Owning a salon was a financially sustainable lifestyle, so you get more salons. Working at a salon for minimum wage + tips is not a sustainable lifestyle, so y

Owning a salon was a financially sustainable lifestyle, so you get more salons. Working at a salon for minimum wage + tips is not a sustainable lifestyle, so you get empty chairs in those salons. All it takes to open a salon is the ability to work there and easy credit. So you get a lot of salons. Think of the fast food model. The owner of a McD used to make $200K+/yr, so there is intense demand to open new fast food restaurants. The employees make less than it takes to survive even with massive government program assistance, so the restaurants are empty with help wanted signs posted and early closing hours and drive-thru only. Then the prices have to go up until it takes $25 to take your daughter to burger king for lunch (true story...) so the customers all go away. Its not real food anyway. Then the owners of McDs make $0. "Everyone knows" you'll be a millionaire if you open a fast food restaurant and credit is very easy so there's an infinite line of people trying to make $200K but getting $0K. The cycle takes some time to stabilize. All those people in line have to get educated (LOL thats not happening) or go bankrupt one at a time, it takes awhile. Service businesses always collapse from the bottom up. I've seen this in food stores, when an area has too much grocery store sq footage for its population. The collapse always starts with permanent help wanted signs and poor service, but it ends with "nobody would open a grocery store here, the just go out of business".