State and Development of Retail Chains in the Russian Regions

Abstract:

Retail chains have a positive effect on the socioeconomic state of a region. Development of retail chains in problematic regions based on the best practices will enable a reduction in the territorial disparities of the Russian economy. In the article, we assess the state and development of retail chains in the Russian regions. In particular, we group regions based of the retail chain state and development; we identify the leading regions by the state and pace of retail chain development and also the regions with a low level and a diminishing number of retail chains. The results demonstrated that despite the low level of retail chain development in most regions there is a general positive trend. In 93.9% of the Russian regions, the share of retail chains in the retail turnover is increasing. Saint Petersburg, Leningrad Region, the Republic of Karelia, and Murmansk Region, which are located in the Northwestern Federal District, are the leaders in the state and development of retail chains. Khabarovsk Territory, the Kabardino-Balkar Republic, the Republic of Dagestan, the Chechen Republic, Sakhalin Region, Chukotka Autonomous Region, the Republic of Adygea, and Tula Region are the most problematic for retail chains. The study results can be used by the federal and regional authorities and retail chain management, for example, for the development of a regional expansion strategy.