Outline four importance of a warehouse to a consumer. (4 mks)
warehousing - kcse business studies notes, objectives, syllabus, schemes of work, questions, answers and more
WAREHOUSING (6 LESSONS)
By the end of the topic, the learner should be able to:
TOPICS / SUB-TOPIC BREAKDOWN
A warehouse is a building for storing goods and services until the need for them arises. A warehouse is also usually referred to as a go down, silo or depot.
Warehousing is the process and the systems for relieving goods, protecting them against all types of hazards and ensuring their availability to those who need them. Therefore, it involves three main processes:
Importance of Warehousing to Business
Essentials of a warehouse
In order to be as effective as possible, warehouses require some features and resources. These include:
Types of Warehouses
Warehouses are usually categorized on the basis of ownership or types of goods stored.
I. Warehouse Types Based on Ownership
These warehouses are owned by individuals for storing goods. They include:
Advantages of private warehouses
Disadvantages of public warehouses
The term public implies that these warehouses can be used any member of the public to store his/her goods whereby the owners of the premises lend parts or the entire warehouse to any individual. To enhance versatility and suitability, the owners site the warehouses strategically near ports. This is because they are most commonly used by importers or exporters.
Many public warehouses offer some additional services like packaging, clerical services, market reports, preparing export samples and insuring the goods. Ownership of the goods in the warehouse is usually proved and transferred from one owner to another through a document known as a warehouse warrant. This enables the owner of the goods to sell goods in the warehouse without having to physically transfer them from one place to another.
Advantages of Public Warehouse
Disadvantages of Public warehouse
ii. Warehouse Types Based on Goods Stored
These types of warehouses are categorized on whether they house goods awaiting tax or tax free goods.
They store imported goods prior to payment of the duties. The warehouse owner’s offers cash guarantee to assure that the goods will not be released before clearing the duties. Goods under transit to another country may not attract duties, including those that are packaged outside the warehouse. The goods may be sold inside the warehouse and the new owner undertakes the payment of the taxes. Once cleared, the owner is issued with a warrant of release.
Features of Bonded Warehouses
Advantages of using Bonded Warehouses to the importer
Disadvantages of using Bonded Warehouses
Goods in these types of warehouses are not under the control of the custom authorities. The goods do not have any pending tax. These include locally manufactured goods or imported goods whose duty has been cleared.
Advantages of Free Warehouse
Disadvantages of Free Warehouse
Current Trends and Emerging Issues in Warehouses
Driven by technological inventions, warehouses are undergoing revolutions such as:
warehousing kcse questions and answers
1. 1995 P1
Outline four features of a bonded warehouse (4 marks)
2. 1995 P2
Explain five ways in which warehousing facilitates trade.
3. 1996 P1
Highlight four ways in which a warehouse is useful to a trader. (4 marks)
4. 1997 P1
List three advantages of warehousing to a manufacturer. (3 marks)
5. 1997 P2
Lobo Traders intends to consult a warehouse. Explain five measures that
Lobo would take to ensure smooth functioning of the warehouse
6. 1998 P1
Outline four benefits that consumers get from a warehousing (4 marks)
7. 1999 P1
Outline four factors that a trader would consider in locating a warehouse. (4 marks)
8. 2000 P1
State four benefits that a government gets from a bonded warehouse. (4 marks)
9. 2000 P2
In what ways does warehousing facilitate trade in a country?
10. 2001 P1
State four features of a bonded warehouse (5 marks)
11. 2002 P1
State four advantages of public warehouse to retailers. (4 marks)
12. 2003 P1
The table below contains descriptions relating to some types of warehouse. In the space provided, write the type of warehouse to which each description refers.
In which four ways are consumers likely to suffer in a situation where there is no warehousing?
14. 2007 Q13 P1
Outline four benefits to a business that uses its own warehouse. (4 marks)
15. 2007 Q6a P2
a) Explain five features that you would consider in establishing a warehouse for imported goods. (10 marks)
16. 2008 Q3 P1
State four ways in which a warehouse is of importance to a manufacturer. (4 marks)
17. 2010 Q3 P1
Name the types of warehouses associated with each of the statements given below: (4 marks)
18. 2012 Q21
Outline four conditions under conditions under which a warehouse may be considered to operating efficiently. (4 marks)
Business Studies Notes Form 1 - 4
Atika School Team