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Another thing that makes me wonder
I was at a mall recently, and I would have to guess that literally half of the stores were clothing boutiques. Half of them. How does that work? How do they all stay in business? Why do people need half of the stores in the mall, PLUS Sears etc all selling clothes?
I know the markup on clothes is something on the order of a couple hundred percent, so is it just the ridiculous profit margins that let these boutique clothing stores stay in operation in high rent mall locations? Or is there really that much demand for clothes? I know, yeah, there's 250 million people in the US, but even so...
I dunno, maybe it's just 'cause I'm a geek and don't care about clothes.
I know the markup on clothes is something on the order of a couple hundred percent, so is it just the ridiculous profit margins that let these boutique clothing stores stay in operation in high rent mall locations? Or is there really that much demand for clothes? I know, yeah, there's 250 million people in the US, but even so...
I dunno, maybe it's just 'cause I'm a geek and don't care about clothes.
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I don't really care all that much for clothes myself. I generally buy from outlets so I can get cheaper prices. But I appreciate that many of these stores are catering to very specific customers--and attempting to compete with one another. These boutiques are often multi-store chains or franchises...and maybe one company owns a bunch of ones by different names. For companies like these, it's like splitting a department store and filling several slots in a mall without having the problems of running a large store--not to mention the flexibility of moving a successful boutique into a bigger space (or vice-versa, dropping an unsuccessful one to a smaller space or just closing it out).
Heck, a store in Salt Lake is probably kept open because one in Des Moines is getting business...or the other way around. But clothing is a relatively inelastic demand. A lot of people in most walks of life are going to need clothes. Many people don't have the time to do a lot of shopping around, so they go to a place that they feel fits their needs best and buy from them.
But a guy like me? I've been so loaded with time and lack of money that I've gotten really good at "shopping" without really buying anything (and I don't mean theft/shoplifting/whatever). I plan my impulse purchases well in advance and look around for the better deal. I'm a "think globally, buy locally" kind of fella too. No WalMart. Mom-&-Pop stores whenever possible.
Anyway, the stores you talk about exist because SOMEBODY voted with their dollars. You have the power to change the world with what you have in your wallet, right now. It's not what you save, it's what you spend--and what you get for your money.