Public Speaking - The Challenge of Owning a Small Business .
In order to truly debate between big box retail versus small "mom and pop" stores, one must define exactly what each term means. To be characterized as big box the store normally occupies more than 50,000 square feet, derives profits from high sales, acres of parking, rectangular in shape, appears to be everywhere, and varying market niches. "The products do not usually undergo a value added process before sold to the final consumer" (Aghazaden, 2001). In addition to having know profound planning impact on the landscape of the community. .
Let us discuss the benefits of the big box stores. First, big box stores offer low prices just in time and excellent convenience for an ever increasing time-deprived consumer. "Retailers need to concentrate on the business fundamentals of providing quality goods and services, sound marketing strategies, focusing on profitability and exceeding customer expectations"" (Jones, Clarke-Hill, and Hillier, 2001). This epitomizes the big box theory. The big box stores provide financial relief to local economies through sales tax revenues. In the area of variety, big box offers a greater selection of items to choose from. Many big box locations are becoming the one-stop-shop location. Everything a family needs can be found at one location. The strategy is to provide more services to consumers pressed for time. .
"A high level of competitive intensity is important in encouraging leading companies to innovate and in forcing competitors either to adopt the same innovations or to find alternative innovations if they are to survive"" (Baily, 2004). The big boxes create competition. The big boxes provide expanded store hours. Additionally, consumers become conditioned at these stores because the customers know what is being offered and feel comfortable going there. For example, customers can go from one Walmart to another and know what is there and where a particular item is located.
