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Topic created : 7 February 2012, 20:12

Melchior2008
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In a store 10.000 sqm I have in Ajaccio, I have surprising figures :
 
Qualification of employees 7.26 (city average 4.00, required 7.09)
 
Salary of one employee 1 700.00$ per week (city average 714.82$)

 
I have rarely seen above average required qualification in my stores, and never that high : 7.09 ! In consequence, I have to massively overpay the personnel and/or train them over and over. Needless to say, I just get to High service level with current wages.
 
Isn't this a bug ? What justifies such required qualification ?   

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7 February 2012, 20:45

VLLord
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Required qualification depends on:
 
- city (rich -- poor);
- city district (fashion -- suburb);
- type of goods (motor-car goods -- grocery);
- price level (10 * local suppliers price -- 1 * local suppliers price).
 
If you retail top-quality motor-car goods at 10 * local suppliers price in the fashion district of Oslo the required qualification will be ~10. 
 

7 February 2012, 23:17

Melchior2008
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Alright, that's what i have here :
 
- city : Ajaccio, wealth level of 4.00, the lowest in France
- city district : city centre, with a visitors wealth index of 576, which is rather low for a city centre
- type of goods : grocery
- price level : more or less 1 * local suppliers price
 

It seems to me, with those elements, that the required qualification is way beyond limits here. 
 

7 February 2012, 23:51

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I suppose the required qualification depends not directly (and only) on the wealth level of the city, but on the wealth level of the region (or somewhat similar cities) as well (note: this mechanism is used for local suppliers pricing).
 
It seems logical in some sense and in this case required qualification of 7 would be ok. But it's just a hypothesis. 
 

9 February 2012, 01:08

Melchior2008
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I have similar stores in France, in more privileged areas, and none of them faces such a high required qualification. 
 

9 February 2012, 14:05

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this store has a better reputation. Doesn't that influence the required qualification?
 
Also: that doping, er sports food, you're selling in Ajaccio is more than twice the city average quality. In the other cities, the quality of your product is closer to the city average (probably because you have 80% market share there :-)).
 
Maybe it is easier to sell quality differences for motor car goods (which require a certain level of training anyway) than with food/groceries? What I mean is: if the required level of your staff goes up by X for every y% quality increase in motor car goods, it might go up by 2X for every y% quality increase in groceries?
 
Finally: isn't required staff level related to selling prices as well? And if it isn't, it should be! Well I mean: any nitwit can sell a Mercedes S-type at the price of a Skoda Fabia, right? I mean imagine you have two stores, each selling cars at $100k. One store has cars of quality 10, the other has cars of quality 20. Which should require the better trained staff? Imo that would be the one with the lower quality cars because they'll have a tougher time selling the product.
Now, that changes if you're going to try and sell the Q20 cars at 150k or 200k. And it will become worse if you try to sell them at 300k. Staff's quality should increase dramatically at those price increments.
 
Just my guesses Very we! 
 

10 February 2012, 01:30

Melchior2008
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I sell the same quality at the same price in other cities where the quality gap is similar with the local suppliers, and I don't have so high required qualification, it's not even close, it's even way below city average.
 
I noticed that the unemployment rate in Ajaccio is 0.00 % and that the average salary is 714.82 $, which is huge. But that still doesn't explain the high required qualification... 
 

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