I attended the Cambridge Economic Development Board informational meeting held at the Cambridge Community Building about a replacement store for the Duckwall's that is closing. (BTW - Duckwall's/ALCO, go pound sand!) ED put on an interesting meeting letting folks know what they are doing to try and get a replacement variety store to replace Duckwall's, and to be sure, this seems like a huge undertaking for the ED board.
I've been critical of ED on this blog in the past, but this time, I'm on ED's side. The board has attempted to contact several "chain" type variety stores, but only Dollar General responded, and their response was related to the crowd as "maybe, but don't hold your breath".
ED wants to fast track this project for several reasons. There are 5 people about to lose their jobs, and the city is about to lose $26,000 a year in sales tax revenue. Not only that, but ED feels that it will adversely effect other downtown business as well.
It looks like ED is locked into the old Duckwall's location, and has gone so far as spend money on the store shelves and fixtures. We were informed that the city has charged Duckwall's around $1100 per month rent.
To me though, the meeting asked many more questions than were answered. First up, I think ED is putting the cart ahead of the horse on this. While it would be desirable to open a new store ASAP, there is no real business plan that I can tell other than a business "model" from the town of Clark, South Dakota.
There is no lawyer involved with the plan so far... how can you ask for investment if you don't have some kind of plan other than... "we want to keep the management and employees the same as is now". The problem with that is that the current management has limited control over the local Duckwall's, especially when it comes to investor relations.
The town wants investors... Get a management team to be responsible or everything ED does about investing and setting up the business could be not what the new management would want or can even use legally.
Wednesday, December 22, 2010
Saturday, December 11, 2010
Some Fun For A Change
I got to looking at the old blogs I've written here at the Clarion, and I decided I needed to change. How about some fun today?
I love poking around the Internet and find some rather comical things now and then. Today I offer a real life Roadrunner "cartoon" based on the old Coyote/Roadrunner cartoons. Even the ACME company gets involved!
I love poking around the Internet and find some rather comical things now and then. Today I offer a real life Roadrunner "cartoon" based on the old Coyote/Roadrunner cartoons. Even the ACME company gets involved!
Thursday, December 2, 2010
Just Another Business Decision
The front page news about Duckwall-ALCO Stores, Inc. closing their Duckwall's stores is a fine example of a corporation trying to do what they do best... make money.
I have no idea how much sales tax is generated by Duckwall's in Cambridge, but I'd guess it is a substantial amount. Oh well, Duckwall's has no reason to care about the town of Cambridge... after all, "Customers of a number of the Duckwall stores will find broad line ALCO stores located within driving distance." Well now, I bet that is comforting for the 5 folks that will soon be unemployed at our towns Duckwalls. My mother, who doesn't drive and has no car has walked to Duckwall's. Now for her, "driving distance" is as close as the moon.
Well, I suppose that is the American way anymore. According to the Clarion news article, the ALCO CEO stated "These stores account for only 3.9% of sales and little or no profit.". That statement alone to me says ALCO doesn't care at all about anything but money. The fact that only 3.9% of sales was generated, the sales did not mean a loss to the bottom line based on the CEO's own statement.
OK, so it costs more to operate these small variety stores in the more remote locations and I appreciate that, especially with our nationwide down economy. The fact that the town supported Duckwall's though and kept 5 people working, generating state and federal income tax funding, sales tax revenue for the town, and it didn't cost the company anything should be the emphasis for ALCO.
Instead, ALCO chooses to leave many small towns with a big retail sales hole, unemployed folks, reduced tax revenues, and they expect us to be happy that there is an ALCO store within driving distance???
GO POUND SAND ALCO as far as I'm concerned. Other than visiting the Duckwall's in Cambridge until it is closed, I will never set foot in any ALCO store!!! I will spread as much ill-will about your company as good-will you pulled from our town with your business decision that profit is more important than people and communities.
I have no idea how much sales tax is generated by Duckwall's in Cambridge, but I'd guess it is a substantial amount. Oh well, Duckwall's has no reason to care about the town of Cambridge... after all, "Customers of a number of the Duckwall stores will find broad line ALCO stores located within driving distance." Well now, I bet that is comforting for the 5 folks that will soon be unemployed at our towns Duckwalls. My mother, who doesn't drive and has no car has walked to Duckwall's. Now for her, "driving distance" is as close as the moon.
Well, I suppose that is the American way anymore. According to the Clarion news article, the ALCO CEO stated "These stores account for only 3.9% of sales and little or no profit.". That statement alone to me says ALCO doesn't care at all about anything but money. The fact that only 3.9% of sales was generated, the sales did not mean a loss to the bottom line based on the CEO's own statement.
OK, so it costs more to operate these small variety stores in the more remote locations and I appreciate that, especially with our nationwide down economy. The fact that the town supported Duckwall's though and kept 5 people working, generating state and federal income tax funding, sales tax revenue for the town, and it didn't cost the company anything should be the emphasis for ALCO.
Instead, ALCO chooses to leave many small towns with a big retail sales hole, unemployed folks, reduced tax revenues, and they expect us to be happy that there is an ALCO store within driving distance???
GO POUND SAND ALCO as far as I'm concerned. Other than visiting the Duckwall's in Cambridge until it is closed, I will never set foot in any ALCO store!!! I will spread as much ill-will about your company as good-will you pulled from our town with your business decision that profit is more important than people and communities.
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