Rough times ahead for local retail?

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Paul Revere

Somerset, KY

#2 Feb 3, 2013
Kmart, JCPenney, RadioShack, Barnes & Noble (Bookland), Office Depot, Gamestop are all local retail outlets that could be on the chopping block in the coming year.
Wouldn't feel like much of a recovery to those who work at these stores, if they lost their jobs!
So True

Somerset, KY

#3 Feb 3, 2013
Notice how the Wal-Martz, Micky D's and S-Lowes stores continue to stay afloat with sales holding steady. Its people making daily choices to support a huge conglomeration over local stores. You get the picture. When they crush the competition, then prices will rise to line their pockets; not the local economy's pockets.

“Boogie Chill'un”

Since: Dec 08

Location hidden

#5 Feb 5, 2013
So True wrote:
Notice how the Wal-Martz, Micky D's and S-Lowes stores continue to stay afloat with sales holding steady. Its people making daily choices to support a huge conglomeration over local stores. You get the picture. When they crush the competition, then prices will rise to line their pockets; not the local economy's pockets.
You're EXACTLY right.....you won't see many of those globalist politicians and their lackeys praising this cold hold, hard fact when they tout their free market bs.
Free Market

Somerset, KY

#6 Feb 5, 2013
It called a free market economy. And the stores mentioned are not necessarily on the block. They are just closing stores that aren't profitable. JCP could indeed go under simply because they adopted a disastrous marketing strategy. Anyone with half a brain could have told them it was a bad move. Due to the growing popularity of e-books B&N is shedding some of their brick and mortar stores. Who pays full price for books these days or pays a yearly membership fee to get 10% off? Besides, they are such a distant second to Amazon itís unlikely they can effectively play catch up. Quite frankly Iím surprised that Radio Shack is still in business. Canít remember the last time I was in one of their stores or even heard of someone shopping there. In addition to those you listed are Sears, Best Buy, Office Max - like the others they are all failing to deliver what customers want for prices they can find through online competitors or other brick and mortar retailers. Itís all about remaining competitive in a free market economy that is driven by increasingly savvy consumers.

“Enjoying Life's Mishaps”

Since: Dec 09

Lost in Time

#7 Feb 5, 2013
Rougher times ahead for the broke consumers
AbeStinkin

Manchester, KY

#8 Feb 5, 2013
There are not enough jobs in Somerset to support the retail stores we have, we are also getting screwed at the pump on a daily basis so we all spend less.
Paul Revere

Somerset, KY

#9 Feb 5, 2013
All of the stores I mentiond are well established and have been open in Somerset for several years.
But, Kmart is in terrible shape as a company and have actually closed several stores in neighboring towns. The same is true of Radio Shack and JCPenney. Office Depot being on the list kinda surprised me as I assumed they were doing OK. Apparenly the recovery hasn't reached them yet.
Again, no Somerset stores have been slated for closure. The article simply listed the companies that planned to shutter stores in 2013.
Hopefully NONE of them get the axe as I don't ever want to see anyone lose their job. Actually, that isn't true...I really wanted to see Obama lose his.

Since: Mar 12

Hopkinsville, KY

#10 Feb 5, 2013
Paul Revere wrote:
All of the stores I mentiond are well established and have been open in Somerset for several years.
But, Kmart is in terrible shape as a company and have actually closed several stores in neighboring towns. The same is true of Radio Shack and JCPenney. Office Depot being on the list kinda surprised me as I assumed they were doing OK. Apparenly the recovery hasn't reached them yet.
Again, no Somerset stores have been slated for closure. The article simply listed the companies that planned to shutter stores in 2013.
Hopefully NONE of them get the axe as I don't ever want to see anyone lose their job. Actually, that isn't true...I really wanted to see Obama lose his.
I do not think this has much to do with the slow economy. That didn't help but it only accelerated the inevitable which is replacing people with machines. Amazon is responsible for the demise of most of the stores on the list. It pioneered robotic fulfillment systems which are now used by nearly all large online retailers. The reduction in price is worth it to the buyer who is willing to wait a mere half-day before receiving the merchandise. With robots and artificial intelligence, Amazon is able to effectively replace all of these chains with less employees in the US than Radio Shack. That is certainly a triumph of efficiency. On the other hand, displacing workers on such a fast timescale undermines the substrate upon which the retail economy depends. In classical economics, the displaced workers become re-educated and find different types of jobs. However, the pace at which jobs of nearly every type are being replaced by AI or robotic systems is accelerating and will only continue to accelerate.
JumperJuice

