While companies having to react to changing economic climate and customer trends is a fact of business, it can be sad to see a retailer with such a history closing up shop. In fact, I actually worry of what the economic landscape will look like in a few years as this trend continues to take hold.
As online shopping gets bigger, how will local companies compete? How will small mom & pop shops compete? There will always be a demand for locally sourced items, but it can be hard to grow those local companies to scale. What about all the employees that worked in the big shops...are there enough other companies to absorb the excess workforce or will those employees have to move?
As those big retailers close up shop, what will become of those buildings? There aren't too many companies that can use those large retail spaces. Will the landlord keep them empty or split them up for smaller shops? How long will it take to get a new tenant in there? A vacant space does nothing for the community or real estate values.
These are exciting times, but what it will mean for the economy in the future, only time will tell.
I agree fully with this and I have noticed with stores like JCPenny and Payless slowly these stores are going out of business as people only want to shop either online or small stores like Dollar General that honestly is breaking the market in a smart way. Honestly hopefully if stores like Dollar General and Dollar Tree stays suit those stores will last
I agree, much of the economy is leaning toward the cheaper options like Dollar Tree and Dollar General...
I wish I would have taken a stake in Dollar General when Warren Buffett did in 2011!
Oh yea and when I worked for them for 3 years they are a very smart company using phones for coupons, putting seasonal done to 95% off I even sold rakes for 10 cents lol. It was awesome and it is going to stick around for awhile and I am excited and hope something like Amazon doesnt kill it
I like looking into how other companies conduct business...how business models vary greatly. In fact, I'm looking into creating a unique food truck for this area because it would be seasonal and I HATE the idea of paying rent in the economy going forward.
That said, the dollar stores have always intrigued me...what kind of volume and mark-up they must negotiate fascinates me. Clearly, if they are marking something down to 10 cents, they aren't making anything off of it and they just want to move it off the shelves without having to throw it away, but on the regularly priced items, I often wonder how much they are paying for them!
I frequently hit up my local Big Lots and have learned a bit about how they negotiate their deals and how much power local managers have in ordering the goods they sell on the floor (for the record, they don't have much say at all). But I know he sometimes marks items down to a nickle if they are approaching expiration date and he doesn't want to just write them off.
Overall, I think discount stores (and pawn shops) will be safe from online competition...for now. But mainstream retailers definitely have something to worry about.
It is very fascinating how each business does it and how one simple thing can shift a whole business model. That seems interesting trying to innovate the food truck business see what can be done with them. Yea and one thing I like though is either we sell said items to someone like Dollar tree for little profit or advertise a clearance sale and sell them for 90% off and try to force them to buy other things as well. Oh yea they will be safe and hopefully expand how they do it
If you have a minute, I'd like to hear your thoughts on this article I just wrote about how the minimum wage hikes in WA are shifting some of the business practices here.
https://steemit.com/economy/@randomness/warning-warning-warning-the-real-effects-of-a-minimum-wage-hike
Ok cool yea ill check it out!
Legalize marijuana in every state and we can turn all of those buildings into "community" grow houses. Anyone want to back this idea with cash. Just leave your email address and I'll have one of my attorneys from the law offices of Hamm, Haig, and Haig contact you. Hamm n Haigs...not just for breakfast anymore.
LOL. Interesting idea...
this may look like a good thing now that the online communities are taking over, but the future may experience some kind of strain I think, because its a circle and some parts are being made extinct. Well, what do I know? guess i watch too many movies
I'm torn in both directions...Its always good for a business to evolve, but to take away from the local community in favor of the online marketplace...I think it has a net damaging effect. Unless we look into the future and more people work for a package delivery company to deliver all the online purchases. Then again...drones. :-(
aren't we all? I grew up in the era of the big shopping malls that stand as community symbols. sad to see most going of the scene