Case Study 2 Essay

1259 Words Nov 21st, 2014 6 Pages
Case Study 2
Adapting Store Size to the Type of Location
Submitted By : Marie Jo Aguzar 87/100
Under what conditions should a large box store retailer like a Best Buy Pursue a small­store strategy?

As U.S. chain retailers absorb the lessons of the great recession, many big­box chains have started to shrink average store footprints to reflect the growing importance of multi­channel shopping, adapt to urban settings and recognize the need to optimize investment. I suspect you got this from research ­ so it’s always good to put from where ­both a brief note here and then in a bibliography page. Wal­Mart Stores Inc., Target Corp., Best Buy Co. Inc. and Gap Inc., among others, all have small concepts in the works or are
…show more content…
Since the smaller units can carry only a limited selection of merchandise, retailers can cut down by stocking up on different products in stores that are located in close proximity.
Nicely done... http://m.nreionline.com/retail/big­box­giants­downsize­drive­productivity­smaller­urban­stores http://www.investopedia.com/financial­edge/0212/big­box­stores­vs.­small­retailers.aspx A large box store retailer like a Best Buy pursue a small­store strategy when:
∙ Ideal locations are available at low rents due to bankruptcies, store closings, etc.
∙ These small stores can be effectively used as fill­in locations between larger qqstores. These fill­in locations can close gaps in trading area coverage of existing stores.
∙ Retailers can effectively edit their normal selections. One way to implement this strategy is to enable consumers to order merchandise on the Web for in­store delivery at a later time.

Would the population characteristics of a small store's trading area differ from that of a larger store? Why or why not? Defining a downtown or business district’s trade area is an important first step in any market analysis. This step is crucial because it defines the boundaries that will serve as the basis for further study. It also helps individual businesses identify opportunities to expand their own trade area. In community economic development, a trade area is the geographic area

Related Documents