Changing Economic Perspectives on the Theory of Retail Location

Abstract

This chapter examines the evolution of retail location theory over time. Changes in the theory of retail location are explained in part by consumers’ willingness to drive past a well-located shopping center in order to patronize a shopping center with a preferred selection of merchandise or a desirable anchor tenant. In terms of measuring the significance of merchandise selection and anchor tenant image, the chapter documents that retail clustering and anchor tenant image have a dramatic effect on nonanchor tenant sales.