Small shops in towns and villages are closing and replaced by big
stores. Explain your opinion.
Nowadays, it is quite common
to see new mega markets or branches of some big retail chains opening up
around, regardless of area - urban or rural, but are the large stores
superseding smaller outlets, is a point to be pondered deeply.
It is undeniable that large format
stores are being seen future of retail. Slowly but steadily, the crowds at
the small stores are thinning, thus
making it hard for small scale businesses, with limited investments, to survive
onslaught of large shops. The reasons
are quite obvious as large shops offer consumers a much wider choice, in terms of merchandise types,
prices, and brands. This is causing disenchantment, among buyers, from the
local shops, which cannot offer anything comparable to mega stores.
Moreover, smaller outlets may
soon become a thing of past as more and more investors are now choosing franchisees
of big retail chains over independent ventures. In the times of worsening
economic conditions, investors want to be assured that their money would not
only remain secure but also guarantee fair returns. This can only be had if
they opted for an arrangement that promises more fresh and zero dead stocks - without
additional investments. This business model can only accessed if one chooses to
become a franchisee of large chain stores.
However, many are optimistic
that small scale outlets would survive, regardless of multitude of investments
involved. The fashion of shopping at conventional stores refuses to fade away since many feel that mega stores
belong to an elite crowd that has an abundance of money and time to waste, and
thus they still cling to the smaller neighborhood stores.
Hence, I feel even though many
may feel that small format stores will cease to exist, that may never happen. Small-scale
shops have existed and are still there as they address a different segment of
market though these two format will tend to co-exist.