Journal article

Publication year: 2020

Pages: 139-156

Journal: Journal of Industry, Competition and Trade

Volume number: 20

Issue number: 1

ISSN: 1566-1679

eISSN: 1573-7012

DOI Link: https://doi.org/10.1007/s10842-019-00316-1

Publisher: Springer

Abstract: 
Aldi, the biggest discounter in Germany, started to systematically extend shopping hours of its stores in 2016. We interpret the decision to extend opening hours of a specific Aldi store as entry into a new market. By using a novel data set containing the opening hours of nearly all German grocery retailers, we find the following interesting correlations: The probability that a given Aldi outlet extends its shopping hours past 8 p.m. (i) increases if nearby Aldi outlets already extended shopping hours and (ii) decreases if nearby stores run by Aldi's close competitors did not expand shopping hours past 8 p.m.. These results seem surprising in conjunction with cannibalization and residual demand, but can be explained by consumer and firm learning or market expansion.

Harvard Citation style: De Haas, S., Herold, D. and Schaefer, J. (2020) Shopping Hours and Entry-an Empirical Analysis of Aldi's Opening Hours, Journal of Industry, Competition and Trade, 20(1), pp. 139-156. https://doi.org/10.1007/s10842-019-00316-1

APA Citation style: De Haas, S., Herold, D., & Schaefer, J. (2020). Shopping Hours and Entry-an Empirical Analysis of Aldi's Opening Hours. Journal of Industry, Competition and Trade. 20(1), 139-156. https://doi.org/10.1007/s10842-019-00316-1