RETAIL EXAM #2
location >>> is typically one of the most influential considerations in a customer's store-choice decision
competitive advantage >>> location decisions have strategic importance because they can be used to
develop a sustainable:
unplanned locations >>> two basic types of location:
-do not have centralized management that determines what stores will be in a development, where the
specific stores will be located, and how they will be operated
planned locations >>> two basic types of location:
-the shopping center developer and/or manager makes and enforces policies that govern store
operations, such as the hours that a store must be opened
common area maintenance (CAM) >>> b. Shopping center management also maintains the common
facilities such as the parking area—an arrangement referred to as _____________—and is responsible
for providing security, parking lot lighting, outdoor signage for the center, advertising, special events to
attract consumers, and so on
gross leasable area (GLA) >>> is the real estate industry's term for the total floor area designed for the
retailer's occupancy and exclusive use, including any basements, mezzanines, or upper floors
trade area >>> is the geographic area that encompasses most of the customers who would patronize a
specific retail site
freestanding sites >>> retail locations for an individual, isolated store unconnected to other stores;
however, they might be near other freestanding stores or near a shopping center
i. Convenience for customers (easy access and parking)
ii. High vehicular traffic and visibility to attract customers driving by
iii. Modest occupancy costs
iv. Fewer restrictions on signs, hours, or merchandise that might be imposed by management of planned
locations >>> advantages of free standing sites:
,i. Limited trading area
ii. Have higher occupancy costs than shopping centers because they do not have other retailers to share
the common area maintenance costs
iii. Generally have little pedestrian traffic, limiting the number of customers who might drop in when
walking by >>> disadvantages of free standing sites:
freestanding locations >>> CVS, Walgreens and Rite Aid have shifted their emphasis from strip mall to
__________ because they want accessible drive-through windows for pharmacies, more floor space,
and better access for receiving merchandise
outparcels >>> freestanding stores that are not connected to other stores in a shopping center, but are
located on the premises of a shopping center, typically in a parking area
1. They offer customers the convenience of a drive-through window, extensive parking, and clear
visibility from the street >>> advantages of outparcels
the central business district (CBD) >>> is the traditional downtown financial and business area in a city
or town
central business district (CBD) >>> i. High level of pedestrian traffic
ii. Shopping flow in the evening and on weekends is slow
iii. Vehicular traffic is limited due to congestion
iv. Parking problems reduce consumer convenience
urban decay >>> is the process of a previously functioning city or part of a city, falling into disrepair
relocate from the inner city to the suburbs >>> main cause of urban decay is when businesses:
inner city >>> is a low income residential area within a large city
gentrification >>> many inner city areas are going through a process of ________—the renewal and
rebuilding of offices, housing, and retailers in the deteriorating areas—coupled with an influx of more
affluent people that displaces the former, lower-income residents
main street >>> refers to the traditional downtown shopping area in smaller towns and secondary
shopping areas in large cities and their suburbs
shopping center >>> is a group of retail and other commercial establishments that are planned,
developed, owned, and managed as a single property
anchors >>> most shopping centers have at least one or two major retailers, referred to as ________,
such as Macy's, Walmart, or Kroger
, property management firm >>> shopping centers are generally managed by a shopping center
________, which is a company that specializes in developing, owning, and/or managing shopping
centers
strip shopping centers >>> a. Convenience, neighborhood, and community shopping centers (also
called ___________) are attached rows of open-air stores, with onsite parking usually located in the
front of the stores
power centers >>> a. Shopping centers that consist primarily of collections of big box retail stores, such
as full-line discount stores (Target), off-price stores (Marshalls), warehouse clubs (Costco), and category
specialists (Lowe's, Staples, Michaels, Best Buy)
power centers >>> b. Consist of a collection of freestanding (unconnected) "anchor" stores and only a
minimum number of smaller specialty store tenants
shopping malls >>> are enclosed, climate-controlled, lighted shopping centers with retail stores on one
or both sides of an enclosed walkway
parking >>> in enclosed shopping malls, _______ is usually provided around the perimeter of the mall
regional malls; super-regional malls >>> c. Shopping malls are classified as either ________ (less than
800,000 square feet) or _________ (more than 800,000 square feet)
super regional centers >>> are similar to regional centers, but because of their larger size, they have
more anchors, specialty stores, and recreational opportunities and draw from a larger geographic area
i. Attract more shoppers and have a large trade area because of the number of stores and the
opportunity to combine shopping with an inexpensive form of entertainment
ii. Generate significant pedestrian traffic inside the mall and have sales per square foot almost twice that
of power centers and strip centers
iii. Don't have to worry about the weather
iv. Ensure level of consistency that benefits all the tenants >>> advantages of enclosed shopping malls:
lifestyle centers >>> a. Are shopping centers that have an open-air configuration of specialty stores,
entertainment, and restaurants, with design ambience and amenities such as fountains and street
furniture
b. Attracted because of their outdoor attractions such as a pop-up fountain, ice cream carts, etc.
