Analyzing the Localization of Retail Stores with Complex Systems Tools

  • Authors:
  • Pablo Jensen

  • Affiliations:
  • Institut des Systèmes Complexes Rhône-Alpes, IXXI-CNRS, Laboratoire de Physique, Ecole Normale Supérieure de Lyon and LET-CNRS, Université Lyon-2, Lyon, France 69007

  • Venue:
  • IDA '09 Proceedings of the 8th International Symposium on Intelligent Data Analysis: Advances in Intelligent Data Analysis VIII
  • Year:
  • 2009

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Abstract

Measuring the spatial distribution of locations of many entities (trees, atoms, economic activities, ...), and, more precisely, the deviations from purely random configurations, is a powerful method to unravel their underlying interactions. I study here the spatial organization of retail commercial activities. From pure location data, network analysis leads to a community structure that closely follows the commercial classification of the US Department of Labor. The interaction network allows to build a 'quality' index of optimal location niches for stores, which has been empirically tested.