"6 out of 10 Citizens Want Deregulation of Large Mart"

[Asia Economy Reporter Kim Hyewon] A survey revealed that more than half of the nation's population believes that the mandatory holiday closure regulations for large discount stores should be abolished or relaxed. There was also more opposition to the proposed regulations on complex shopping malls and online shopping distribution.

More than half (58.3%) favor abolishing or relaxing large discount store operating regulations... Younger generations voice stronger opinions

On the 24th, the Federation of Korean Industries (FKI) commissioned market research firm Monoresearch to conduct a consumer perception survey regarding distribution regulations on large discount stores. Among the 1,036 respondents, 58.3% said that the mandatory holiday closure system for large discount stores should be abolished or the regulations relaxed. Specifically, 30.8% of consumers said the mandatory closure system should be abolished, while 27.5% preferred regulatory relaxation such as mandatory weekday closures. Those who favored maintaining the current system accounted for 30.1%, and 11.6% believed that stricter regulations such as expanding mandatory closure days were necessary.

Only 8.3% of consumers visited traditional markets to purchase daily necessities when nearby large discount stores were closed on holidays. 59.5% of consumers reported visiting both stores within large discount stores or complex shopping malls and surrounding shops simultaneously.

Based on these results, the FKI argued that "the protective effect of mandatory holiday closures of large discount stores on traditional markets is not significant, and operating regulations on large discount stores and complex shopping malls may harm small business tenants and surrounding shops."

By generation, the response rate favoring abolition or relaxation of large discount store operating regulations was notably high among those in their 20s (72%) and 30s (61%).

More opposition (49.3%) than support for introducing complex shopping mall regulations... 53.6% opposition in the Seoul metropolitan area

Regarding the introduction of mandatory holiday closure regulations for complex shopping malls, opposition (49.3%) exceeded support (40.5%). Among consumers in the Seoul metropolitan area (519 respondents), where many complex shopping malls are located, 53.6% opposed mandatory holiday closures for complex shopping malls, while 38.1% supported mandatory closures.

When asked why they opposed operating regulations on complex shopping malls, consumers cited consumer benefit protection (44.8%), ensuring cultural and leisure activities (29.9%), lack of help for protecting local commercial districts (16.8%), and protection of small business tenants and suppliers (8.5%) in that order. Consumers who supported operating regulations gave reasons such as balanced development of the distribution industry (31.0%), protection of alleyway commercial districts (25.1%), protection of traditional markets (22.7%), and revitalization of the local economy (21.2%).

55.1% of consumers oppose online shopping platform regulations... 81.0% opposition among those in their 20s

55.1% of consumers hoped that operating regulations on online shopping platforms would not be introduced. Those in favor of introducing such regulations accounted for 34.0%, and 10.9% had no opinion.

Among consumers opposing the introduction of operating regulations on online shopping platforms, the highest reason cited was consumer benefit protection (70.6%). This was followed by advancement of the distribution industry (15.1%), lack of help for protecting local commercial districts (10.2%), and concerns about decreased sales for small and medium enterprises (4.1%).

Consumers who supported operating regulations cited reasons such as protection of local shopping district online shopping services (41.2%), protection of traditional market online shopping services (29.0%), protection of small and medium online shopping platforms (21.0%), and improvement of online shopping services (8.8%).

The FKI's position is that online shopping platform regulations should be carefully reviewed to avoid inconveniencing consumers who rapidly increased their use of online shopping platforms due to the COVID-19 pandemic. Yuh Hwan-ik, head of the FKI Corporate Policy Office, stated, "Concerns in the industry are growing as discussions on strengthening distribution regulations, such as operating regulations on complex shopping malls, are underway without verifying the effects of existing distribution policies like mandatory closures of large discount stores." He added, "Now is the time to establish distribution policies that meet public expectations, considering the changing distribution industry environment during discussions on the Distribution Act."

This content was produced with the assistance of AI translation services.