Living here in NoVa, we have more than our fair share of big box stores. But we also have plenty of smaller mom and pop stores. One of the reasons they suffer a bit in somd when the big stores come in is because they don't have something people want. For so long they were able to just put up a store and have people come in regardless of the service or prices offered because there wasn't any competition. The ones that fold when the big box stores come in are the ones who simply don't offer something better than the other stores (be it the service, prices, etc) or are not will to adapt to give the people what they want. Sure, there isn't much a "mom and pop" gas station can offer to compete with WaWa, but the retail stores sure can... They can offer unique items not found in the other stores, they can offer service that can't be found in the other stores. Or they can simply keep business as usual and hope people will continue to come.
But as I said before, there is nothing the smaller gas stations can offer to make their business any better than say a WaWa... I will gladly pay less for gas at WaWa and not think twice about it.
But you can have both, the big box stores and the small stores. Many people get into the funk thinking it is one or the other, but it isn't the case at all. The smaller stores don't go out of business just because a big store moves in. They go out because the simply don't offer what people want/need any longer. But once the "growing pains" in somd are over, I think you'll see a nice mixture of the big box stores and the small local stores. But it may take time to strike a good balance.