Korea convenience store boom causes concern
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Around 15 convenience stores were opened in South Korea every day on average last year.
And the Korea convenience store boom is worrying a ruling lawmaker, who has urged the nation’s fair trade watchdog to seek measures to avoid excessive competition in the market.
According to the data compiled by Rep. Yoo Ui-dong of the Saenuri Party, 5508 convenience stores were newly established in 2015 alone, casting concerns over a potential oversupply of such shops in the domestic market.
Yoo said while the numbers may seem to reflect the boom in the industry, such a sharp gain may have an adverse impact on the livelihoods of the shop owners.
“Currently, we do not have a law that can regulate the opening of a new convenience store right next to another,” Yoo said.
“The Fair Trade Commission needs to come up with measures to limit the number of new shops.”
Questions & Answers
Q.Who is raising concerns about the increase in convenience stores?
Who is raising concerns about the increase in convenience stores?
Rep. Yoo Ui-dong of the Saenuri Party is worried about the convenience store boom. He has asked the nation's fair trade watchdog to intervene and prevent excessive competition.
Q.What is the primary concern for the shop owners?
What is the primary concern for the shop owners?
The main concern is that the rapid increase in new convenience stores could lead to an oversupply in the market. This oversupply may then negatively affect the livelihoods of existing shop owners.
Q.What kind of measures is the lawmaker suggesting?
What kind of measures is the lawmaker suggesting?
Rep. Yoo is urging the Fair Trade Commission to implement measures to control the number of new convenience stores opening. He highlights the current lack of laws to regulate stores opening next to each other.
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