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From "Ira Rosen" <irosen@idttechnology.com>
Subject FW: Wal-Mart
Date Thu, 4 Dec 2003 14:10:40 -0500

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Speaking as a native suburbanite, and a resident of a nearly exclusively
suburban state (NJ - mall capital of the world it seems), I say to
Wal-Mart - bring it on!  I have no problem shopping at any store that wants
to cut my prices - even if doing so destroys its own business in the process
(thank you self-destructing dot-coms for your great discounts in your early
years before your industry bubble burst).

So Wal-mart is trying to corner the retail commodity markets, I have no
problem with that, it's simple capitalism.  Do they use business practices
that I'm not fond of?  Unquestionably (similar to those used by Japanese
corporations with small suppliers, I believe).  Are they a *contributing*
factor to the destruction of *some* downtowns?  Yup.  But are they the end
of the world?  Not even close.

Despite the *evil* big-box-retailers-giant-media-corporations etc., I've
noticed some interesting and rather pleasant trends over the past few years.
The first is that I can find more diverse and better music these days than
ever.  Why?  Probably because more musicians can strive for an attainable
goal of spreading their music independently (thank you Internet, DIY studios
and cheap CD creation).  Is it a perfect world, no, but it has turned into a
better world for artists who are not trying to become a part of the
"corporate" music scene.

A second is the increase in number of crafts stores/crafts items easily
available - I no longer have to go to a crafts fair somewhere in the sticks
(ah, for a lovely day in New Paltz) to find hand made items.  Small
businesses are cropping up in towns (3 in mine alone in the past year) that
Wal-Mart can't compete with (my town is 5-6 miles from 2 Wal-Marts and 2
Targets).  The Internet also allows to go to the craftspeople directly
wherever they are.

Third is that many bicycle stores are doing quite well despite big box
retailers (generalists and sports equipment).  The one in our town even
sponsors a team.  The availability of cheap alternatives does not always
destroy the market for better made, high quality products, and the
arrangements between high quality bicycle manufacturers and independent bike
shops, though not perfect, has kept them both in business (even with the
stories of small-town stores paying more wholesale for Wal-Mart's retail
price).

It's the business model/planning that is key.  Sam Walton knew this and
created what has become the largest company in the world.  Aimee Mann knows
this and spreads her music while being beholden to no one.  Downtowns all
over the country know this when planning how to deal with creating an
environment that attracts people.  Part of doing well in business is knowing
how to compete - another part is knowing when not to, and how to be
successful anyway.

I worry little about the blanding of America because I know where the spicy
sauce is hidden.

Ira

(It's a simplistic analysis, but it's mine)


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