posted on Jan, 22 2014 @ 02:07 PM
It's not about "people having no money." It's about a business model under stress. Sears and Penny's are two good examples of companies that have
essentially made the wrong decisions and, for the most part, selling products anyone with any sense could get elsewhere cheaper. The J C Penny CEO
screwed up, plain and simple, because he thought he knew better than anyone else. His "transformation" has nearly killed the brand. Now he's gone,
and rightly so.
All the products of Sears and Penneys are made by someone else, and in the case of Sears targeted to a demographic that no longer exists. Why, then,
should someone buy from them? It's easier and cheaper to buy via the Internet. Why buy an Amana refrigerator with a Sears nameplate on it when you
can buy an Amana refrigerator with an Amana nameplate on it cheaper?What you are seeing is a transformation of retail from the mall to the laptop (or
even the smartphone). This has little to do with a "lack of a recovery."
I don't have much sympathy for malls. They suck the life out of an area in the form of extremely high rents that make small stores impossible to
compete. Malls wrecked downtown America. Maybe you are too young to remember, but it used to be that a shopping trip entailed taking a bus to the
downtown core and shopping there, sometimes in stores that existed for 100 years. But then along came the Mall built outside of town on cheaper
property, and it wasn't long before the downtown core was abandoned. Elegant hotels became flophouses. Once lofty department stores became empty
shells or were rented by the Salvation Army. What was once a vital core of commerce was invaded by drugs and crime.
Requiem for the Mall? Hah! Good riddance! And as for the giant retailers failing; they're dinosaurs anyway. You are mistaking a change in commerce as
a "lack of recovery," the usual ATS Doomsday Machine overreacting and getting it wrong once again.