ACC12: Chapter 12 Article

http://news.bbc.co.uk/2/hi/uk_news/magazine/7668139.stm

Summary

The article, “High Street – Discount Store” from BBC news is about a discount store owned by a man named Peter Gallagher. Peter’s discount store, Shirley Market, had been getting ready for the busiest time of the year for his small business, but noticed that some of his biggest customers for fireworks weren’t around this year. His prices had increased but he’s profit remained the same. Even with all the talk about recession, Peter thinks his store will do fine. Peter says that his business has recently attracted more upmarket customers and stated that, “The person who wouldn't usually shop in this kind of place. The type of people who would usually shop at John Lewis. They're coming in and looking for things like tin openers."

Connection

The connection I made between chapter 12 from the accounting textbook and the article from BBC news are synoptic journals and cash discounts. When some people think of small business like Shirley Market, they might think of synoptic journals. A synoptic journal is a multicolumn journal designed for small businesses. A small business like Shirley Market would probably use a synoptic journal. Since Shirley Market is a general discount store, I presume that there is some sort of cash discount involved. Shirley Market would probably pay their bills as soon as possible so they can get the cash discount and sell their products for a cheaper price.

Reflection

I think small general discount stores like Shirley Market would want to receive a cash discount on their bills. If they got a cash discount on their bills, they would be able to sell their products at a cheaper price without losing profit. I think the recession is causing people to not waste money on unnecessary and expensive things like fireworks and buy at cheaper stores like Shirley Market. I hope the economy won't be in recession for a long period of time and people learn not to waste money on useless things that they aren't going to use.