Store Location Theory

Store Location Theory explains how businesses choose where to open their stores to attract the most customers and maximize profit. Factors include proximity to target customers, transportation accessibility, competition, land costs, and visibility. The goal is to find an optimal balance where the store is conveniently accessible for potential buyers while minimizing expenses. Essentially, it’s about strategically selecting a location that ensures high foot traffic and sales potential while considering operational costs. This theory helps businesses make informed decisions about physical placement to succeed in their markets.