Senin, 25 Juli 2011

Why Borders couldn't avoid collapse

The last day for Borders Group Inc. is in front. The second largest country in the bookseller abandoned the last chance attempt to save the company intensified this week after a few bidders.

The nearly 400 stores remain open borders could begin to liquidate and sell assets as of Friday. The plan is for everyone to stop for good in September, leaving about 10,000 employees out of work.

There were many mistakes that caused the company to fail to take too much debt, opening too many stores and jump into the e-business players at the end. More importantly, there was a "mistake" that put the final nail in the coffin of borders, "said Howard Davidowitz Davidowitz retail experts & Associates.

"I think the biggest thing was hurting borders, when they turned to their online activities and the Amazon," says Davidowitz Ticker and the Daily Task Aaron Breakout Jeff Macke accompanying interview. "And 'ready to go, because he gave away for the future."

Speaking of the future: Where does this leave the future of the library United States, and Barnes & Noble?

With a capitalization of $ 1 billion market, the faces of Barnes & Noble (BKS) an uphill battle against Amazon (AMZN) massive 100 billion dollar valuation. But Davidowitz is not ready to put the book chain last large area down to the still.

"I do not believe in the inevitability, because I have seen many changes occur in the details," he said, pointing to his favorite retailer Wal-Mart (WMT). Not only the change of Sat Walton business from a small model of a Variety Store chain of retail discount, he grew his store unique largest retailer of Arkansas America and the employer.

Davidowitz is not to renounce the library or the United States.

"The retail industry is a change," but there is still room for the library in the heart and life for many Americans who use them as a place for meetings, gatherings and just hanging out with friends . Davidowitz said the bookstore is going nowhere fast, but we can expect to see a much of them.

As for the 10 million square feet of commercial space empty, Davidowitz predicts the large multi-level store will probably lay vacant for some time, which will put pressure on small developers and community banks in these areas. Most Borders stores will be eaten by small retailers thrive now as Bed Bath & Beyond (BBBY), he said.

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