Prompt: in many countries, small shops are closing. why is this happening? is it a positive or negative development.

The business represents an organised effort of an individual or strata of the population engaged in making a living. Due to the advancement of technology, the majority of micro sellers subsequently forced to shut down their enterprise. There are multifarious reasons why small enterprises winding up such as competitive price and constraint in stocking the variety of products. I propound that it is an advantageous process for the development of a country. Ċ One of the foremost causes of diminishing the sole traders is the liberalization of the economy and foreign investment. To gain a customer base multinational companies triggers a price war with local vendors but due to reduced profits micro-merchants are enforced to lock their businesses. For example, Amazon gave big discounts on their website to expand their market reach which hampers the growth of small shops owners. Hence, economic development has certain repercussion on micro industries. Moreover, due to hectic lifestyle people prefer to visit a store where they can find different items under one roof. Ċ As sole traders are diminishing due to the rise in multinational brands ultimately boost the production and maximize the utilization of resources with minimum wastage thus making a product more economical. For instance, China has reduced the input cost by increasing productivity. Therefore, shutting sole enterprise has certain benefits in a longer perspective. Furthermore, micro industries are mostly unorganised so its reduction will uprise the organised sector and help governments to increase tax revenue which could be further invested in economic and social causes. Ċ To conclude, small and big businesses have their own pros and cons. However, promoting the organised sector helps to raise the economic structure and individuals standard of living.