2001 Volume 56 Issue 1 Pages 1-20
In line with the progress in informatization in the distribution structure, a power shift to retailing, chain stores in particular, is rapidly taking place. In the process of responding to this shift in power, consumer goods manufacturers are promoting change in their business structure, which is having a major impact on the functions and locations of branches. A business sytem has been adopted in the business activities of consumer goods manufacturers, under which branches or sales offices have jurisdiction over all territories in their charge, with prefectures as basic units. On the other hand, as informatization makes headway, a switch to a stratified business system is in progress under which departments are changed according to the business types and store networks of client businesses. Under this stratification of the business structure, authority is concentrated in headquarters, as well as in wide-area bases such as branch offices/integrated branch stores, while reorganization of branch stores and sales offices whose relative authority has been reduced is being promoted. Such spatial change is businesses is likely to have major impact on the stratified structure and growth strategy of cities as well. In regional cities where branch stores and sales offices have been specifically targeted for reorganization, a decline in employment and tax revenue, as well as a hollowing-out of city centers, is feared.