Why do stores cluster together?
A) to decrease competition
B) to increase their customer pulling power
C) to take advantage of franchise agreements
D) to create retailer cooperatives
E) to standardize the service mix

Question

Quizplus · Accepted Answer

Stores cluster together to increase their customer pulling power. By being in close proximity to other stores, they can attract more customers who are already in the area to come into their store as well. This is known as the "agglomeration effect."

Why Do Stores Cluster Together