IDEAS home Printed from https://ideas.repec.org/a/eee/jbrese/v69y2016i2p445-451.html
   My bibliography  Save this article

Estimation of retail sales under competitive location in Mexico

Author

Listed:
  • Merino, María
  • Ramirez-Nafarrate, Adrian

Abstract

This study proposes a useful combination of a spatial interaction model and simulation approaches for the reliable estimation of retail interactions and store sales based on data of consumer shopping behavior. The real case study empirically demonstrates this approach by building an operational retail interaction model to estimate expenditure flows from households to retail stores in Mexico. The analysis compares the results from the proposed forecasting method to actual performance data. The forecasting accuracy is satisfactory even when little retail and consumer information is available.

Suggested Citation

  • Merino, María & Ramirez-Nafarrate, Adrian, 2016. "Estimation of retail sales under competitive location in Mexico," Journal of Business Research, Elsevier, vol. 69(2), pages 445-451.
    • Handle: RePEc:eee:jbrese:v:69:y:2016:i:2:p:445-451
    DOI: 10.1016/j.jbusres.2015.06.050
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0148296315002817
    Download Restriction: Full text for ScienceDirect subscribers only
    File URL: https://libkey.io/10.1016/j.jbusres.2015.06.050?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Cliquet, Gérard & Guillo, Pierre-Alain, 2013. "Retail network spatial expansion: An application of the percolation theory to hard discounters," Journal of Retailing and Consumer Services, Elsevier, vol. 20(2), pages 173-181.
    2. Dinesh Kumar Gauri & Janos Gabor Pauler & Minakshi Trivedi, 2009. "Benchmarking Performance in Retail Chains: An Integrated Approach," Marketing Science, INFORMS, vol. 28(3), pages 502-515, 05-06.
    3. Masao Nakanishi & Lee G. Cooper, 1982. "Technical Note—Simplified Estimation Procedures for MCI Models," Marketing Science, INFORMS, vol. 1(3), pages 314-322.
    4. Boufounou, Paraskevi V., 1995. "Evaluating bank branch location and performance: A case study," European Journal of Operational Research, Elsevier, vol. 87(2), pages 389-402, December.
    5. Gérard Cliquet & Pierre-Alain Guillo, 2013. "Retail network spatial expansion: An application of the percolation theory to hard discounters," Post-Print halshs-00773446, HAL.
    6. Tomoki Nakaya & A. Fotheringham & Kazumasa Hanaoka & Graham Clarke & Dimitris Ballas & Keiji Yano, 2007. "Combining microsimulation and spatial interaction models for retail location analysis," Journal of Geographical Systems, Springer, vol. 9(4), pages 345-369, December.
    7. Redondo, Juana L. & Fernández, José & Arrondo, Aránzazu G. & García, Inmaculada & Ortigosa, Pilar M., 2012. "Fixed or variable demand? Does it matter when locating a facility?," Omega, Elsevier, vol. 40(1), pages 9-20, January.
    8. Oded Berman & Dmitry Krass, 2002. "Locating Multiple Competitive Facilities: Spatial Interaction Models with Variable Expenditures," Annals of Operations Research, Springer, vol. 111(1), pages 197-225, March.
    9. Tammy Drezner & Zvi Drezner, 2002. "Validating the Gravity-Based Competitive Location Model Using Inferred Attractiveness," Annals of Operations Research, Springer, vol. 111(1), pages 227-237, March.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Salim Lahmiri, 2020. "A predictive system integrating intrinsic mode functions, artificial neural networks, and genetic algorithms for forecasting S&P500 intra‐day data," Intelligent Systems in Accounting, Finance and Management, John Wiley & Sons, Ltd., vol. 27(2), pages 55-65, April.
    2. Han, Shuihua & Jia, Xinyun & Chen, Xinming & Gupta, Shivam & Kumar, Ajay & Lin, Zhibin, 2022. "Search well and be wise: A machine learning approach to search for a profitable location," Journal of Business Research, Elsevier, vol. 144(C), pages 416-427.
    3. Fildes, Robert & Ma, Shaohui & Kolassa, Stephan, 2019. "Retail forecasting: research and practice," MPRA Paper 89356, University Library of Munich, Germany.
    4. Vikas Singla & Harpreet Rai, 2018. "Examining the Effectiveness of Huff Model in Store Performance Assessment," Jindal Journal of Business Research, , vol. 7(2), pages 122-134, December.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Küçükaydin, Hande & Aras, Necati & Kuban AltInel, I., 2011. "Competitive facility location problem with attractiveness adjustment of the follower: A bilevel programming model and its solution," European Journal of Operational Research, Elsevier, vol. 208(3), pages 206-220, February.
