Establishment of superstores has resulted in closure of small shops. Is it a positive or negative development?
In contemporary times, due to the establishment of superstores and provision of various commodities at one place has become possible. This development up to some extent had led to closure of small shops. To comment on the type of development, it is imperative to analyse both negative and positive aspects.
Large-format departmental outlets provide ease to customers as they can shop for all the products they desire at one place, whereas small shops cannot maintain the variety, because they are locally owned with less investment. Moreover, products with different qualities and prices can be standardised and found under one roof. These establishments work at a large level and procure goods in bulk from manufacturers directly, making it possible for them to get things at relatively cheaper prices. For instance, many superstores such as D-mart have large supply chains which make it possible for their merchandise to sell at lower prices, in the form of discounts and offers. Furthermore, owing to their large scale operation, these establishments provide skilled employment to people and create jobs. Additionally, they have helped to organise the retail sector and their operations,allowing governments to raise revenues.
However, these establishments have caused various problems to people as these stores are not conveniently located, forcing people to buy large quantities at once, interrupting their budget. Additionally, these stores have complicated rules, making exchange and return of products once brought, nearly impossible. Likewise, small shops used to offer credit and friendly bonds to people, but this culture is not promoted by departmental stores, and thus credit facilities are no longer available.
In conclusion, I would say it is a beneficial evolution as it helps shoppers to get better deals and shop with comfort. It has also helped organize retail structure and create employment.