Study on the direction of Domestic·Foreign Distribution Regulations and Domestic Distribution Regulations Policy: Focusing on Large retail stores and SSM

Competitiveness of small and medium distribution companies is being weakened by entrance of large distribution companies and SSM with nation-wide distribution network and capital power into street markets, removing the survival basis of small merchants. Under such problems, there has been a recent reinforcement of distribution regulations on large distribution companies targeted to help small and medium sized merchants. The purpose of this study is to review domestic and foreign distribution regulations and to provide directivity that must be considered for establishment of domestic distribution policy in the future. First, position of large scale stores and SSM must be limited with consideration on zoning characteristics through improvement of urban planning system. Second, since preclusion or extreme restriction on the business of large retailers can be regarded as infringement of basic rights such as freedom of business, regulations must be pursued in the direction that considers theory of market economy respecting the right of consumers to choose. Third, rational amendment of「Distribution Industry Development Act」should be carried out by examining duplicity of current legal assistances and regulations with other laws. Lastly, the government must fully reorganize its assistance policy for small and medium distribution companies so that they can engage in differentiated competition with large retailers based on their own strengths, thereby allowing all interested parties to persist.