Retail location theory: evolution and evaluation

Abstract

Sixty years after the four cornerstones of retail location theory were laid down, a substantial conceptual edifice has been constructed on top of central place theory, spatial interaction theory, bid rent theory and the principle of minimum differentiation. Although normative in ethos and unrealistic in assumptions, the concepts continue to attract considerable academic attention and not a little controversy. This paper reviews the literature on retail location theory, describes some recent and comparatively unsung advances, presents a simple model of conceptual evolution and draws attention to several neglected research issues.

Keywords:

• Retail location theory
• central place theory
• spatial interaction theory
• bid rent theory
• principle of minimum differentiation