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Stores play an important role not only in the developed countries, but also in the developing countries in people’s daily life. However, with the rapid development of economy, more and more developers would like to build their stores in different communities, especially mega stores. When mega stores moved into a small community, developers usually use low prices or good rebates to get local peoples attention. Therefore, many people should think whether mega stores bring local people positive effects or not? According to Business Journal. (1998) mega stores not only do not bring many positive effects, but also bring a lot of negative effects, such as losing jobs, local stores closing, unfair competition cause loss of traditional culture, and so on (para.5 1998). However, what are the effects of mega stores in small communities on earth? Mega stores in small communities have three major negative effects, such as damaging the local economy, influencing local jobs, and effecting local traditional culture. <br/> One major effect of mega stores in small communities is damaging the local economy. With the rapid of development of the social economy, many mega stores are moving into small communities. Mega stores usually reduce a little money on sales or use good rebate to give customers. Therefore, many local stores are confronted with many economic problems, such as changing economic activities. In the article “opening up the big box” Basker states prices drop 7-13% after a mega store like Wal-Mart enters a city (para.9). Therefore, traditional stores are closing because small local stores can not compete with the chain’s price. If they try to compete with the chain’s price, they will lose money on sales and eventually will <br/> Mega Stores 5<br/> <br/> close, but if they do not compete against the chain’s price, they will also lose customers and have the same situation. People think mega stores can save them money, but when mega stores eliminate competition with local stores until they were closed in small communities; then mega stores will tend to raise their prices because local people have to choose mega stores to shop. For example, in the article “The impact of chain stores on community” a survey was done in Virginia that showed when mega stores have no competition their prices tend to rise (para.14). So, this shows that in fact mega stores do not save money for local people. By contrast, local stores do save money for local people because local stores worked with other local shops, when local stores make lots of money, they will also use their money in their own communities because they want to their communities to improve and give local people a good life level for next generation. According to Stacy Mitchell. (2000). Even when situations are hard economically, local business owners will try to stay in the community and look for other opportunities to develop their economy, but mega stores will abandon a location if their profit do not meet their expectations. The worst case is mega store builds on the edge of town, when they abandon there, it will destroy local economy because nobody want to rent there to develop there again, so the local government will spend a large sums of money to clean deserted place for local people. Therefore, mega stores in small communities can damage the local economy.<br/> Another major effect of mega stores in small communities is to influence local jobs. Many people think when mega stores build in their communities, mega stores will create lots <br/> Mega Stores 6<br/> <br/> of jobs for them. However, when local people look for jobs in mega stores, they only get minimum wages. Also, because mega stores in small communities will make discounts on sales for getting many consumers and getting shoppers attention, so many local stores will be forced to close. When many local stores closed and they will no longer create more opportunities for local jobs. Therefore, many local people will lose jobs or only look for low wages. However, when mega store build in small communities, mega stores also refuse to do business with small and mid sized companies because mega stores want to clear small and mid sized companies away from local areas. According to “ Opening up the big box”.(2006) reports that when a mega store arrive in a typical county, they will destroy about 180 to 270 retail jobs, they conclude, which suggests that each mega store associate does the job of 1.5 to 1.75 people at rival (para.12 2006). However, in order to gain lots of money for food, healthcare, and their children education, people will have to look for low salaries jobs, or sell their own store, which will be forced to close, to mega store look for a low salaries job. In the article “Fortune on nation under Wal-mart” shows that although Mr. Neumark and his colleagues could not indicate out specific wages directly, they did a very specific survey that Wal-Mart really influences the number of workers, which averaged close13,860 dollars per worker in their payroll. Sometimes, mega stores like Wal-mart would reduce worker’s salary by about 1%, but no one knew why mega stores reduce their salary, Mr. Neumark and his colleagues did estimate that this was because workers work times are shorten; therefore, wages fall at employees expense. There are no well paid jobs (para.13). Therefore, mega store <br/> Mega Stores 7<br/> <br/> in small communities will influence local jobs.<br/> The last major effect of mega stores in small communities is changing local culture. <br/> Because when mega stores move into a small community, mega stores bring their own culture in the community. As a result of local stores so small, they cannot compete with mega stores, so many local stores will be confronted with closing and they will sell their stock. Therefore, when mega stores moved into this community, they will spend a large sum of money to purchase all local stores, which has already closed, to rebuild local house, so they will build many new buildings look the same. Meanwhile, there are also losing lots of traditional culture in this small community because this small community is affected by mega stores, so they are becoming “clone towns”. According to “Attack of the Clone Towns”. (n.d.) there are many areas which have already become “clone shops” in Exeter. Exeter is the worst “clone town” in the country (para.21). Because there are almost losing traditional cultures and over 26% parts of city were on the border of becoming “clone city”. Mega stores bring their own culture bigger and better, faster and stronger, but mega stores only give local areas a little space for community cultural diversity; however, the main purpose of mega stores are to sell a lot, sell quickly, and gain lots of money. Mega stores do not care about the loss of traditional culture in small communities. Meanwhile, local people want to work with mega stores or get jobs in mega stores, they have to be accustomed to mega store’s rules and have to conform to there methods of working, so they have to change their traditional point of views and accept new opinions, which is mega store’s culture for their living. Therefore, mega store will effect local<br/> Mega Stores 8<br/> <br/> traditional culture.<br/> In conclusion, mega stores in small communities can bring three major effects: high unemployment, local destruction of the economy and the loss of culture. Those negative effects give local people lots of problems, such as losing jobs, local stores closing, and unfair competition causes loss of traditional culture. However, local economy not only do not get develop, but also local people’s quality of life goes down because many people lose there jobs and are forced to take low salary jobs, so they do not have enough money for food, healthcare, and their children education. However, if mega stores really want to move into small communities, they should change their own opinions and policies, which they build in small communities not always gain lots of money. Sometime, they should help local stores, such as use the same prices as local stores, work with local stores, and make fair competition. Mega stores should also cooperate with local stores; they should work together, develop together, gain money together and cooperate together. |
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