesale trade is divided:

in a warehouse;

transit.

Warehouse wholesale turnover - This is the sale of goods from the warehouses of wholesale trade enterprises.

Transit wholesale trade turnover - This is the supply of goods by manufacturers directly to retailers, bypassing warehouse links.

Transit wholesale trade turnover, in turn, is divided into:

for transit trade turnover without participation in settlements (organized). The wholesale warehouse participates in this process as an intermediary, receiving a commission for organizing the promotion of goods.

transit trade turnover with participation in settlements. The wholesale warehouse is the owner who paid the cost of the goods.

The sum of retail and wholesale trade turnover forms gross turnover

Features of turnover of food enterprises

A distinctive feature of the economic activities of food enterprises is the integration of processes within one enterprise production, sales and organization of consumption of products.

Actually, the turnover of a food service enterprise has its own specifics, being divided into:

for turnover on sales of products of own production;

turnover on sales of purchased goods.

The largest share in the turnover of food enterprises is the turnover of sales of products of their own production (55-85% depending on the type of enterprise: restaurant, cafe, bistro, canteen, dumpling shop, pancake house, snack bar, buffet, etc.).

Depending on final or intermediate consumption, they divide retail and wholesale trade turnover

Retail trade turnover includes:

sale of products of own production and purchased goods through dining halls, buffets, as well as sales through retail and small retail networks owned by the enterprises themselves;

sales of products through a mobile network;

supplying meals to company employees at discounted prices.

Wholesale turnover consists of the sale of semi-finished products, flour and confectionery products to other food and retail establishments.

Large OP enterprises, in addition to selling products to the public, sell culinary, confectionery and semi-finished products to other OP enterprises, as well as to retail enterprises and organizations for subsequent processing and sale. Thus, at large procurement enterprises, the production of meat, fish, vegetable and other semi-finished products, culinary and confectionery products is organized to supply them in the required assortment and within a specified time frame to pre-production enterprises, i.e. small canteens, cafes, snack bars. Since this does not complete the movement of the product, this constitutes a wholesale turnover. Its transition to the sphere of consumption occurs only after modification and sale or resale.

The sum of retail and wholesale trade turnover forms gross turnover , characterizing the full volume of production and trading activities.

Trade turnover structure

The commodity structure of retail turnover includes food and non-food products, which are divided into assortment groups and subgroups. With further detail, types, varieties, models, and sizes of goods are considered.

Structure food products

meat and meat products;

fish and fish products;

milk and dairy products;

• confectionery;

  bread and bakery products;

  flour, cereals and pasta;

  potato;

• fruits, fruits, berries, watermelons and melons;

  other food products.

Structure non-food products consists of the following product groups:

• clothing, linen, hats and furs;

  knitwear and hosiery;

• laundry soap;

  synthetic detergents;

  toilet soap and perfumes;

  haberdashery and threads;

  tobacco products;

• goods for cultural, household and household purposes;

  other non-food products.

Trade turnover is one of the main and most important indicators in the economics of trading activity. How is this concept interpreted? It is generally accepted that trade turnover is an action based on the exchange of a specific product for currency. Thus, there is a continuous process of movement of goods and services, carried out through the drawing up of agreements or purchase and sale transactions.

This concept can be viewed from two points of view. On the one hand, trade turnover is a movement in which the emphasis is on the product as the direct object of trading activity. On the other hand, all attention is focused on the purchase and sale transaction, since it is a tool for promoting the product first to the market and then directly to the consumer.

Currently, there are separate organizations specializing in trading activities. They sell the manufacturer's goods and receive their percentage of the transaction. Products come from the manufacturer on consignment terms. Thus, the company possesses only a specific product. For the economic entity itself, trade turnover is a way of achieving, that is, obtaining maximum profit. And at the market level, this indicator reflects the degree to which the population is equipped with necessary goods, and therefore in some way characterizes citizens.

Trade turnover can be divided into two main groups: wholesale and retail. The first reveals the process of movement of goods to the place where its direct transfer takes place. We can say that retail trade turnover is the final stage of product movement. If we consider this concept in quality, we can present it in the form of a monetary expression of the volume of goods released to the market. On the one hand, trade turnover is reflected in the amount of income from sales, and on the other hand, it characterizes the level of expenses of the population for the purchase of products.

According to current legislation, this indicator includes not only the volume of revenue from the sale of assortments to the public, but also to other contractors purchasing goods for the purpose of servicing citizens. The retail turnover indicator is capable of fully reflecting the degree of development of the enterprise, the well-being of the target audience and even the general situation of the national economy.

Wholesale trade turnover represents the movement of products to other trading organizations for the purpose of further resale or to other enterprises for use in their production activities as raw materials. Unlike retail trade, in wholesale trade the products remain in the sphere of circulation.

Wholesale trade turnover can be classified according to purpose: intra-system and for sale. The first category is inherent in large-scale commercial companies, as it reflects the movement of goods from a trading enterprise to another wholesaler. And in accordance with the sales criterion, the enterprise supplies finished products to companies engaged in retail trade, public catering networks, for the purpose of clearing exchange, as well as for export. By summing the results of indicators of these two categories, one can obtain gross or total wholesale turnover.

A clear distinction is made between the concepts of “composition” and “magnitude” of trade turnover. Under no circumstances should they be identified. The composition of the indicator reveals various types of sales, and its value represents the sum of sales revenue, cash on hand and funds in bank accounts. This division is due to the fact that trade turnover can be considered both a qualitative and a quantitative indicator.