Advantageous to be a larger or smaller company?

Urban outfitters is a large chain store, but in it's humble begins it was a smaller store with less generic clothing and products. While large companies can offer broader selections of clothing and have advantages in purchasing, marketing and distribution, smaller stores can compete by offering more unique merchandise, targeting a specific demographic, providing superior customer service, or serving a local market. Some could say Urban Outfitter lost their small town college vibe, not necessarily selling out but creating a company more profitable. The store has done a fairly good job with have more creative pieces produced and distributed, but obviously beforehand their store offered one of a kind pieces which customers enjoyed picking up, and added to the laid-back feel. That it was almost a 2nd hand store, but more trendy. Now, the brand reaches a larger demographic from regular everyday folk, to overtly trendy fashion moguls. Nevertheless the brand continues to grow, but would it have more appeal if the stores were limited to one or few? More demand?