The Connection between Enhanced-Category Departments and Stores-Within-A-Store

An enhanced-category department in Whole Foods, Altamonte Springs, FL As most people in the retail industry know, a store-within-a-store is an agreement a retailer makes to lease a part of its floor space to another company. The lessee then runs an independent store or sells its products out of a distinctly designed area. Studies by the Wharton School found that both parties usually benefit from this arrangement. The retailer makes money by renting space and doing without the headaches of a labor intensive operation, the renting company benefits from the additional foot traffic and the captive audience attracted by the retailer. Both parties make a higher profit than they would through a s

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