Retailers try to locate their stores close to other retailers that appeal to similar target markets. Which of the following statements is not true in explaining how and why retailers do this?
A. The principle of cumulative attraction states that a cluster of similar and complementary retailing activities have greater drawing power than isolated stores that engage in the same retailing activities.
B. Customers want to shop where they will find a good assortment of merchandise.
C. Retailers consider complementary retailers in location selections.
D. Retailers must avoid locating close to other retailers that compete directly.
E. Retailers such as the Build-a-Bear Workshop selling stuffed animal toys and the Disney Store try to have locations close to each other.
Answer: D
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