Explanation:

- Option 1: Reluctant

- Reluctant means unwilling or hesitant. It doesn't fit well because retail shops aren't unwilling due to e-commerce; rather, the competition affects them.

- Option 2: Obsolete

- Obsolete means out of date or no longer in use. E-commerce has made some retail shops seem outdated, but many still thrive alongside online platforms.

- Correct Answer

- Option 3: Extinct

- Extinct means no longer existing. This is too extreme; retail shops still exist despite competition from e-commerce.

- Option 4: Unwanted

- Unwanted implies that retail shops are no longer desired. However, retail shops continue to serve important niches and customer preferences.