Thursday, July 21, 2011

Borders: 1971-2011

We've learned a lot this week.  Here is a summary of some of the findings.

Numbers don't lie.  The majority of businesses that declare Chapter 11 bankruptcy protection eventually fail.

Borders says it can't find a buyer and will liquidate.  In other words, the 400 store chain, down from 1,000, is going out of business.

It doesn't make a difference if an individual store is doing well.  You live and die on the strength of the company.  After the Chapter 11 declaration in February, a source said the Dickson City store is one of the chain's better performers.  It will close like the rest

You have to get in there and plant your flag early.  Amazon  and Barnes & Noble did faster, better jobs of developing e-readers and on line sales.

America is changing.  Apparently, we don't like brick and mortar book stores these days.  As I look on my shelves, I see that the majority of my purchases came from Amazon.  Still, you can't beat the charm of a quality book store, and the thrill of coming across a great find as you browse the aisles.

I read a comment that said Borders put a lot of mom and pop book stores out of business over the years, so it's pay back time.  That may very well be true, but who's suffering here?  The answer:  the 11,000 people who lose their jobs when Borders closes.