Richmond, KY

#11 Feb 6, 2013
dionysio wrote:
<quoted text>
I do not think this has much to do with the slow economy. That didn't help but it only accelerated the inevitable which is replacing people with machines. Amazon is responsible for the demise of most of the stores on the list. It pioneered robotic fulfillment systems which are now used by nearly all large online retailers. The reduction in price is worth it to the buyer who is willing to wait a mere half-day before receiving the merchandise. With robots and artificial intelligence, Amazon is able to effectively replace all of these chains with less employees in the US than Radio Shack. That is certainly a triumph of efficiency. On the other hand, displacing workers on such a fast timescale undermines the substrate upon which the retail economy depends. In classical economics, the displaced workers become re-educated and find different types of jobs. However, the pace at which jobs of nearly every type are being replaced by AI or robotic systems is accelerating and will only continue to accelerate.
This is pretty much on the money. I agree....now we need to work on legalizing industrial hemp and put our farms back to good use. That's a start for a few jobs.....I made a post a year or so ago showing how several industries associated with hemp could branch off on a local scale as well, but we must urge Kentucky leaders to be at the forefront on this so we don't lose out on the initiative of the whole idea and the commerce that come with being on the cutting edge....
Yeah

United States

#12 Feb 6, 2013
dionysio wrote:
<quoted text>
I do not think this has much to do with the slow economy. That didn't help but it only accelerated the inevitable which is replacing people with machines. Amazon is responsible for the demise of most of the stores on the list. It pioneered robotic fulfillment systems which are now used by nearly all large online retailers. The reduction in price is worth it to the buyer who is willing to wait a mere half-day before receiving the merchandise. With robots and artificial intelligence, Amazon is able to effectively replace all of these chains with less employees in the US than Radio Shack. That is certainly a triumph of efficiency. On the other hand, displacing workers on such a fast timescale undermines the substrate upon which the retail economy depends. In classical economics, the displaced workers become re-educated and find different types of jobs. However, the pace at which jobs of nearly every type are being replaced by AI or robotic systems is accelerating and will only continue to accelerate.
Add the massive regulations that are in place as a result of the collusion between government and big business that discourage entrepreneurial endeavors on about any scale and the picture does look grim.
Just take a look at trying to do something in the realm of agriculture that's a little unconventional or involves some level of processing.

“Boogie Chill'un”

Since: Dec 08

Location hidden

#13 Feb 6, 2013
Yeah wrote:
<quoted text>
Add the massive regulations that are in place as a result of the collusion between government and big business that discourage entrepreneurial endeavors on about any scale and the picture does look grim.
Just take a look at trying to do something in the realm of agriculture that's a little unconventional or involves some level of processing.
Agree on all fronts. The move from an agrarian society to a synthetic one was the beginning of the end. You put the prosperity in the hands of a few instead of the many landowners who could use their property for more than just living on.

HEMP FOR VICTORY!!!!
Paul Revere

Somerset, KY

#14 Feb 6, 2013
Many large companies are going to be severely impacted by Obamacare and to extents that we haven't even conceived of yet. So, you can expect cost cutting measures in the form of store closings and layoffs to offset those added costs.
But, we have been told that the economy is rebounding and jobs are being added yet, facts show that to not be the case.
The local economy has been badly affected by the lower lake levels AND the recesson over the past 5 years. Hopefully we don't have to deal with another round of store closings that will add to the misery.

I also agree that industrial hemp's day has finally arrived. We need to explore all avenues of economic revitalization.
Paul Revere

Somerset, KY

#15 Feb 6, 2013
Yeah wrote:
<quoted text>
Add the massive regulations that are in place as a result of the collusion between government and big business that discourage entrepreneurial endeavors on about any scale and the picture does look grim.
Just take a look at trying to do something in the realm of agriculture that's a little unconventional or involves some level of processing.
I don't think you'll find much collusion between govt and "big business" regarding regulation. If anything those two entities have been at polar opposites on that subject. The coal or oil industry would be obvious examples.
comare

London, KY

#16 Feb 6, 2013
The stores in question have, or will come to their final demise due simply to the fact of not being competitve. They can't afford to be. As mentioned, Amazon will fill your needs cheaper and ship it for free. No real overhead to pay. Computers, robots and the like and off everything goes. Progress people, progress.

