I live in an area where many aren’t hurting too bad from the whole financial blunder, yet that doesn’t seem to stop stores all over the place from shutting down. Signs are littered everywhere with “Going out of Business Sale” or “Liquidation – Everything Must Go.”
First off, if everything must go, then why don’t they cut down the price even more? Second, the current credit crisis cannot be the full blame for many of these stores for closing down shop. After all, lot of these stores are big chains with locations all over the country, such as Linens and Things and Tweeter.
It also seems like shopping centers are growing faster than they are filling up. Before I moved from Dallas a couple years back, I couldn’t believe how many new shopping centers there were, and most of them were only 50% occupied. At the same time, it seemed that, unless the store was a franchise or part of a bigger brand, it was only a matter of time before the store was gone.
As far as I can remember, it wasn’t always like this. During the 90′s I remember going to so many different type of stores; however, ever since the internet became such a crucial part of every household it seems like there are less mom and pop shops and more bigger chains closing down.
So is the internet to blame? And if it is, then is it hurting or helping the economy.
On one hand, consumers are instantly granted an infinite amount of choices through the internet, and prices can usually be found that are less than the item in an actual physical store. Even large stores like Target or Best Buy allow customers access to better deals if they purchase online. While I am not a huge proponent of online ordering (I enjoy the immediate satisfaction of having the product), I know many people who barely even walk into stores anymore. You can even do your groceries online.
On the other hand, the internet has helped the economy. People can save from having to buy more gas, stores can easily branch ou and expand their reach through the use of the internet, and the barrier of entry to starting a business is much smaller. There are several muli-million dollar businesses where the only store is online.
For the most part it seems like the internet has rapidly improved the economy in many ways, but perhaps we should re-word the question.
Has the internet ruined the social economy?
Sure people can save and make more money through the use of the internet, but it also seems like the internet has created a larger distance between human interaction. Consumers have trusted the internet so much that they could spend thousands of dollar on one site, and they probably have no idea what the actually physical set-up or who is even running the business.
It sure seems like the internet has dramitically changed the way we do anything from just 10 years ago. As time goes on, we may forget how to do anything without the internet, but it sure as made things easier.
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