Quote:
Originally Posted by Arrakis
Another national chain has gone under and is closing its shops across the country. There's no real surprise though that XS Cargo is closing. It's the dumpiest and most up useless store I've ever been in. Here's the news announcement link.
http://business.financialpost.com/20...?__federated=1
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I liked XS Cargo. For students moving to the city they had some great cheap furniture. To this day I still have a bookshelf, TV stand, coffee and end tables, and a desk from there plus a bunch of other cheap household stuff like hangers and whatnot. It was one of the places I frequently went just to see what they had.
I think stores like this and Hart/Bargain Giant made one critical mistake: trying to compete in primary markets. There's a ton of competition in major cities like St. John's and Halifax, but if they had gone into secondary or tertiary cities and towns, with their prices, they would have done better. The market is smaller but you can capture all of it with less competition. Hart/Bargain Giant went under specifically because they failed to make money on a huge expansion into primary shopping markets like St. John's and stopped focussing on 2nd-3rd tier markets like Grand Falls or Port-aux-Basques where they were #1 or 2 in town.
XS Cargo was in competition with the likes of Winners, Wal-Mart, Target, Costco, Dollarama, Dominion, Staples, Canadian Tire, etc... and you're not going to win that battle.
Quote:
Originally Posted by Marty_Mcfly
Interesting. We drove by there last week and noticed the sign. I was wondering if it was a for real closing sale, or if it was kind of like what Fairweather does in the mall, where they've been "closing" for about 7 years now
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I remember going to St. John's for a trip before I even moved out there for undergrad and they had their store closing sign up. So your 7 could be spot on. haha