Jonathan Kelly wrote:
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I wouldn't begrudge them for changing from what they once were to try to remain competitive and profitable unless you want them to disappear altogether, because that's what happens to a retailer that does. And if that happens, someone will take their place and they will likely be a lesser company. The fact that Adventure Guide already exists in KW doesn't give them any right to the territory. That is a huge market...other retailers are going to market their goods there. SAIL already did!
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1) The purpose of a coop is to serve its members, not to maximize profit.
2) The outdoor retail market is not huge. Viably carrying the low volume specialty products is strongly dependent on making margin on higher volume products. As a member run coop that is supposed to be supporting outdoor sports, MEC would work in cooperation with local retailers. The attempt to cherry pick the easy sales in established market is bad for the everyone.
3) Yep, there is always competition from other retailers. Sail is a relatively new entrant and I've been impressed that they have maintained as high a mix of specialty gear as they have. So, given the established competition, was there any business justification for opening a MEC store in that area? How about Barrie? Or Burlington? Or London?