Scale economies of department stores in the People's Republic of China

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Abstract:

This paper statistically tested three hypotheses about relationships between the size and efficiency of department stores in the People's Republic of China. The results show that the enlargement of the size of stores in China had a positive impact on the efficiency of large and medium-sized department stores, and that these department stores derived their economies of scale from cost savings rather than from an increase of the average transaction size.

Keywords: DEPARTMENT STORE; ECONOMIES OF SCALE; EFFICIENCY; PEOPLE'S REPUBLIC OF CHINA; RETAILING

Document Type: Research Article

DOI: http://dx.doi.org/10.1080/09593960110073313

Publication date: January 1, 2002

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