I think this "trickle down" effect is a bit of a myth - how much business does the big Tesco 'bring in' to the local shops on Acre Lane for instance? Very little I suspect, esp. given a lot of Tesco shoppers drive there in their cars or use the bus. Why would you use the chemists or the off licence on Tulse Hill if everything is available in a big Sainsburys right there?
I've got some research on the effect of big supermarkets moving into an area....I'll dig it out.
This is far from comprehensive, but here's some of the stats and research I dug out about supermarkets and how they affect local areas when they move in.
- locally owned/independent businesses tend to more embedded in the community, therefore the money they receive and pay out to suppliers/staff etc is more likely to circulate in the local economy. On average, for every £1 spent in a supermarket, 90 pence leaves the local area (nef/Countryside Agency 2002)
- spending money with local suppliers means money gets recycled around the local community. Northumberland Council did a study (not just related to retail, but also other local businesses) which showed £1 spent with a local supplier created £1.76 worth of value to the local economy, whereas £1 spent with outside suppliers only created 36 pence of value. (nef 2005)
- supermarkets can lead to a loss in skills in a local area. A variety of skills/jobs such as butchery, bakery, dairy people, vegetable dealers/suppliers, fruiterers, people running their own businesses etc get lost, and replaced with lower-skilled jobs like shelf stackers, warehouse operatives and checkout clerks. (Haralambos & Holborn: Sociology 1995)
- there is also a stat which shows that - despite supermarkets claiming to 'create' jobs - new supermarkets on average lead to an overall loss of employment in local retail when measured some time after opening (I think two years iirc). Fewer people are actually employed overall - can't remember the actual % reduction though. (Can't find the exact reference for that one, sorry...will keep looking)
- local convenience stores create more jobs in terms of sales than supermarkets. Figures for 2004 show these shops, which employ over half a million people, took only £42,000 worth of turnover to create a job. Supermarkets take £95,000 of sales to create a job. E.g. Tesco (£29 billion turnover) employed 250,000 people while small grocery shops (£21 billion turnover) employed double the number of people. (The Grocer 15/05/2004)
There's loads, loads more. Check out
http://www.tescopoly.org/index.php?option=com_content&task=view&id=39&Itemid=176 for example...
There was a good quote from Benjamin Zephaniah (poet) when he was interviewed about Queens Market in Newham and the threat from supermarkets. He talked about how supermarkets could never create the community interactions which the market and local shops did. He said:
"I have spoken to people who recall when the customers were all German immigrants and someone else who remembers when they were all Jewish. I go there sometimes and you see the white, middle-aged guys who sell to the Asian ladies and have learned a bit of Urdu."