The Real Economy We Live In

Today my family and I went to the mall to get some early birthday presents for our cousins and the girls. I was a bit surprise to find out Toy's R Us had posters handing at the glass window with three days left until store closes forever. I was aware that the retail was in liquidation mode, but seeing it happen right before my eyes is just different from expectations. The store had almost nothing left to sell as many aisles were empty. To see it all happen is just depressing.

I was raised up through the years getting presents from the retailer. I bought most of my video game consoles from them and each one I remember as if it was yesterday. From Game boy, Super Nintendo, Play Station, PSP, Play Station 2, Play Station 3 and the Wii. The happy memories of something I wanted to have the opportunity to pass down to my children will not happen in a Toy's R Us.

Today's economy is no longer built on retail stores but on eCommerce. Going to a retail store via car or public transportation to purchase goods is considered old fashion. Now it is purchasing goods and getting it shipped to the front door as early as it can be for any online order.

More often than not online prices for the same goods can be obtained at lower prices than a retail store. This is due in part that for a eCommerce they likely have less operations costs and greater inventory to sell at bigger discounts than a retailer. But as a consumer in a nation that basically runs on consumption the thought of having one last place to go shopping stings.

We were at the mall where an Sears that was once two levels had shrank into 1/2 of a floor. Many areas within the store was empty and some parts look to be in renovation. Oddly no formal news regarding the closure of Sears, but when you are at a store you get the sense that it would intent to close very soon. Although Sears have been consolidating over recent years by closing stores there were no news of the store where we were at mentioned it would close.

Strangely enough Sears had banners at all entrances listing "Sears is Hiring". I wonder how many people would be motivated to work there when the stores themselves are half emptied in goods and stores footprint literally shrinking in size. It is as if Sears is trying to lighten up the mood with banners to make an impression that it was still doing well.

The sign of the times today.