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I attribute the change to the influx and return of a strong middle class in cities. It's easier to create "mom and pop" shops when you have affluent buyers who

I attribute the change to the influx and return of a strong middle class in cities. It's easier to create "mom and pop" shops when you have affluent buyers who live a block away. Suburban lifestyle meant your nearest supermarket became the obvious decision when the 5 mile drive was no shorter than a 45 minute drive. It will be interesting when services such as Postmates, Curbside, and Instacart evolve to extend these small businesses' reach.

netcan 12y ago
I think the big part is affluence full stop. “Discretionary” spending tends to go to go to small businesses in larger proportions while big corporations get the non discretionary stuff. Niche products like those mentioned. Services (cleaning restaurants). Entertainments services. Those all lend well to smaller businesses. More rich people. More niche products and fun services. A middle class family spend most of their money on low cost brands at the supermarket supermarket, department store clothes and furniture, transport, accommodation, etc. Housing employs a lot of small businesses but apart from that, most of it goes to the big boys. Add 50% to their income and you’ll probably see more restaurants, craft products and such. Mass production, mass appeal is the domain of large company.
- morgante 12y ago
  > I think the big part is affluence full stop. I don't know about that. Most luxury spending I see goes towards huge brands (fashion labels, air travel, etc.), whereas necessities can go to small businesses. I'd probably never buy my clothes at a random boutique, but I might pick up a lightbulb at the corner hardware store.
  - blumkvist 12y ago
    I think you misunderstand what a small business is. A corner hardware store is a micro company. For most intents and purposes a small business is between 10 and 50 employees and/or between 10 and 50 million in annual revenue. In the US the Small Business Administration will classify most of the companies under 500 employees as a small business.
    - morgante 12y ago
      I think you're being needlessly pedantic. A corner hardware store is absolutely 100% a small business. What possible argument do you have for claiming it is not?
      - blumkvist 12y ago
        The way it is treated by tax authorities and the administration. If that's not enough for you, I don't know what is.
        morgante 12y ago
        I'm going by what nearly every normal person in the world considers a small business. For example, Wikipedia: "Typical examples include: convenience stores, other small shops (such as a bakery or delicatessen), hairdressers, tradesmen, lawyers, accountants, restaurants, guest houses, photographers, small-scale manufacturing, and online businesses, such as web design and programming, etc." If you truly believe that a corner hardware store is not a small business, please go ahead and tell that to the store. See how much they laugh at you.
        blumkvist 12y ago
        Why should I enter a store and tell them something like that? And even if I do such a bizzarity why should I care that a clerk laughs at me?
        DanBC 12y ago
        Are you talking about an independantly owned corner hardware store? I can see your point if you're talking about a chain of stores. The definition you used does not specify minimum employee levels and I'm a bit confused why you added those minimum levels.
        blumkvist 12y ago
        Yes, a chain of such stores sounds like a small business. A single location sounds like self employment. Micro business is the legal term, at least in the EU.
jnbiche 12y ago
>return of a strong middle class in cities Where are these cities where a strong middle class has returned? Surely not in SF, where one of the area's highest paid professions (software engineer) cannot afford family housing? Certainly not elsewhere in California, where incomes among middle class Californian households fell by nearly 7% between 2009 and 2013, while income among the state’s top 20% earners grew by 1.3% [1]. Certainly not small cities in the Midwest or South. Having traveled through those extensively the past few years, I can assure you there is no middle class returning to those cities. Quite the opposite. I'm not one of those who gloats about SV "privilege" and scolds people for making the money they deserve to get paid, but the extent to which the typical educated SVer is getting out of touch with the economic reality of this country does have me concerned. If software really is eating the world, and the industry's best and brightest are blithely unaware of the dire condition of the country's middle class, then we are good and truly fucked. 1. http://www.huffingtonpost.com/2015/01/24/states-middle-class_n_6538148.html http://www.huffingtonpost.com/2015/01/24/states-middle-class... (not usually one to cite the Huffington Post, but this article clearly outlines the data sources and methods at the bottom, and they seem solid)
- graeme 12y ago
  I think they meant the return of the middle class to city centres. That doesn't mean there's more middle class people in a metro area, just that they now live downtown rather than spread out in suburbs. Basically, anywhere with gentrification. The unaffordability of housing in city centers is a sign it's now "in" to live there. Businesses follow. I do agree with you about how out of touch people on here are about North American economic reality.
- rayiner 12y ago
  > Where are these cities where a strong middle class has returned? When I was growing up in the suburbs of DC, not only would nobody middle class ever live there, you'd only ever go there to visit the monuments. Now, large swaths of the city are being redeveloped into areas for people who can afford to patronize mom & pop establishments.
- harryh 12y ago
  I'm from Greenville, SC (a small city in the South) and it is BOOMING. Population has grown by a third or so in the last 10 years. There are new residential and commercial developments everywhere.

