Save your environmental economic cycle

[bangjoe]

Hi, friends.

We are currently in a chaotic phase of global economic uncertainty, everywhere in the world is almost similar to this situation in terms of economy, energy scarcity, food scarcity and many others. but that's not what will be discussed with friends here.

A few days ago I was walking around the housing complex, and I noticed that a lot of grocery stores and other needs (conventional/retailers) had gone bankrupt, maybe this happened because prices were soaring even worse, and people prefer to buy from online stores instead of buying from neighbours, which causes the economy to slow down is undeniably this is the impact of the global economic chaos and technological advances.

If you are a person who has money to shop for daily needs, I suggest you buy from merchants around you instead of shopping online whose stores are far from your place. This must be done to turn the wheels of the economy in your neighbourhood and save them from bankruptcy, at least you give them space to live.

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[Jawhead999]

It's mostly about moral.

Customers and suppliers has a different goal, so they both will have a conflict. A customer will want the best product with the lowest price, while a supplier will want to get a income with the lowest cost. You can't blame if there's a customer don't want to buy from retailers since they don't have a lot money and want to use their money to invest or other thing.

Actually those retailers need to lower their price if they want to compete against a big company.

[Jody.Drummer]

We have to pay attention to the economic circulation around us, I totally agree with that. But sometimes things like this become a separate war for us. I will give a little description of what happened to me personally. Buying at dealers around the house is much more expensive than buying at wholesalers or something, so the choice is when I need a lot I will choose to shop at a store that offers lower prices, unless my needs are few, I prefer to shop around the house.
Sometimes our humanity is at war with our needs too, that's what gets difficult. When shopping we will definitely take into account the money we spend with what we get. And also we all know everyone is in a phase or heading in a more difficult direction in the future.

Maybe this is what traders around us need to pay attention to, they have to raise prices that are not too far from the prices offered at large wholesalers to attract buyers around them. That way we will mutually benefit each other, we as buyers will not go too far to shop, and they as traders will not lose their customers.

[livingfree]

High inflation triggered by different world situations, war, pandemic and high oil prices.

You just can't stop people if they're shopping online as it's convenient and choose not to go to the nearest store to buy their needs. Well, not at least for me, I shop to the closest one as it is economical and cost saver.

Whatever is the way of purchasing stuff, it's still helping the economy.

[aoluain]

It's actually quite important to "shop local", it creates local employment and maintains
the service which is important because it helps to maintain a sense of community
for local people.

We cannot get everything locally but we should not buy everything online either.

We buy all our fruit, veg and meat from local growers and farmers, we pay a little
extra for this but we want to support local.

[cryptomaniac_xxx]

Of course, if we shop locally it might trigger the economic recovery of some small business around your area. The thing though is that most of the shops increases their prices as well sort of to recover what they have lost during the pandemic.

And that's where others try to look for cheap alternatives, because of the steep price that the stores around them are offering.

For example, let's say there are food shop that you offer food for around $7.00. Now the price is $10.00. So as consumers you look for more options and try to extend your $7.00, or even your $10.00.

[Ryu_Ar1]

In my country (Indonesia) this kind of thing is called UMKM (Usaha Mikro Kecil dan Menengah) or maybe simply a business that is run by individuals or groups on a small scale.
This has even been supported by the government to make economic growth in my country so that indeed the suggestion to buy the products produced is always encouraged even though it is not coercive in nature but these directives still exist because in fact this is also good enough to support the economy in the surrounding area and this too can be proof that we care about and appreciate local businesses.
Even though the current era of modernization and buying online from e-commerce is very strong, I think at least giving support to local businesses is not bad.

[gantez]

If you are a person who has money to shop for daily needs, I suggest you buy from merchants around you instead of shopping online whose stores are far from your place. This must be done to turn the wheels of the economy in your neighbourhood and save them from bankruptcy, at least you give them space to live.

You can understand two things here and you can't do anything about it. One is inflation. It is inflation that reduce value of currency to buy adequately but now the quantity to buy is reduce and the money is not available for more purchase and sellers goods perish because of low patronage. Another point is Digital awareness and we can't change that. Sellers everywhere take advantage of advertising of goods online so buying in neighborhood may not be important if online seller can deliver your goods to your house.

[franky1]

A few days ago I was walking around the housing complex, and I noticed that a lot of grocery stores and other needs (conventional/retailers) had gone bankrupt, maybe this happened because prices were soaring even worse, and people prefer to buy from online stores instead of buying from neighbours, which causes the economy to slow down is undeniably this is the impact of the global economic chaos and technological advances.

If you are a person who has money to shop for daily needs, I suggest you buy from merchants around you instead of shopping online whose stores are far from your place. This must be done to turn the wheels of the economy in your neighbourhood and save them from bankruptcy, at least you give them space to live.

the issue is that although SOME customers have moved to online purchasing groceries straight from distribution centres rather than a local store. its actually the local leases and state/county taxes on local businesses that have choked those small local stores out of business.

