Ma and Pa Shop
What it is:
A ma and pa shop is a family-owned independent business.
How it works (Example):
For example, franchises and big-box stores such as Target are not a ma and pa shops. The small store down the street, with a local owner, is a ma and pa shop.
Why it Matters:
Ma and pa shops are often single-location stores, often retail stores, that are small or carry specialty items. The advent of big-box stores, which can usually buy and sell at lower prices, has displaced many ma and pa shops, which do not have the same competitive advantages and thus often cannot compete on price with most retailers. Accordingly, they often compete on service.