netcan 12y ago

I think the big part is affluence full stop. “Discretionary” spending tends to go to go to small businesses in larger proportions while big corporations get the non discretionary stuff. Niche products like those mentioned. Services (cleaning restaurants). Entertainments services. Those all lend well to smaller businesses. More rich people. More niche products and fun services. A middle class family spend most of their money on low cost brands at the supermarket supermarket, department store clothes and furniture, transport, accommodation, etc. Housing employs a lot of small businesses but apart from that, most of it goes to the big boys. Add 50% to their income and you’ll probably see more restaurants, craft products and such. Mass production, mass appeal is the domain of large company.

morgante 12y ago
> I think the big part is affluence full stop. I don't know about that. Most luxury spending I see goes towards huge brands (fashion labels, air travel, etc.), whereas necessities can go to small businesses. I'd probably never buy my clothes at a random boutique, but I might pick up a lightbulb at the corner hardware store.
- blumkvist 12y ago
  I think you misunderstand what a small business is. A corner hardware store is a micro company. For most intents and purposes a small business is between 10 and 50 employees and/or between 10 and 50 million in annual revenue. In the US the Small Business Administration will classify most of the companies under 500 employees as a small business.
  - morgante 12y ago
    I think you're being needlessly pedantic. A corner hardware store is absolutely 100% a small business. What possible argument do you have for claiming it is not?
    - blumkvist 12y ago
      The way it is treated by tax authorities and the administration. If that's not enough for you, I don't know what is.
      - morgante 12y ago
        I'm going by what nearly every normal person in the world considers a small business. For example, Wikipedia: "Typical examples include: convenience stores, other small shops (such as a bakery or delicatessen), hairdressers, tradesmen, lawyers, accountants, restaurants, guest houses, photographers, small-scale manufacturing, and online businesses, such as web design and programming, etc." If you truly believe that a corner hardware store is not a small business, please go ahead and tell that to the store. See how much they laugh at you.
        blumkvist 12y ago
        Why should I enter a store and tell them something like that? And even if I do such a bizzarity why should I care that a clerk laughs at me?
      - DanBC 12y ago
        Are you talking about an independantly owned corner hardware store? I can see your point if you're talking about a chain of stores. The definition you used does not specify minimum employee levels and I'm a bit confused why you added those minimum levels.
        blumkvist 12y ago
        Yes, a chain of such stores sounds like a small business. A single location sounds like self employment. Micro business is the legal term, at least in the EU.

jnbiche 12y ago

>return of a strong middle class in cities Where are these cities where a strong middle class has returned? Surely not in SF, where one of the area's highest paid professions (software engineer) cannot afford family housing? Certainly not elsewhere in California, where incomes among middle class Californian households fell by nearly 7% between 2009 and 2013, while income among the state’s top 20% earners grew by 1.3% [1]. Certainly not small cities in the Midwest or South. Having traveled through those extensively the past few years, I can assure you there is no middle class returning to those cities. Quite the opposite. I'm not one of those who gloats about SV "privilege" and scolds people for making the money they deserve to get paid, but the extent to which the typical educated SVer is getting out of touch with the economic reality of this country does have me concerned. If software really is eating the world, and the industry's best and brightest are blithely unaware of the dire condition of the country's middle class, then we are good and truly fucked. 1. http://www.huffingtonpost.com/2015/01/24/states-middle-class_n_6538148.html http://www.huffingtonpost.com/2015/01/24/states-middle-class... (not usually one to cite the Huffington Post, but this article clearly outlines the data sources and methods at the bottom, and they seem solid)

graeme 12y ago
I think they meant the return of the middle class to city centres. That doesn't mean there's more middle class people in a metro area, just that they now live downtown rather than spread out in suburbs. Basically, anywhere with gentrification. The unaffordability of housing in city centers is a sign it's now "in" to live there. Businesses follow. I do agree with you about how out of touch people on here are about North American economic reality.
rayiner 12y ago
> Where are these cities where a strong middle class has returned? When I was growing up in the suburbs of DC, not only would nobody middle class ever live there, you'd only ever go there to visit the monuments. Now, large swaths of the city are being redeveloped into areas for people who can afford to patronize mom & pop establishments.
harryh 12y ago
I'm from Greenville, SC (a small city in the South) and it is BOOMING. Population has grown by a third or so in the last 10 years. There are new residential and commercial developments everywhere.