The Home Despot takes a turn for the worse.

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Kurt Ullman wrote the following:

Google - "Ace Hardware franchise" or "True Value franchise". Franchises are wholly dependent on the franchise provider for their goods. They can't buy from other providers. I knew someone who once 'owned', or 'managed', if you will, a Carvel Ice cream store. They were not even allowed to buy their milk from other than the Carvel company. If they ran out of Carvel milk, they wouldn't be allowed to get it from the local grocery store, they would have to close down until they received a Carvel delivery. Every sale that Carvel advertised in the media had to be adhered to in the local franchises, at the expense of those franchise owners. Yeah, Tom was a real f**k.
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Bill
In Hamptonburgh, NY
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The value in a franchise to two directional. In the case of the Franchise, they are providing a service of group purchasing, shipping, advertising, and in many cases training. The individual franchisee gets those benefits but then must agree to purchase only from the Franchise owner. The benefit to them comes from lower prices for their goods, a recognized name, and advertising. Truely independent operations are often forced to pay more for buying from a distributor than they can sell for.

That seems really harsh but is a case of give and inch and give a mile. If they gave into the get it locally once, they would end up giving in all the time.

The franchise can be a hard way to go with the rules established by some of them. You really must do your homework before taking that plunge.

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On 9/3/2010 4:55 PM, willshak wrote:

Some tend to be totally absolute and others much different and are more like a co-op.

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On 9/3/2010 3:57 PM, willshak wrote:

Big box Home Depot and Lowes are not owned by local folks.
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wrote:

Home depot is NOT a Franchise store - at least in Canada. They are ALL Corporate stores. I believe that is true in the USA as well.
There is no "local ownership" involved - while Home Hardware, as an example, is TOTALLY DEALER OWNED.
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snipped-for-privacy@snyder.on.ca wrote the following:

I didn't say HD or L was a franchise store. I said AH and TV were franchise stores.

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Bill
In Hamptonburgh, NY
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wrote:

I remember those days too, I also remember seeing people go to those stores to get the help in determining what to then buy at Lowe's or HD.
I wonder why they went out of business.....
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On 9/3/2010 5:39 PM, BobR wrote:

Some people are really mooches. I often wondered if you took one of those tell me how to do it and I will buy it elsewhere folks and paid them the same way. Say Bob, you are our accountant and all you do is answer questions and tell folks how to do stuff so now you will work for free...

See above..
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Ask a Doctor how many free consultations they are asked to do outside of their offices. What really gets me is just how many people think they are entitled to that FREE help.
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In article

Heck ask a Nurse. One of the benefits of going into Psych is I don't have to answer many questions. "I don't work with that. Now if your tonsils start TALKING to you, I'm your man!"
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On 03 Sep 2010 19:33:42 GMT, Mark Lloyd
takes a turn for the worse.:

There's still room for a mom/pop hardware store in the right location.
We are a small town (6k pop. within 5 miles radius) that has a Lowes & HD 20 miles west of us and a Lowes 20 miles East of us. About 3 or 4 years ago a mom/pop hardware store opened and has expanded twice since it opened. Prices are higher than the L/HD, but the service/convenience is great.
They will be expanding again in January 2011.
Good for them.
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Work is the curse of the drinking class.

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I agree with Caesar there will always be a need since the BORG only sells the better sellers.
The question is can they find a location where they can make a buck. We are down to about 4 store in a metro area of 300K. Three of those are Ace and I wonder what will happen when corporate is no longer on the hook for the lease. The one independent a true value franchisee is best positioned to survive as I imagine they own the real estate.
IMO, the only way they will survive is to get rid of all the high cost merchandise and concentrate on hardware. A small well stocked hardware store may be able to find a niche in a lower rent, smaller footprint location. Selling it at $2 a pop with a 300% markup might make it possible to survive.
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Colbyt
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I live in Utah.
The ones here are very helpful, have plenty of help, they know where stuff is at least, and some are very knowledgeable, or will radio to get someone over there who has the answers. I think it has a lot to do where you live. The ones I go to in Las Vegas are entirely different. Fewer staff that seem to always be doing circles with you staying on the other side of the display, know nothing people, empty bins, that kind of stuff. Steve
Heart surgery pending? Read up and prepare. Learn how to care for a friend. http://cabgbypasssurgery.com
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Jeff Thies wrote:

I haven't noticed that really, and there are three local HD stores. Someone always mets me at the entrance and asks if I know where to go, etc. Most times I do, but I was looking for a floor squeegee a while back, and he walked me right to them. They still have some of their knowledgeable old-timers, and last year I was even able to find a breaker for my Federal-Pacific box.
Keith
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I've noticed a big regional difference between HDs. Not so much with Lowes, for some reason.
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