Retail Park

Major business brands would be attracted to a retail park thus giving consumers a much wider range to choose from. A retail park can also use brown field sites, if they are small. The use of a brown field sites would mean that acquiring of land, residences and other structures for building of the retail park would not have to be done. And also new land would not have to be acquired for the building of roads and railways as the ones already could be renovated and used.
Since Medway does have problems associated with low wages, a retail park would create innumerable job opportunities for the people of Medway. Also, retail parks would provide opportunity for unskilled and low-skilled people to earn, thus addressing Medway’s problem of lack of skills in certain areas. Having a retail park will lead to developments in social and economical infrastructure. This in turn will increase Medway Town Council’s revenue. Thus the area surrounding the retail park will develop, and more people will come and settle in the area.
First the demand for labor increases as shown by then rightward shift of the curve DI. Thus the wage rate increases from W to W1. Next the supply of labor increases in response to higher wages and a new supply curve marked S2 shifts on to the right. Ultimately the equilibrium wage rate is established at W2.
However the serenity of the sub-urban country side of Medway could be lost due to the setting up of a retail park. Thus there is likely to be opposition from the environment conscious local communities. Preserving the country side should be of high priority. Due to the increase of traffic and the development of commercial infrastructure such as airports and offices there would be sound and air pollution. The Medway council would have to think of a way of disposing waste products from the retail park (Needham, 2006). These waste products could flow to the rivers and canals in the vicinity thus giving rise to water pollution. Certain species of birds and animals endemic to this area could be driven away as a result of acquiring land to set up the retail park. This could lead to protests from environmentalists.
One of the major economic effects of the proposed retail park would be on the local shopping centers in Medway. The first major issue of an out-of-town retail development is the loss of business by the local shopkeepers. Acquiring land and the demolition of existing buildings would mean that the Medway council would have to pay compensation to the property owners and relocate them. The Medway council would have to bear this cost. Money will have to come from banks at high interest rates for this purpose. In order to have ample parking space, a large area of land would has to be rented. This will cost a considerable amount.
Scenario A-2
Medway, which is located 30 miles East of London and 40 miles North West of Dover, is one of the largest