c. Less retail space than those of enclosed malls
d. May attract fewer customers than enclosed malls
e. Located near high-income areas
location >>> is typically one of the most influential considerations in a customer's store-choice decision
competitive advantage >>> location decisions have strategic importance because they can be used to
develop a sustainable:
unplanned locations >>> two basic types of location:
-do not have centralized management that determines what stores will be in a development, where the
specific stores will be located, and how they will be operated
planned locations >>> two basic types of location:
-the shopping center developer and/or manager makes and enforces policies that govern store
operations, such as the hours that a store must be opened
common area maintenance (CAM) >>> b. Shopping center management also maintains the common
facilities such as the parking area—an arrangement referred to as _____________—and is responsible
for providing security, parking lot lighting, outdoor signage for the center, advertising, special events to
attract consumers, and so on
gross leasable area (GLA) >>> is the real estate industry's term for the total floor area designed for the
retailer's occupancy and exclusive use, including any basements, mezzanines, or upper floors
trade area >>> is the geographic area that encompasses most of the customers who would patronize a
specific retail site
freestanding sites >>> retail locations for an individual, isolated store unconnected to other stores;
however, they might be near other freestanding stores or near a shopping center
i. Convenience for customers (easy access and parking)
ii. High vehicular traffic and visibility to attract customers driving by
iii. Modest occupancy costs
iv. Fewer restrictions on signs, hours, or merchandise that might be imposed by management of planned
locations >>> advantages of free standing sites:
,i. Limited trading area
ii. Have higher occupancy costs than shopping centers because they do not have other retailers to share
the common area maintenance costs
iii. Generally have little pedestrian traffic, limiting the number of customers who might drop in when
walking by >>> disadvantages of free standing sites:
freestanding locations >>> CVS, Walgreens and Rite Aid have shifted their emphasis from strip mall to
__________ because they want accessible drive-through windows for pharmacies, more floor space,
and better access for receiving merchandise
outparcels >>> freestanding stores that are not connected to other stores in a shopping center, but are
located on the premises of a shopping center, typically in a parking area
1. They offer customers the convenience of a drive-through window, extensive parking, and clear
visibility from the street >>> advantages of outparcels
the central business district (CBD) >>> is the traditional downtown financial and business area in a city
or town
central business district (CBD) >>> i. High level of pedestrian traffic
ii. Shopping flow in the evening and on weekends is slow
iii. Vehicular traffic is limited due to congestion
iv. Parking problems reduce consumer convenience
urban decay >>> is the process of a previously functioning city or part of a city, falling into disrepair
relocate from the inner city to the suburbs >>> main cause of urban decay is when businesses:
inner city >>> is a low income residential area within a large city
gentrification >>> many inner city areas are going through a process of ________—the renewal and
rebuilding of offices, housing, and retailers in the deteriorating areas—coupled with an influx of more
affluent people that displaces the former, lower-income residents
main street >>> refers to the traditional downtown shopping area in smaller towns and secondary
shopping areas in large cities and their suburbs
shopping center >>> is a group of retail and other commercial establishments that are planned,
developed, owned, and managed as a single property
anchors >>> most shopping centers have at least one or two major retailers, referred to as ________,
such as Macy's, Walmart, or Kroger
, property management firm >>> shopping centers are generally managed by a shopping center
________, which is a company that specializes in developing, owning, and/or managing shopping
centers
strip shopping centers >>> a. Convenience, neighborhood, and community shopping centers (also
called ___________) are attached rows of open-air stores, with onsite parking usually located in the
front of the stores
power centers >>> a. Shopping centers that consist primarily of collections of big box retail stores, such
as full-line discount stores (Target), off-price stores (Marshalls), warehouse clubs (Costco), and category
specialists (Lowe's, Staples, Michaels, Best Buy)
power centers >>> b. Consist of a collection of freestanding (unconnected) "anchor" stores and only a
minimum number of smaller specialty store tenants
shopping malls >>> are enclosed, climate-controlled, lighted shopping centers with retail stores on one
or both sides of an enclosed walkway
parking >>> in enclosed shopping malls, _______ is usually provided around the perimeter of the mall
regional malls; super-regional malls >>> c. Shopping malls are classified as either ________ (less than
800,000 square feet) or _________ (more than 800,000 square feet)
super regional centers >>> are similar to regional centers, but because of their larger size, they have
more anchors, specialty stores, and recreational opportunities and draw from a larger geographic area
i. Attract more shoppers and have a large trade area because of the number of stores and the
opportunity to combine shopping with an inexpensive form of entertainment
ii. Generate significant pedestrian traffic inside the mall and have sales per square foot almost twice that
of power centers and strip centers
iii. Don't have to worry about the weather
iv. Ensure level of consistency that benefits all the tenants >>> advantages of enclosed shopping malls:
lifestyle centers >>> a. Are shopping centers that have an open-air configuration of specialty stores,
entertainment, and restaurants, with design ambience and amenities such as fountains and street
furniture
b. Attracted because of their outdoor attractions such as a pop-up fountain, ice cream carts, etc.
c. Less retail space than those of enclosed malls
d. May attract fewer customers than enclosed malls
e. Located near high-income areas
