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Lecture 9

GGR 252 Lecture 9.docx

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Stephen Swales

GGR 252 Lecture March 29 th Exam Outline-Three parts First part Short Definitions- what does this concept mean? For e.g. what is a retail chain - What it is - Significance - Example Second part Essay question. Option of two essay- a substantial part. For e.g. normative techniques, market competition, site selection methods Third part Technical question- apply the method. For e.g. Trade area techniques. Calculators, rulers Mobility Mobility is increasing as a general trend however there are exceptions (I)YOPHS— these groups are relatively immobile (I) I (Immigrants) Y (young) o (old) p (poor) h (housewives) s (sick)- the part of society who do not have good mobility. Overpopulations are relative immobile (II) Female are generally less mobile because they feel less safe and they have multiple jobs downtown. They need an accessible route (III) You will so have more females in public transit Trends in demand change - Growth- population growth - Households - Ageing - Diversity- in terms of ethnicity, composition of household - Income - Mobility Evidence mainly from the 2006 census consequences for retail supply Population growth The household composition are decreasing thus some areas on the census tract of Toronto show population decrease The population is also growing in some areas reintensification of the inner city and continuous of suburbanization on the outer suburbs. Building of condominiums development. Suburbanizations are mostly family household. This growth is important for the retail market nature in downtown. Household - Significant shift on the orientation of household - Trend has changed. More people are having a one person household over the years in comparison to a decrease in five or more person households over the years Ageing - Some places are ageing faster the other - Canadian people are in general ageing - Elderly ones tend to live downtown, inner city whereas the suburbs are more youthful Income - Calgary has a very high-income rate whereas Toronto is tin he middle - Key central areas are very high income areas Diversity - Toronto has the highest percentage of visible minorities. Ethnic groups Mobility - People living in the inner city travels much less distance the people living in the suburbs, who travel a higher distance Retail concentration - A few cities command most market and sales for e.g. Toronto, Vancouver, Montreal - A few cities have most retail chain - A few locations in cities command most sales - There are many retailer but relatively few of them command most sales - Most retailers are independents but most sales are in retail chains - Retail chains are numerous but a relatively small number of large chains command most sales for e.g. Wal-Mart Advantages of retail chain (Interdependent vs. independent approach) - Purchasing power and leverage is high- negotiate with suppliers and
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