Profit margins in Japanese retailing
Using a rich data source, we explain differences and developments in profit margins of medium-sized stores in Japan. We conclude that the protected environment enables the retailer to pass on all operating costs to the customers and to obtain a relatively high basic income. High service levels are positively related with high profit margins, illuminating the importance of service in Japan. Small store competition does not affect performance of medium-sized stores, because small stores operate under circumstances different from those of medium and large stores.
|Keywords||Japan, medium-sized business, panel data, profit margins, retailing|
Potjes, J.C.A., & Thurik, A.R.. (1993). Profit margins in Japanese retailing. Japan and the World Economy, 337–362. Retrieved from http://hdl.handle.net/1765/9658