Journal of Industry, Competition and Trade

, Volume 15, Issue 2, pp 87–104 | Cite as

Chain-Store Pricing and the Structure of Retail Markets



This paper examines competition between chain-stores and independent retailers in the UK retail opticians’ market. We demonstrate that the pricing policy adopted by chain-stores can determine the impact their entry has on independent retailers. Crucially, in this market the chain-store retailers set an identical national price across all local markets. Our results suggest that this pricing strategy lessens the detrimental effect competition from chain-stores has on independent retailers.


Retail competition Chain-stores National pricing 

JEL Classification

L11 L13 


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Copyright information

© Springer Science+Business Media New York 2014

Authors and Affiliations

  1. 1.Economics and Strategy Group, Aston Business SchoolAston UniversityBirminghamUK

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