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Why wheel of retailing theory applicable in today context?

Updated: 9/20/2023
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Q: Why wheel of retailing theory applicable in today context?
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A direct distribution channel is the key to success in today's retail business. A central location that might service 50 or more stores is ideal if the stores are no more than a 500 mile radius from the distribution center. This means that stores can be serviced more efficiently.


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Henri Fayol's 14 principles of management are as applicable today as they were when they were first published. What is good about them is that they are top down principles and are essentially flexible and capable of being adapted for individual needs depending upon the specific circumstances. The difficult bit even in the 21st Century is to determine how to make use of them. As time has passed, organisations have interpreted the principles in different ways from the way that Fayol and organisations at that time may have interpreted them, but this is right and proper because circumstances were different in 1916. Fayol understood that there was no single ideal answer and the best approach needed to reflect the internal and external environment of that organisation at the time. Change happens and just like in the animal kingdom only the strongest and most adaptable survive.


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To what extent is Henri Fayol theory applicable in today business management?

Henri Fayol's principal is relevant in work today because some of the principals are still in use. Those are division of work, also known as specialization, and authority.


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