Changing Economic Conditions of Small Rural Trade Areas: Some Notes on the Presence of Discount Retail Chains

Abstract

Discount retail chain (DRC) stores have exhibited phenomenal growth in recent years, and some have adopted strategies of locating in small rural communities. However, considerable controversy has developed concerning their impact on small rural economies. In fact, some communities have attempted to block their entry. This paper examines U.S. Department of Commerce Census data in an attempt to determine if DRCs have an impact on the economic environment of rural trade areas. It appears that counties in which DRCs are located may be economically more viable than counties without them.