EG initially 9.6% footfall drop of revenue. but 60% increase of bills and rents.
store gets 1000 foot flow. online equivalent does 8 deliveries an hour for 12 hours(96)

imagine a tin of baked beans only cost £0.15 to make
an online store has an distributor lease/tax cost average of £0.05 and so sells for £0.25 (£0.05 profit)
but a local store has a £0.20 business lease and state tax rate average so sells for £0.40 (£0.05 profit)

here in the UK many towns have lost lots of local stores due to business rates, which then pushed people that normally shop locally have no where to shop locally.

many people prefered to shop locally before-after work when carparks were free and businesses had things they can see touch smell and decide on buying.

it was not that a customer decides to shop online "for convenience" as many dont want day old groceries picked by a stranger. or choosing clothes they cant touch or try on in the stores changing rooms before purchase.. where by instead they have to "order and hope"and having to pick a day off to get delivery
.. it was a push to go online because stores closed because it was the local stores that became a premium price compared to online due to their physical costs and higher lease, local parking and taxes.
things like:

by pushing local stores to be a premium and unable to compete against their online competitor. the local store dies. even if they had the extra 10% of footfall back in the town centre.. that wont be enough to cover the 60% premium required to stay afloat

[autumnleaf]

Since the beginning of this year, the economy has been in a state of disarray, and most people are switching to online retailers where they can get products with less difficulty and at a lower price. The current economic recession is difficult for people to handle because of rising prices.

[Reid]

Good advice. It's not different on what is happening in our place but I do understand why. Price comparison. Ever since the prices of necessities soared to an amount a regular salary cannot handle anymore, people look for options. Online stores are mostly suppliers who are directly selling their products to the people near them. The question of "why?" comes out. Simply because the retail stores are closing down. No one is buying in the small shop so the big shop will also feel the effect of it. That's the reason why they are forced to sell their products themselves.
Chain reaction.

[adaseb]

The reason why many of those small shops have closed is because people can’t compete with stores like Walmart.
They will basically undercut most stores and people will shop where it’s cheaper.

They do a survey in my area. Would you shop local and support local businesses? Most answered yes. However when asked “would you shop local but pay a little more” and most said no. Hence why businesses like these can’t compete with Walmart.

[CageMabok]

Hi, friends.

We are currently in a chaotic phase of global economic uncertainty, everywhere in the world is almost similar to this situation in terms of economy, energy scarcity, food scarcity and many others. but that's not what will be discussed with friends here.

A few days ago I was walking around the housing complex, and I noticed that a lot of grocery stores and other needs (conventional/retailers) had gone bankrupt, maybe this happened because prices were soaring even worse, and people prefer to buy from online stores instead of buying from neighbours, which causes the economy to slow down is undeniably this is the impact of the global economic chaos and technological advances.

Hi also,
If you don't want to talk about the economy, energy scarcity, food scarcity and many others, why do you mention these in the discussion of this topic?
Anyway, if their bankruptcy (conventional traders/retailers) is caused by many consumers using the online shop application to shop for their needs for reasons of low prices, it means that conventional traders/retailers are currently still relying on wholesale shops or the like to buy goods so they have to sell them at a higher price.

In fact, many sales or wholesale store owners who have warehouses to accommodate goods also use online applications to order goods which are then resold to conventional traders/retailers. So it would also be better if conventional traders/retailers wanted to use the online shop application to order their goods so they could compete at a price that was slightly cheaper than what they usually sell.

I am a person who very often uses online shop applications when I want to shop for needs such as clothes, motorcycle parts, but I still buy daily necessities around my own environment or at conventional traders/retailers. I know this will make conventional traders/retailers look very miserable because they feel a decline in their sales, but that doesn't mean we have to blame the online application developers, because these parties also provide better service and according to what consumers need.

If you are a person who has money to shop for daily needs, I suggest you buy from merchants around you instead of shopping online whose stores are far from your place. This must be done to turn the wheels of the economy in your neighbourhood and save them from bankruptcy, at least you give them space to live.

Your suggestion is not wrong, but they (conventional traders/retailers) must also see more opportunities in running their business at this time, because there will always be competition from various parties and those who do not update and still maintain the old way of doing things. trading or trying to expand their business with old methods, they will fall behind and go bankrupt in the end. So for now they (conventional traders/retailers) have to use new methods in order to further develop their business and avoid bankruptcy.

[Zlantann]

If you are a person who has money to shop for daily needs, I suggest you buy from merchants around you instead of shopping online whose stores are far from your place. This must be done to turn the wheels of the economy in your neighborhood and save them from bankruptcy, at least you give them space to live.

Your advice is highly esteemed Mate because supporting local shops would create employment opportunities, reduce emigration or immigration and keep the neighborhood alive. But the economic challenges are also affecting buyers and most people are looking for places they can buy goods cheaper. Apart from selling goods at a discounted price most online shops have variations of products that can serve as alternatives.

