GGR252H1 Lecture Notes - Lecture 4: Voronoi Diagram, Demand Curve, Distance Decay

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3 Jan 2015
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Opportunities the point at which interaction reduces to zero and high cost of travel (dependent on gravity) Takes into account the gravity of the store and the competition. Diffusion: relocation diffusion (migration, contagious diffusion (diseases, hierarchical diffusion (fashion) In retail: organic growth (contagious) with acquisition and taking over. Considers cost of purchasing on top of transportation and time. Distance decay curve based on convenience and type of goods shopped for. Convenience goods: steep curve, identical, change, low value, frequent visits. Shopping goods: shallow curve (product monopoly), distinctive, high value, infrequent visits. Bottom hierarchy (convenience): closely space, selling basic goods, short travel distance. Top hierarchy (power nodes): small number of large regional shopping centres, higher order goods and travel far distances. Measurements: number of stores, size/centre, order of goods, frequency of consumer visit, distance travel, geographical spacing. Size, space, number of settlements examined to see if the place is large enough for service to be viable and if competition takes over.

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