“Boogie Chill'un”

Since: Dec 08

Location hidden

#17 Feb 6, 2013
Paul Revere wrote:
Many large companies are going to be severely impacted by Obamacare and to extents that we haven't even conceived of yet. So, you can expect cost cutting measures in the form of store closings and layoffs to offset those added costs.
But, we have been told that the economy is rebounding and jobs are being added yet, facts show that to not be the case.
The local economy has been badly affected by the lower lake levels AND the recesson over the past 5 years. Hopefully we don't have to deal with another round of store closings that will add to the misery.
I also agree that industrial hemp's day has finally arrived. We need to explore all avenues of economic revitalization.
We agree on all of this Paul ....the healthcare deal is a mess. I mean, we can't keep paying for people with no coverage to go to the er for head colds and then not pay a dime....nor can we afford Obamacare....there has to b a happy medium.
Shelia

London, KY

#18 Feb 6, 2013
Canada tried the hemp industry and went broke with it. Why in the world do you think we can do better than other countries who have bellied up on this issue?

“Boogie Chill'un”

Since: Dec 08

Location hidden

#19 Feb 6, 2013
Shelia wrote:
Canada tried the hemp industry and went broke with it. Why in the world do you think we can do better than other countries who have bellied up on this issue?
It's mainly due to outdated processing equipment and a lack of product to satisfy demand (which we could help alleviate). There are other issues, but China, Chile, North Korea, and Europe all still produce it. I will get you some more info when I get to a computer. With the right marketing and development, it can be more than viable. The first step is to remove the archaic sanctions to create such a market and the NEED for processing development.
Yeah

United States

#20 Feb 6, 2013
Paul Revere wrote:
<quoted text>
I don't think you'll find much collusion between govt and "big business" regarding regulation. If anything those two entities have been at polar opposites on that subject. The coal or oil industry would be obvious examples.
It works on both levels. The government squeezes every nickle they can from industry then taylors the regulations to discourage lower level competition. Remember the Amish farmer that the feds raided for selling raw milk. They're protecting the dairy industry.
Small operators don't send lobbyists to D.C. bearing gifts.
They don't make huge campaign contributions.

“Boogie Chill'un”

Since: Dec 08

Location hidden

#21 Feb 6, 2013
Yeah wrote:
<quoted text>
It works on both levels. The government squeezes every nickle they can from industry then taylors the regulations to discourage lower level competition. Remember the Amish farmer that the feds raided for selling raw milk. They're protecting the dairy industry.
Small operators don't send lobbyists to D.C. bearing gifts.
They don't make huge campaign contributions.
No you're telling it like it is, preach on brother.

“Boogie Chill'un”

Since: Dec 08

Location hidden

#22 Feb 11, 2013
Shelia wrote:
Canada tried the hemp industry and went broke with it. Why in the world do you think we can do better than other countries who have bellied up on this issue?
Another reason it didn't thrive in Canada was there was no government incentive for farmers to try it. Take a look at this 1998 study:

"Myth: Hemp is not economically viable, and should therefore be outlawed.

Reality: The market for hemp products is growing rapidly. But even if it were not, when has a crop ever been outlawed simply because it was thought to be unprofitable to raise?

Retired General Barry McCaffrey of the White House Office of National Drug Control Policy has said that one of the reasons that he continues to support the criminalization of hemp cultivation is because hemp is not an economical crop. It is an odd argument. There is no record in U.S. history of a crop being outlawed because it was uneconomical. Moreover, General McCaffrey has made no indication that he would allow hemp to be grown even if he were persuaded that it could dramatically boost farmers' income.

The USDA has aggressively supported the introduction of many crops in the last 20 years that, when initially supported, were marginally economical and had small potential markets (e.g., jojoba, meadowfoam, kenaf). The Department rightly argued that, with breeding and the introduction of more effective cultivation and storage technologies, these crops could indeed be profitable for farmers.

Hemp is a multipurpose crop. New markets for its oils, protein, long fibers, and inner hurds are constantly opening up. Hemp production is increasing worldwide, as are hemp sales. Innovations in processing and in cultivation promise to lower costs and open up still more markets. The production increase is most dramatic in Europe, where hemp, like other crops such as rapeseed and flax, is subsidized. Hemp commercialization has begun in Canada, where as many as 10,000 acres could be planted in 1998, even though our northern neighbors receive no government incentives to grow the crop.

Preliminary evidence also indicates that hemp may be a very significant rotation crop with an ability to reduce pests and weed growth and to boost yields of the primary crop.

The North American Industrial Hemp Council soon will publish an in-depth report on hemp's economics and markets. Here we would only argue that in a free enterprise system, government should not and cannot make the a priori decision to outlaw a crop simply because it believes farmers would lose money by growing it. "

http://www.gametec.com/hemp/hempandmj.html

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