Profit margins in Japanese retailing


Article
pp 337-362.
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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


Classifications using Journal of Economic Literature (JEL) Classification System
Automatically Extracted Terms
  • store
  • japanese
  • margin
  • japan
  • retailer
  • profit
  • profit margins
  • retailing
  • shop-type
  • market
  • percentage
  • thurik
  • business
  • effect
  • service
  • percent
  • level
  • coefficient
  • share
  • family