In planning for a new grocery store, or anything to that nature, location is one of the biggest factors you must consider. If a business has a bad location, it is almost guaranteed to fail. A business has to be convenient for potential customers.
For example, Ingles grocery store in my home town is in the center of town right off the highway. We have many tourist during the summer and fall months, so when they arrive in town they can get right of the exit and pick up their groceries. This certain grocery store carries many upscale cheeses and organic food to serveto our upper middle class visitors. Also, our Ingles is very convenient for people getting off work because it is right in the center of everything.
You have to always be thinking of location when you are starting up any kind of business. If it is on convenient customers will not come, the will just find an alternative place to take their business. Location is a huge issue that must always be at the top of you mind when staring up a business.