Large discount chains can make a profit even while offering low prices, because they buy goods in large quantities at favorable cost  This creates a problem for small retailers  If they try to retain their customers by lowering prices to match those of large discount chains, the result is a lower profit margin  But small retailers can retain their customer base without lowering prices if they offer exceptional service
Hence, small retailers that are forced to compete with large discount chains must offer exceptional service in order to retain their level of profitability
not all small retailers are forced to compete with large discount chains