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Communication is a process through which people exchange information, ideas, feelings, meanings, and responses. In retail management, communication is central to every interaction among customers, salespeople, store managers, suppliers, and other stakeholders. The exchange theory of communication explains communication as a process of mutual exchange in which each participant gives something and receives something in return. Communication is therefore not simply the transmission of information from one person to another; it is a reciprocal process involving expectations, responses, benefits, costs, and relationship building. The exchange theory is closely associated with the broader principles of social exchange theory. It assumes that people enter and continue communication when they perceive that the interaction provides meaningful benefits compared with its costs. Benefits may include information, assistance, satisfaction, recognition, trust, convenience, or emotional support, while costs may involve time, effort, money, inconvenience, misunderstanding, or dissatisfaction. In a retail environment, customers and employees constantly evaluate these exchanges, consciously or unconsciously. The theory considers communication as a two-way process. One person communicates a message, while the other person interprets it and provides a response. The original communicator then reacts to that response. Thus, feedback becomes an essential part of communication. For example, when a customer asks a salesperson about the features of a mobile phone, the salesperson provides information. The customer may ask further questions, express doubts, or indicate interest. The salesperson then modifies the explanation ______ ______ _______ ________ ___ ________.
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