Spatial Competition With Endogenous Location Choices: An Application To Discount Retailing

摘要

strong returns to spatial differentiation in this industry. Target stores fare well under competition except when these competitors are in close proximity.rnWal-Mart's supercenter format is found to be the most formidable player as it substantially impacts competitors even at a large distance. We also find significant asymmetries across players in -their response to market conditions and competition interactions.