DEREGULATE COMMERCIAL SCHEDULES!

07.09.2016 20:39

 

Practically official it is the fact that the economic crisis that Spain has been dragging since  2008 has finished. And I do not say this in vain. I rest principally on information of the Spanish department of economy, to know that the sector sales grew in the latter year 6.1 %, increasing and reaching the number of 40,978 millions, since the Spanish paid out  3.2 % more of its income in the recounted to this sector, which demonstrates that the demand for this type of products exists, and in many cases it would be necessary to extend the offer. But not only because of it, but because the average of commerce related to sales they received 1.907 million visits in the year 2015, which is an increase of 5.8 % as for the previous year, dismantling statistics of the epoch of crisis where one believed that it was necessary to create aggregated demand  to revitalize this sector after two consecutive demand descents of close to 2 % in the years 2012 and 2013. But employment has also been created thanks to this sector, as unemployment in the sales market decreased by 0.8%, and the Spanish commerce  integrates now nearly 3,400,000 million of workers in them.

The market share that shopping malls have in the market towards small shops is only 17.85%, and in 2008 this was nearly 14%, which shows that not regulating schedules won't be harmful for small commerce, as they have more that 83% of the market domination, which makes them capable of competing against big companies, shopping malls or centers for a lower price or through product differentiation.

Consumer's demand has changed over time, and just as the suppliers have adapted their offer, governments should do the same, and reduce their protectionist measurements in order to allow for a better service to be given, increasing the elasticity for the supply of many commerces . Electronic shopping  is now one of the big deals of our time, with nearly 13,100 million sales in 2015, which creates an enormous competition against small businesses, that can't have online platforms, but the intelligent ones use this situation to reduce prices by contacting with cheaper suppliers and innovating in their production, becoming much more efficient and productive, which will promote traditional shopping, in contrast to nowadays technology.  In this part, not scheduling for small businesses will be much more beneficial, as they will be able to supply at different types of the day adapting themselves much more to the consumer and offering them a higher quality service with a lower price, which demonstrates that without market barriers, through efficiency in production, small firms can also compete against big platforms.

HERE WE CAN SEE A GRAPH SHOWING THE RESTRICTIVE LEVELS OF EACH COUNTRY IN COMMERCE SCHEDULING:

In Spain we should eliminate all of the 17 legislations that refer to small and medium commerces scheduling, as consumer's needs are over any governmental interests, and businesses should be able to modify their supply for the demander. And as always the government should be a help and not a barrier for economic growth in the market. All shops, malls and centers should be allowed to open on Sundays and festivities, as it is very difficult to grow organically with 17 different legislations, each one providing different rules and reducing productive flexibility, as Sundays tend to be the second day of bigger consume of all the week, according to data of the CNMC. Tourism is a really important sector in the Spanish economy, and it shouldn't be forgotten in this cases, as the type of consumer offered by this sector tends to be much different to the national one, and suppliers should be able to adapt their profile to them, and this can only be possible through bigger economic freedom and major flexibility. We are nearly world leaders in tourism in percentage of comparison to population, following not many countries, but our income levels in this sector, also in contrast to our national GDP it's very far away to countries as France, Holland or the United Kingdom, which implies that tourists consume less in our nation, or cheaper products, which rapports less benefit to our society. A direct effect that liberalizing schedules will have in relation to tourism, will be the creation of 50,000 new jobs, as the vacant hours should be covered by new workers if there is enough demand for it. This has a direct relationship with the GDP and the economic growth of the country, making internal demand and consume rise in the mean term. But all of this should be done through reforms that impulse flexibility and liberalization and allow commerces, independently of their size; for internal growth into the market.

WE CAN OBSERVE A GRAPH REPRESENTING TOURISM IN SPAIN DURING THE LAST YEARS:

In conclusion, by liberalizing the commerce schedules and banning the actual legislation ,that prohibits most of the mean and big companies to open on Sundays; will improve Spain's touristic offer, that actually receives nearly 57 million visits. So if tourists are able of buying more and they increase their demand towards national products, this will generate much more jobs, reducing unemployment, and increasing international competiveness towards other countries. There's people that think that there won't be enough labor supply to work on Sundays, but in my opinion with the unemployment levels we actually have, nearly 50,000 new jobs will be covered completely in a few weeks. Tourism is a very important source of incomes that we can't give up, and while there's no labor abuse, having labor rotation each 8 hours to expand the schedules will be positive for economic growth and will impulse reinvestment. Why can't we compete with the English, the French or the German, which are allowed to have all their commerces opened on Sundays and festivities? And overall, why don't we let business owners take their own decisions and invest their money the way they want, expanding or not their schedules, without the government having to intervene?

Contacto

EL RINCÓN DEL PARQUET elrincondelparquet@gmail.com