DIFFERENTIATING ATTRIBUTES BETWEEN TRADITIONAL AND MODERN RETAIL

Abstract

This research was aimed at identifying the differences between traditional (traditional markets) and modern trade (supermarkets) in a context where traditional markets represent around 80% of the total sales of unprocessed food. Said differences contribute to limit the expan-sion of modern trade in some megacities. The method employed was based on a survey conducted by the Food and Agriculture Organization of the United Nations (fao) in 2017 to housewives from Lima Metropolitan Area and the use of probabilistic sampling. The attributes that discriminate the group of participants who preferred buying in a traditional market from those who chose a supermarket were evaluated statistically. Results show how personal interactions and the possibilities for bargaining are the differentiating attributes in the group of housewives who prefer the traditional channel. Findings also show that those who are fond of the modern channel allocate greater importance to the attributes of security, hygiene and the offer of parking spots. Finally, we conclude that the differentiating attributes are related to the atmosphere of the location. Hence, price, va-riety, convenience, and even food freshness are relevant attributes for the purchasing decision, although they cannot be deemed as differentiating attributes.