LOCATIONAL ANALYSIS OF FASHION RETAIL CHAINS

Abstract

Over the past two decades, it has been observed that there is a significant growing number of retail chain stores setting up in Singapore. While most of these chains are located in the central area, there are others, which in line with the recent implementation of government policies in shifting retailing activities to the suburban areas, are mushrooming into the suburban shopping centres and HDB town centres. In view of the growing number of chain stores and their varying locational preferences, this study attempts to carry out a locational analysis on these chain stores by looking at the multitude of factors and elements which attract the chain retailers to a particular shopping venue. Fashion chains are chosen to be the focus of the study. The analysis is carried out by examining the locational needs of these stores. The performance resulting from various locational influences is also touched upon. Based on the study, it was found that the location of fashion chain stores are governed by both locational and non-locational factors. Among all, the accessibility and trade area stand out to be the decisive locational factors while the presence of anchor tenant and tenant mix, exposure and visibility are the key nonlocational factors. In addition, it was also found out that the selected fashion chains place varying emphasis on the above factors in their locational decisions which can thus explain their varying locational preferences.