““In retailing, more is (mostly) seen as better. Competition is fiercest on the most basic grocery items: some 400 lines, which in many cases are still sold at Michael Cullen-type margins. If a store stocks only 1000 lines, only a maximum of 600 can be sold at a higher margin. A store with several thousand lines has more scope for making good margins for the vast majority of its lines (in particular fresh foods and non-food). Thus, a larger retail unit, all other things being equal, will make better margins than a smaller one. A””