It would take government intervention to protect these local shops from unhealthy competition from these bigger multinationals. Government can subsidize the price of some essential commodities in these local shops and the cheap price would attract local customers. It would also be good if the government reduce the tax imposed on these local shops because it would also assist the to become competitive. Most businesses in my area are closing down because of multiple or sometimes double taxation.

[erep]

Economic turmoil affects all groups, including small communities, looking for alternatives to balance income with expenses needs to be done to survive in uncertain conditions. Most people switch to shopping online because it is considered that the buying value is cheaper than the stores around them.

For grocery stores that have large capital, the impact may not be too bad due to decreased purchasing power, but for mid-level grocery stores around the complex, they have to go out of business because they cannot achieve sales targets. Online shopping is not about not caring or helping the people around us, at times like this we have to help ourselves to survive.

[Sterbens]

Economic turmoil affects all groups, including small communities, looking for alternatives to balance income with expenses needs to be done to survive in uncertain conditions. Most people switch to shopping online because it is considered that the buying value is cheaper than the stores around them.

For grocery stores that have large capital, the impact may not be too bad due to decreased purchasing power, but for mid-level grocery stores around the complex, they have to go out of business because they cannot achieve sales targets. Online shopping is not about not caring or helping the people around us, at times like this we have to help ourselves to survive.

It's true, it's not that we don't care about life or the traders around us, but circumstances force us to keep spending as minimum as possible for our needs, one of which is looking for cheaper selling prices from traders around us, sometimes I myself still compare prices between wholesalers big. We have to do this because of the fact that the current situation is getting more and more difficult.
Things went awry, because on the one hand I believe we all want to help a healthy economic cycle around us, but on the other hand we also have to save our own economy.

[traderethereum]

Grocery or conventional stores went bankrupt because they could not compete on price with larger stores, say supermarkets, which offered various kinds of discounts that were there.
In addition, these small shops also lack the capital to increase the number of products, which makes people choose to shop at other shops that are complete than the small shops.
Sometimes, shopping online can provide lower prices than offline stores because they offer discounts, including discounted shipping costs to the destination address.
But those local shops will still open their business because they still have regular customers who shop there frequently.

[naira]

If you are a person who has money to shop for daily needs, I suggest you buy from merchants around you instead of shopping online whose stores are far from your place. This must be done to turn the wheels of the economy in your neighbourhood and save them from bankruptcy, at least you give them space to live.

It's a shame that in terms of economic competition, what shop owners need to do is dare to compete in all offline and online sectors. I can't bring myself to buy at a store that doesn't have what I need. In terms of economic growth, we really have to encourage micro-entrepreneurs who are around by helping to buy goods. But they also can't rely on just one stream. Because now technology provides instant choices for shopping.

However, as someone who knows enough about how the bustle of microeconomics goes, it is undeniable that you often hear complaints from conventional traders about increasing online trading, which on average shifts the position of the offline store.

[franky1]

comparing a brick and mortar retailer to a similar size online retailer, the differentiator is the lease and business rates.

having a physical store has a higher tax bracket than a warehouse serving via a website. yep just having a shop on mainstreet with a sign above the door that allows customers to enter and browse comes at extra cost. even things like liability insurance incase a customer had an accident is a differentiator

..
when it comes to the mom&pop independent retailer vs national chain retailer. its the wholesale cost of goods that is a differentiator. small retailers dont have the wholesale purchase buying power to get the best prices.

using the same data as my last post it turns a £0.15 wholesale price for small independent retailer. becomes a £0.10 wholesale for the likes of wallmart.
also walmart can, due to its customer footfall of 10,000 a day but only 5x the number of staff compared to a small retailer have better profit margins

in short
beans cost to customer
£0.40 - small ind' retail - £0.05 profit(12.5% profit)
£0.25 - large nat' retail - £0.10 profit(40% profit)
£0.25 - large nat' web  - £0.125 profit(50% profit)

[Smartprofit]

Hi, friends.

We are currently in a chaotic phase of global economic uncertainty, everywhere in the world is almost similar to this situation in terms of economy, energy scarcity, food scarcity and many others. but that's not what will be discussed with friends here.

A few days ago I was walking around the housing complex, and I noticed that a lot of grocery stores and other needs (conventional/retailers) had gone bankrupt, maybe this happened because prices were soaring even worse, and people prefer to buy from online stores instead of buying from neighbours, which causes the economy to slow down is undeniably this is the impact of the global economic chaos and technological advances.

If you are a person who has money to shop for daily needs, I suggest you buy from merchants around you instead of shopping online whose stores are far from your place. This must be done to turn the wheels of the economy in your neighbourhood and save them from bankruptcy, at least you give them space to live.

I understand your idea....

However, now it is hard for everyone - both individuals and legal entities. 

People are also forced to minimize their spending in order to survive the economic crisis and recession.  Previously, I did not buy goods in online stores, but now I do it quite often. 

My country has a very high inflation rate, so I have to minimize my expenses and buy food, clothes, shoes and household goods at the best price.  I try to keep my expenses to a minimum.