Regulating or funding? Activities for maintaining the provision with basic commodities in rural areas of Germany compared to South Tyrol

Abstract

Shops for basic commodities such as food, beverages, and drugstore products have been closing in rural areas in many countries. Looking to other European countries helps to realize the specific attempts made for maintaining local supply and enables mutual learning. This paper compares Germany with South Tyrol using statistical data, expert interviews, literature review as well as documentary analysis. The system for the provision of basic commodities differs remarkably between Germany and South Tyrol. Large supermarkets and food discounters have superseded small scale shops in Germany. In South Tyrol, traditional retail structures have however sustained an area wide presence with small, locally owned stores. The paper investigates the reasons for this distinction. Strong spatial planning regulations turned out to be very effective in South Tyrol in order to maintain facilities within walking distance. By contrast, the German approach, which tries to subsidize mainly new shops with huge amounts of money, could not stop the thinning out of stores in rural areas. In fact, both strategies have specific advantages and disadvantages. Thus, both countries can learn from each other.