
der Buchhandel
book trade
The entire industry concerned with the production, distribution, and sale of books.
Der Online-Versand hat den traditionellen Buchhandel stark verändert.
Online shipping has greatly changed the traditional book trade.
book trade / bookstore
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book trade
The entire industry concerned with the production, distribution, and sale of books.
Der Online-Versand hat den traditionellen Buchhandel stark verändert.
Online shipping has greatly changed the traditional book trade.

bookstore
An individual shop where books are sold; a bookstore. This usage is rarer and more formal than 'die Buchhandlung' (bookstore).
Ich gehe kurz in den Buchhandel an der Ecke, um das neue Kochbuch zu kaufen.
I'm quickly going to the bookstore on the corner to buy the new cookbook.
The word is made up of 'Buch' (book) and 'Handel' (trade). So it literally means 'trade in books' and describes either the entire industry or an individual shop.
Der Buchhandel in Deutschland hat eine lange Tradition.
The book trade in Germany has a long tradition.
You can tell from the context whether the whole industry (meaning 1) or an individual shop (meaning 2) is meant. If the topic is business, culture, or the industry as a whole, meaning 1 is meant. If it is about a specific place to shop, meaning 2 is meant.
Die Digitalisierung stellt den gesamten Buchhandel vor große Herausforderungen.
Digitalization poses major challenges for the entire book trade.
In the context of the industry, a distinction is often made between 'stationärer Buchhandel' (brick-and-mortar book trade/local bookstores) and 'Online-Buchhandel' (online book trade).
Viele kleine Läden gehören zum stationären Buchhandel.
Many small shops are part of the brick-and-mortar book trade.
bookstore
Both words can be connected with the sale of books. Buchhandlung normally refers to the specific shop, while Buchhandel mainly refers to the industry as a whole; Buchhandel is possible for an individual shop, but less common and more formal. In everyday speech, Buchhandlung is usually the better choice.

Der Buchhandel verkauft heute viele Bücher über das Internet.
Today, the book trade sells many books over the internet.
Ich kaufte den neuen Roman in der Buchhandlung am Marktplatz.
I bought the new novel at the bookstore on the market square.