A mobile shop is a type of retail trade where merchandise is arranged inside of a vehicle and sold to customers.

It is a form of trade where products are placed in moving trucks and moved from one location to another so they can be sold to end customers.

A common example of a mobile shop is people who arranged phones in vehicles, which have music and transport the phones from street to street in search of customers.

Characteristics Of Mobile Shops

1. Use motor vehicles: As implied by its name, a mobile shop retailer uses a truck to transport its inventory from one site to another.

2. Sells a limited range of products: Most mobile shop sells a limited range of product which is highly dependent on the carrying capacity of the motor vehicle used for selling.

For instance, If the motor vehicle can only carry only 100 goods, it follows that the mobile shop will be able to hold a maximum of 100 goods at a time. 

3. Form of advertising: Music, bells, and dancing are used by mobile shops to promote their wares and draw customers to them.

4. Affected by weather conditions: The operation of a mobile shop is affected by weather conditions.

A mobile shop may be closed on highly sunny or rainy days.

Advantages of Mobile Shops

1. Ability to find consumers anywhere: Mobile shops can find customers in both urban and rural areas because their products are displayed in moving vehicles.

2. Convenient shopping: Customers can purchase goods from mobile shops while at home, which is convenient.

3. Low prices: Most mobile shops sell at low prices to consumers.

Mobile shops are known to provide goods at discounts and reduced prices to customers.

Customers frequently buy things from mobile businesses at discounts and at reduced costs.

Disadvantages of Mobile shops

1. Inability to return goods: Customers may be discouraged from purchasing from mobile shops because they may not be to return to mobile shops should the goods have defects.

This is because mobile shops are always on the move.

2. High operating costs: Since the mobile shop owner must fuel the car, operating expenses could be high.

This may lower the owner's profit.

3. Vehicle may break down: A mobile shop's ability to operate businesses is heavily reliant on its motor vehicle.

If the vehicle breaks down, then the business operation of the day is over.

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