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The fall of the iconic chain 99 Cents Only
- dbmikus 3y agoUp until the end of 2023, I lived around the corner from one. It was always busy and then one day I walked over to buy some household supplies and it had suddenly closed. I guess this was why.
- RyanShook 3y agoTldr, when your name is 99 Cents Only eventually inflation puts you out of business.
- ProllyInfamous 3y ago99 Dollas, incoming.
- Supermancho 3y agoSay hello to 5 Below https://locations.fivebelow.com/ https://locations.fivebelow.com/
- mguerville 3y agoBetween the name and the logo colors I assumed for years it was a frozen foods store (there's mostly in strip malls too so I'd drive near but never close enough or slow enough to truly peek), then one day I stepped into one and realized it was an inflation-adjusted dollar store
- euroderf 3y agoThe corner five & dime is long gone.
- shiroiushi 3y agoDaiso and other 100-yen stores are going strong here in Japan (though now things are 110 yen with tax). It's amazing what kind of fantastic stuff you can get here for $0.72.
- anotheruser13 3y agoDaiso is great in the US, although they've raised prices from $1.25 to $1.75. Still a far better value than Dollar Tree and the like.
- tmm84 3y agoIt is also interesting when Daiso and other 100-yen shops have stuff that is over 100 yen (usually 300-500 yen). Most of them are the more durable items or ones that would never be good at all if it was sold for 100 yen. Pretty good thinking if you ask me.
- alright2565 3y ago> Company executives and industry analysts blamed a series of factors, including the COVID-19 pandemic, escalating theft and crime, competition, big increases in operating costs stemming from high inflation and the expense of servicing its debt … significant minimum-wage jumps. But you keep reading just a little bit, and you find out this company is a victim of a leveraged buyout: > The family management team … departing in 2013 The deal — which valued 99 Cents Only Stores at $1.6 billion — saddled the company with a debt load that turned a “conservative balance sheet” into a “highly leveraged capital structure,” This is absolutely shameless. The owners put the company on incredibly shaky footing, then when a bump in the road comes up, they use it to do politics and refuse to take responsibility?
- extraduder_ire 3y agoIs there any way to look out for businesses that have this done to them? I only ever hear about it when the company that's getting hollowed out runs into trouble some months or years later. I know such buyouts don't always crater the target company in the short term, but it would be nice to have a directory of zombified businesses somewhere so one knows to steer their investment and custom elsewhere.
- flandish 3y ago>do politics and refuse to take responsibility This is just normal capitalist logic. This is how all corporations would do it if able. See also: 2008’s banking “crisis” among others. None of this is a surprise and pretending it is just enables others to do the same; all while harming the working class and local communities in the name of financial safety for the owners.
- slillibri 3y agoThe Company Man YouTube channel also posted a video about 99 Cents Only today - https://youtu.be/pPWXfCqSED0 https://youtu.be/pPWXfCqSED0
- iancmceachern 3y agoI blame the pricing structure