Deregulation of shopping hours: the impact on independent retailers and chain stores

Tobias Wenzel

Research output: Contribution to journalArticle

13 Citations (Scopus)

Abstract

This paper studies shopping hour decisions by retail chains and independent competitors. We use a Salop-type model in which retailers compete in prices and shopping hours. Our results depend significantly on efficiency differences between the retail chain and the independent retailer. If the efficiency difference is small, the independent retailer may choose longer shopping hours than the retail chain and may therefore gain from deregulation at the expense of the retail chain. The opposite result emerges when the efficiency difference is large. Then, the retail chain may benefit whereas the independent retailer loses from deregulation.

Original languageEnglish
Pages (from-to)145-166
Number of pages22
JournalThe Scandinavian Journal of Economics
Volume113
Issue number1
DOIs
Publication statusPublished - Mar 2011

Keywords

  • Business hours
  • Deregulation
  • Retailing

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