Frappuccinos Work for Mom and Pop
Why local stores need chains in a downturn.
Plus Starbucks' prime space will probably stay empty for a while, given the economy. The employees will lose their jobs, which, while they don't pay well, come with benefits. And that's more than you could say about a lot of work in this low-wage town. More people looking for work and more empty storefronts on Higgins Avenue aren't great for anyone in the community.
It's usually smart business to support like-minded independent companies. Personally, I hardly ever set foot in the Starbucks, even though I think its coffee is just fine. I much prefer the Trailhead for sporting goods (rather than Sports Authority), Go Fetch for pet supplies (rather than Petsmart (PETM)), Fact & Fiction for books (rather than Barnes & Noble (BKS)), and First Security for banking (rather than Wells Fargo (WFC)). Not coincidentally, these locals all advertise on NewWest.Net.
But the more personal nature of these relationships can also cut the other way. A local electronics chain that we wooed as a client for years recently pulled a small ad campaign because a satirical blog post on NewWest.Net offended the religious sensibilities of the owner. I doubt that Best Buy (BBY) would have acted in that fashion.
Some national chains are starting to make an effort to source products locally, especially food. While it may be true at some level that profits are "exported" to headquarters, good branch managers are often active in their community and support the local businesses. In the case of franchises, they are, in fact, locally owned businesses.
I agree that a town dominated by chains is less interesting and rich than one with a vibrant independent business community. But here, at least, it seems the two can co-exist. And it's dangerous to assume that what's bad for the chains is good for the mom-and-pops. In this economy, a store closure is nothing to cheer about.
Recent Making Payroll Posts
-
Jonathan WeberNovember 17, 2009
-
Jonathan WeberNovember 3, 2009
-
Jonathan WeberOctober 26, 2009
-
Jonathan WeberOctober 19, 2009
-
Jonathan WeberOctober 12, 2009
RSS
Twitter
Comments