Counter Culture

Now that Blockbuster is no longer interested in acquiring Circuit City, what is next for the electronics chain?

Blockbuster and its major shareholder Carl Icahn backed out of their $1-billion-plus offer after Circuit City opened its books for the suitors. Apparently, they didn’t like what they saw.
Continue reading ‘What’s Next For Circuit City?’

In New York we like to joke about how, at some street corners in Manhattan, the storefronts of three different Starbucks are visible.

Granted, whenever we walk by a Starbucks here they are usually packed, with long lines and rarely any seating for those who might want to have a meeting or get some other work done. But this is Manhattan, where lots of things are like that.
Continue reading ‘How Big Are Starbucks’ Problems?’

Whoa! People are talking about holiday sales already?!?!

Economists are apparently worried about how retailers will perform this holiday season, which is about as surprising to us as hot weather in Phoenix. “The holiday season will be bad — if not worse than the last year,” says Bernard Baumohl, managing director and chief global economist at the Economic Outlook Group LLC.
Continue reading ‘Holiday Sales Freak You Out Already?’

Well, it looks like a few of Counter Culture’s readers are breathing a sigh of relief.

Pier 1 Imports has decided not to pursue its $81-million offer to acquire Cost Plus World Market just a couple weeks after the latter’s management called the deal “distracting and ill-timed.”
Continue reading ‘Pier 1 Abandons Cost Plus Bid’

These days around here we’re usually writing about chains closing stores or tapering back growth plans. So it was refreshing to read this Los Angeles Times article about Forever 21’s aggressive expansion.

The retailer, which focuses on selling affordable apparel to young women, is opening a 90,000-sf three-level store in Times Square next year, and executives predict revenue will jump from $1.8 billion this year to $2.5 billion in 2009. The 400-store chain is also looking abroad with openings to come in Asia/
Continue reading ‘Forever 21 Is Tearing it Up’

A recent Wall Street Journal article examines the problems faced by Cold Stone Creamery, the ice-cream chain that was one of the hottest expanding concepts a few years back.

The article says that 100 stores closed last year and that “one list on a Cold Stone Web site recently had 303 stores for sale — more than 20% of the company’s 1,384 as of December.”
Continue reading ‘Cold Stone Feels the Pinch’

Winn-Dixie is becoming a boxer that refuses to get knocked out.

After news last week that competitor Publix is buying 49 stores from Albertsons, Winn-Dixie chairman Peter Lynch released a statement saying that the move won’t impact his chain, as a majority of its stores are close enough.
Continue reading ‘Winn-Dixie Is Tough.’

Gap Inc. Chairman and CEO Glenn Murphy yesterday told a New York City investor conference that his company is looking at combining concepts into single stores and reducing store count.

The retailer will accomplish this, in some cases, by putting an adult Gap, along with baby, body and kids concepts, under one roof creating a superstore.
Continue reading ‘Will Gap’s Downsizing Work?’

When we saw that Pier 1 Imports is offering to buy competitor Cost Plus for $81 million, we have to admit that confusion set in.

As much as we like the Cost Plus stores (Where else in the suburbs can you pick up Pinot Noir, Sriracha and a fancy chair under one roof?), the timing of this deal seems a bit off.
Continue reading ‘Does a Pier 1-Cost Plus Merger Make Sense?’

We remember, not long ago, when Wal-Mart collected more negative headlines than Kobe Bryant hit fade-away jump shots.

Towns didn’t want the retailer to open a store in its borders. The company treated its employees like dirt. It was destroying the environment. Mom and pop stores were being laid to waste by Wal-Mart’s expansion. There were countless critics and a well-publicized documentary was released.
Continue reading ‘Is Wal-Mart Criticism Waning?’