The "wheel of retailing" theory fails to explain some major retailing developments, such as vending machines and convenience food stores, which did not enter the market with a low-price emphasis.

Question

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The wheel of retailing theory predicts that new retail formats enter the market with low prices and low service and then gradually increase in price and service level. However, vending machines and convenience food stores did not follow this pattern, as they typically offered convenience and speed over low prices. Therefore, the theory fails to explain their emergence in the market.

The "Wheel of Retailing" Theory Fails to Explain Some Major