I think the pandemic, lack of income for most, and rethinking their way of life is hitting the mainline stores hard.
They have for years depended upon thrift spontaneous buys from shoppers. And the, "You need this and that, to make what you bought work" income, along with the American Public shopping on credit.
When I was working and had a decent income, I didn't give a 2nd thought to buying something we wanted or needed on credit. It helped keep the credit score up, which made interest rates lower and easier to buy on credit.
I think the American Public is getting away from payments. They are ordering online more because they can find deals they can't find spending time in stores. And they aren't buy on credit near as much. And even going to the stores has been a problem for the past year.
Society has changed and so has our way of life due to the Pandemic. It's bound to have impact on many vendors.
Fry's has been going down hill for a long time is news to me. I get Emails from them all the time, but by that alone I had no idea of their financial status. The things that I might have bought couldn't ship, and there isn't one very close to us.
I believe that upper management can have the finger pointed at them for any company's demise. If they can not change as fast as the consumer's way of buying changes, they quickly left behind. And the big profits they are accustomed to isn't there to support the greed of the that management. The business fails, and they move on.
Another huge thing that has impacted many isles of goods, is the big box store chains.
They order directly from China, get a container ship 1/4 filled with container for them alone, take it to their distribution centers, and then to end retail outlets. They control the cost the whole way from buying to selling.
While distributors and jobbers were once the main stream of how products made it from the manufacturing to retail centers, they have gave way to importer/exporters. Mostly Importers. They fill warehouses full of goods dirt cheap and then find a retailer for the stuff and then ship it to them. But even those are feeling the impact.
Anyone, and I mean anyone, can buy bulk from China these days. I joined a company that connects business' (and individuals) with manufactures in China. The 6pc cooking set you buy at your favorite big box store costs you $60 to 70$, or more. If you buy a container full of them, you get them for about $3 for the same 6pc set. Not aluminum, stainless steel. It's easy to buy stuff, selling it is another thing! You have to know your area and what you think the people will buy, and what they will pay. When that market is missed, income drops, stores liquidate for cost, and can't restock. And like the individuals, I think buying merchandise to sell on credit has taken a big hit as well.
I joined that company, it was free. I think it's called China Direct or Direct China, or something like that. I get Emails from them once in a while where one of their suppliers contacted me for a potential buy. I check it out, but I find it enlightening to what some of the Chain made stuff really cost's. I'm willing to bet it cost's more to insure and ship the container than the amount of merchandise that is inside it cost in some cases, like the cook sets. Electronics is probably different, and costlier to insure the shipment over the Oceans. Especially if passes through the Panama Canal.
It's an ever changing World, and things really changed fast when this Pandemic hit. No one was prepared, no one seen it coming, and no one had time to adjust. Everyone and Every Business is playing catch up, and some are not going to make it. We may just see the rebirth of Mom & Pop Shops and local small manufacturing come back to a small extent in certain regions. We have already in past years, with things like the "Farmer's Markets". In my area at least.
