- Wednesday, March 25, 2009
- Building an Evolutionary Model for the Retailing Trade Structure and Its Future Trends In Jordan
Abstract of Ph.D. Thesis in Marketing, 14-Jan-2007
This study aimed at building an evolutionary model to test and analyze the relative importance of the factors affecting the development of retailing trade structure in Jordan, as well as, determining and analyzing its future trends to use this information in preparing suitable plans for improving this important economic sector.
The factors that affect the development of retailing trade structure are as follows: change in consumption patterns, retailers generic competitive strategies, demography, infrastructure, government investment policies and the country economic situation.
This study was based on six main hypotheses related to the potential effects of the previously mentioned factors on the development of retailing trade structure; that is, change in retail stores numbers, sizes, types, and locations.
The study population included two sub populations; the first consisted of all food and non-food retail stores located in Amman city. while the second consisted of the customers who buy from these stores.
The study has come up with the following main results:
- The development of retailing trade structure is affected by the change of consumption patterns, taking into consideration its four sub variables; consumer mobility, preference for higher levels of services and more convenient shopping, preference for varied products with low prices, high quality and in less time, and consumer shopping habits.
- Retailers generic competitive strategies (cost leadership, differentiation, and focus strategy) are also affect the development of retailing trade structure.
- Results also emphasized that the development of retailing trade structure is affected by the change in demographic factors, infrastructure, government investment policies, and the country economic situation. The study proved that these factors have the ability- as a group and with all of its dimensions or sub variables- to explain the development of retailing trade structure. Except the “stores sizes” dimension, the factors could not explain its change.
This study concluded that the development of retailing trade structure is more likely to be explained by a holistic model consisted of three sub models which are as follows: the consumer model that represents the market demand side, the retailer model that represents the market supply side, the demographics, the infrastructure, the government investment policies, and the country economic situation model which represents the macro environment surrounding the equation two sides- consumer and retailer.
In light of the study results, and the scanning of the future trends of the development of retailing trade structure and its implications, the researcher has reached recommendations aiming at assuring the balanced retail sector development and increasing its competitiveness. Thus, the recommendations were of two folds; the first is concerned with the public sector, while the second is concerned with the retailers.