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Elmer’s Weekly Small Business Tip – Nov 19, 2009
2 days ago · 1 comment
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Elmer’s Weekly Small Business Tip – Nov 19, 2009
What this entire "shop local" movement entirely fails to ignore is that members of community work at Peet's and Starbucks just as much as they work at the local coffee shop. And Peet's and Starbuck's probably give benefits and higher pay than other stores could afford to.
Now I am not saying that you should necessarily go out of your way to NOT buy local. But the fact of the matter is we live in a global economy and local businesses are forced to compete in it.
You say that your purchasing decision is guided by only product and service characteristics. The "Buy Local" movement values MORE than that. We know that local businesses support their communities, care about the effects of their business activity, spend 350% MORE in charitable donations than non-local businesses. And my experience is that their service AND quality are BETTER!
Locavores know that when they shop locally, these businesses will more often than not reinvest to deepen their roots in the community. Locavores know that small businesses are as inextricably linked to the local community as the residents are, and that they can not simply pull up stakes if the going gets rough.
Non-local businesses operate using a shareholder model. Locally owned businesses operate using the stakeholder model. The stakeholder model is one that supports sustainable communities and what we in the Buy Local movement favor.
Now your comments about labor are interesting, and partly true. Sometimes small businesses don't pay as well, and I know for a fact that it's a financial hardship for them to provide benefits. However, having worked in both worlds I can tell you this: Most large organizations look at benefits as a cost to be minimized, while most small organizations do all that they can to find ways to offer benefits to their employees.
In addition, the biggest issue with jobs at non-local businesses is that they do not typically build transferable skills for the employee. What that means is that when the business does leave or the employee wants to move on or up, they have not built a base set of skills that will help them get to the next level. They may know where the paint is, but they don't know how to manage paint inventory, for example.
Now, finally, let's agree on something! We do live in a global economy, and small businesses MUST compete. Organizations like SLF, and many others realize, that the only way true change can happen is by adapting to existing market conditions and doing everything we can to correct market failures, such as the information asymmetry (a lack of accurate and complete information) that many of your arguments are based upon. We will help bring economies of scale to the little guys by putting them together under umbrellas of interdependence. We will make strides to improve these businesses, to lower their costs, to lower their prices and ultimately, to win on a level playing field.
Think Local. Shop Local.
Joe to tha G.
We believe in supporting locally owned business's and charities and hope your followers do to.
Thanks very much for spreading the word. We love CitySquares.