FENG-SHUI AND RETAIL LOCATION IN SINGAPORE

Abstract

Feng-shui is perceived as part of Chinese culture spanning some 4000 years. Nevertheless, not many Chinese practice or even have any knowledge of what it really is and many have misconceptions about it. The West on the other hand, has trouble coming to terms with the metaphysical aspects of feng-shui, some or if not most principles of which defy the laws of physics. However, recently, feng-shui has been given a modern revival and many companies and firms (including western ones) have been looking to feng-shui to improve their fortunes. In view of this, this study has, using a quantitative approach, attempted to (i) determine if there exists an awareness offeng-shui today and (ii) to determine the relative importance offeng-shui in retailers' decision to locate when juxtaposed to existing Western literature on retail location on the micro and macro scales. Western literature espousing the Central Place Theory, the bid rent theory, principle of minimum differentiation and retail marketing geography have sought to explain the urban and spatial patterns of cities and shopping centers or districts, with no reference to fengshui and its potential benefits which may affect a retailer's decision to locate. The research hence attempted to investigate how retailers responded to these theories. Generally, retailers viewed “accessibility of mall to shoppers", “overall good image and reputation of mall" as the main reasons for their present location - very much in line with the long-established theories of retail location. In examining if there exists an awareness of feng-shui and its relative importance compared to other attributes, quantitative analysis of the mean ratings and statistical tools like Chi-Square were adopted. Research findings have showed that presently, there is a general lack of awareness offeng-shui. While results have also shown that Asian retailers place a higher emphasis on feng-shui, it is still not a major consideration for retailers in deciding to locate. To conclude, this study also provides directions for future research and explores various implications that real estate developers may deem to be of interest.