    2. Vyt, Dany & Jara, Magali & Cliquet, Gérard, 2017. "Grocery pickup creation of value: Customers’ benefits vs. spatial dimension," Journal of Retailing and Consumer Services, Elsevier, vol. 39(C), pages 145-153.
    3. H Küçükaydın & N Aras & İ K Altınel, 2011. "A discrete competitive facility location model with variable attractiveness," Journal of the Operational Research Society, Palgrave Macmillan;The OR Society, vol. 62(9), pages 1726-1741, September.
    4. Alexandru Constantin Petrache & Madalina Maticiuc, 2016. "From Family-Owned Business To Logistics Centers - The Case Of Fmcg Chains," Annals of Faculty of Economics, University of Oradea, Faculty of Economics, vol. 1(1), pages 952-958, July.
    5. Firoozeh Kaveh & Reza Tavakkoli-Moghaddam & Chefi Triki & Yaser Rahimi & Amin Jamili, 2021. "A new bi-objective model of the urban public transportation hub network design under uncertainty," Annals of Operations Research, Springer, vol. 296(1), pages 131-162, January.
    6. Aversa, Joseph & Hernandez, Tony & Doherty, Sean, 2021. "Incorporating big data within retail organizations: A case study approach," Journal of Retailing and Consumer Services, Elsevier, vol. 60(C).
    7. Leenheer, J. & Bijmolt, T.H.A. & van Heerde, H.J. & Smidts, A., 2002. "Do Loyalty Programs Enhance Behavioral Loyalty : An Empirical Analysis Accounting for Program Design and Competitive Effects," Discussion Paper 2002-65, Tilburg University, Center for Economic Research.
    8. Halkin Andrii, 2020. "Assessing the Utility of Retailer Based on Generalized Costs of End-Consumers," Foundations of Management, Sciendo, vol. 12(1), pages 31-42, January.
    9. S Rezapour & R Zanjirani Farahani & T Drezner, 2011. "Strategic design of competing supply chain networks for inelastic demand," Journal of the Operational Research Society, Palgrave Macmillan;The OR Society, vol. 62(10), pages 1784-1795, October.
    10. Brockett, Patrick L. & Charnes, Abraham & Cooper, William W. & Learner, David & Phillips, Fred Y., 1995. "Information theory as a unifying statistical approach for use in marketing research," European Journal of Operational Research, Elsevier, vol. 84(2), pages 310-329, July.
    11. Eri Nakamura & Fumitoshi Mizutani, 2019. "Necessary demand and extra demand of public utility product: identification using the stochastic frontier model," Economia e Politica Industriale: Journal of Industrial and Business Economics, Springer;Associazione Amici di Economia e Politica Industriale, vol. 46(1), pages 45-64, March.
    12. Rafael Suárez-Vega & Dolores Santos-Peñate & Pablo Dorta-González, 2014. "Location and quality selection for new facilities on a network market," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 52(2), pages 537-560, March.
    13. Adeniyi, Oluwole & Brown, Abraham & Whysall, Paul, 2020. "Retail location preferences: A comparative analysis," Journal of Retailing and Consumer Services, Elsevier, vol. 55(C).
    14. Fay, Scott & Feng, Cong & Patel, Pankaj C., 2022. "Staying small, staying strong? Retail store underexpansion and retailer profitability," Journal of Business Research, Elsevier, vol. 144(C), pages 663-678.
    15. Lin, Yun Hui & Wang, Yuan & Lee, Loo Hay & Chew, Ek Peng, 2022. "Omnichannel facility location and fulfillment optimization," Transportation Research Part B: Methodological, Elsevier, vol. 163(C), pages 187-209.
    16. Thomas-Agnan, Christine & Morais, Joanna, 2019. "Covariates impacts in compositional models and simplicial derivatives," TSE Working Papers 19-1057, Toulouse School of Economics (TSE).
    17. R Aboolian & O Berman & D Krass, 2008. "Optimizing pricing and location decisions for competitive service facilities charging uniform price," Journal of the Operational Research Society, Palgrave Macmillan;The OR Society, vol. 59(11), pages 1506-1519, November.
    18. Lee Cooper & Masao Nakanishi, 1983. "Two logit models for external analysis of preferences," Psychometrika, Springer;The Psychometric Society, vol. 48(4), pages 607-620, December.
    19. Morais, Joanna & Simioni, Michel & Thomas-Agnan, Christine, 2016. "A tour of regression models for explaining shares," TSE Working Papers 16-742, Toulouse School of Economics (TSE).
    20. Strang, Kenneth David, 2012. "Importance of verifying queue model assumptions before planning with simulation software," European Journal of Operational Research, Elsevier, vol. 218(2), pages 493-504.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:jbrese:v:69:y:2016:i:2:p:445-451. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: http://www.elsevier.com/locate/jbusres .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.