RETAIL LOCATION AND CONSUMER BEHAVIOR

Abstract

Central place theory is the theory pertaining to the spatial aspects of retail and service business. Among these spatial aspects are the location and groupings of central functions, the consequent size and spacing of central places, consumer travel behavior, and the size, shape, and arrangement of trade areas. This paper has attempted to view these aspects in their interdependence at both the aggregate and elemental levels of inquiry, and to present some theoretical implications of the findings. Of interest are the recognition that the basic requirements of the theory (thresholds and ranges) are satisfied in the Iowa case, and the verification of the major postulate of the theory (the hierarchy). While the spatial pattern of centers conforms to a particular set of location principles (the principles of transportation), the nesting of trade areas does not, due to the importance of the information content of central places (number of central functions performed) in consumers' shopping and travel be havior.

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