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What is the major factor that should be considered when establishing a retail shop?

a. the facilities for storing goods
b. the distance to the factory
c. a place for the customers to resort to
d. transport facilities

1 Answer

4 votes

Final answer:

When establishing a retail shop, the key factor is (a) the store location's accessibility to customers, as it highly influences the potential foot traffic and the convenience for the target market.

Step-by-step explanation:

The major factor to be considered when establishing a retail shop is its proximity to customers, which relates to the overall store location. An ideal location is close to target customers and has high foot traffic, making it convenient and accessible. This is especially important for attracting spontaneous walk-in clients. While storage facilities and distance to the factory can impact logistics and supply chain efficiency, and transport facilities contribute to the ease of access for both customers and deliveries, the ultimate determinant of a retail store's potential success is its accessibility to a large customer base.


Considering a place for the customers to resort to is crucial, as it encompasses factors like the store environment and the customer's shopping experience. This factor reflects the importance of identifying a spot that is not only reachable but also appealing and convenient for the target market. Hence, the convenience of the store's location to its customers is a primary factor to consider above other logistical concerns when setting up a retail shop.

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