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Starbucks vs. Wal Mart

leatherneck

By leatherneck
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leatherneck

leatherneck

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Sorry to start this thread Rockmom, but an article in today's Cinti Enquirer got me thinking about this subject. A planned Star Bucks in Cinti has been shelved. The article discussed the joy an independent coffee shop owner felt when the Star Bucks opening was cancelled because of the effect it would have had on his business. The article quoted an industry insider that Star Bucks has had adverse efect on independent coffee shops when they've moved into a locale.

 

Why has Wal Mart received so much scorn for puting independent stores out of business, but other national players like Star Bucks, Applebees, etc escaped such criticism when they surely have adversely affect independent businesses in a like manner? Is all the scorn really just a result of the union going after Wal Mart efforts and the American people being gullible enough not to see it? I fully understand that Star Bucks treats its employees very well, but that still doesn't negate the adverse effect that it has on the owner of the independent coffee house that they put out of business. Thoughts?

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rockmom

rockmom

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Sorry to start this thread Rockmom, but an article in today's Cinti Enquirer got me thinking about this subject. A planned Star Bucks in Cinti has been shelved. The article discussed the joy an independent coffee shop owner felt when the Star Bucks opening was cancelled because of the effect it would have had on his business. The article quoted an industry insider that Star Bucks has had adverse efect on independent coffee shops when they've moved into a locale.

 

Why has Wal Mart received so much scorn for puting independent stores out of business, but other national players like Star Bucks, Applebees, etc escaped such criticism when they surely have adversely affect independent businesses in a like manner? Is all the scorn really just a result of the union going after Wal Mart efforts and the American people being gullible enough not to see it? I fully understand that Star Bucks treats its employees very well, but that still doesn't negate the adverse effect that it has on the owner of the independent coffee house that they put out of business. Thoughts?

 

Let me explain what happened in Louisville.

 

Back in the day, there was Heine Bros. and they had 2 stores, Highlands (Louisville), and Crescent Hill. There was a Highland Coffee, in the Highalnds, and maybe a couple of others, all in places like the Highlands and Crescent Hill, both of which are areas of Louisville where there are a lot of restaurants, and full of eclectic people and places.

 

Then, Starbucks comes to town. We now have 4 Heine Bros, 2 Highland Coffee, Several Java Brewing, and a host of others. The reverse has actually occurred in Louisville. MORE independent coffee shops have opened since Starbucks came to town.

 

I still hear daily of the "evil giant Starbucks" and what they are puts the "little" guy out of business. But, at least in Louisville, Starbucks opened up a whole new niche in the market for the independents. They created interest where very little existed before.

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Birdsfan

Birdsfan

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Why has Wal Mart received so much scorn for puting independent stores out of business, but other national players like Star Bucks, Applebees, etc escaped such criticism when they surely have adversely affect independent businesses in a like manner? Is all the scorn really just a result of the union going after Wal Mart efforts and the American people being gullible enough not to see it? I fully understand that Star Bucks treats its employees very well, but that still doesn't negate the adverse effect that it has on the owner of the independent coffee house that they put out of business. Thoughts?

I think Wal*Mart is focused on because more people patronize Wal*Mart for more of their daily necessities than Starbuck's. It's a part of people's daily lives, so it's more relevant to them. I think people are more likely to notice their local grocer or retailer being closed than they would a local coffee house.

 

But honestly, I don't see what all the fuss is about. I can see this being a problem for the small business owner that is effected; but that's what capitalism is all about. If you provide more products, and better products, and people perceive value in your offering, your business is going to grow. That's the American dream brought to fruition. So be it!

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leatherneck

leatherneck

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I think Wal*Mart is focused on because more people patronize Wal*Mart for more of their daily necessities than Starbuck's. It's a part of people's daily lives, so it's more relevant to them. I think people are more likely to notice their local grocer or retailer being closed than they would a local coffee house.

 

But honestly, I don't see what all the fuss is about. I can see this being a problem for the small business owner that is effected; but that's what capitalism is all about. If you provide more products, and better products, and people perceive value in your offering, your business is going to grow. That's the American dream brought to fruition. So be it!

 

 

I definitely agree with your post, particularly the second paragraph. I've never been one of those folks on here that heaped scorn on Wal Mart. But a lot of people have, while at the same time while not addressing many other very successful big, national companies that have done the same thing. I just thought that was odd. Your stated reason may very well be valid although I think the union campaign to make Wal Mart look bad has had something to do with it also.

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