Company outlets may benefit independent retailers

11/2/2009 | Knowledge@Wharton

A growing number of manufacturers -- including Apple, Nike and Ralph Lauren -- run their own retail stores, even though there are plenty of independent outlets ready to sell their products. A new study suggests that the extra marketing buzz created by official stores can increase sales across the board, allowing both indie retailers and official outlets to thrive. "When consumer demand is affected by the store's own efforts and competitor marketing efforts at the retail level, it is possible to find 'complementary' benefits for both parties," the researchers write.

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