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- Path: sparky!uunet!caen!rphroy!link.ph.gmr.com!vbreault
- From: vbreault@rinhp750.gmr.com (Val Breault)
- Newsgroups: sci.electronics
- Subject: Re: Big Brother Radio Shack
- Message-ID: <VBREAULT.92Nov10163955@rinhp750.gmr.com>
- Date: 10 Nov 92 21:39:55 GMT
- References: <1840073@hpsad.sad.hp.com> <BxBzJK.BqK@news.udel.edu>
- Sender: news@rphroy.ph.gmr.com
- Organization: General Motors Research Labs
- Lines: 55
- Nntp-Posting-Host: rinhp750.gmr.com
- In-reply-to: bew@brahms.udel.edu's message of 7 Nov 92 05:35:44 GMT
-
- In article <BxBzJK.BqK@news.udel.edu> bew@brahms.udel.edu (Ben Williams) writes:
-
- I've just read this thread containing 50+ complaints about Radio Shack.
- What I would like to know is: Why do we have to shop at RS to get
- electronic supplies? Why aren't there other electronic stores in
- competition with RS? Well, maybe there are in your area (let me know)
- but where I live they are the only thing going. And boy is that ever
- frustrating! Aren't there laws about monopolies? Aren't we living under
- a competitive free-market economy where stores that customers do not like
- to go to will be competed with by other stores? Isn't that the way it's
- supposed to work? I mean, RS does seem to usually have what I am looking
- for, but I still would like the option at least to do business elsewhere.
- You know, like maybe an electronics store where the salesmen know what
- they are talking about...
-
- Three things Ben.
-
- First: For all its warts, our free market system is still top notch
- when it comes to matching up a supplier to a demand. Cripe! I've
- even seen people do well by creating a demand AFTER they've set up
- business. Now, since there aren't a large number of suppliers, I reason
- that it's because there is so little demand. This isn't 1959 anymore.
- People aren't as interested in electronic construction as they used
- to be. If you think differently then go out and raise the capital
- to start your own electronics hobbiest supply shop. Go head to head
- with Radio Shack. Expand into other cities, other states. People
- will talk fondly of you in the same spirit as they do about Ray Crock.
- (founder of McDonalds).
-
- Second: If you're looking to provide your customers with the kind
- of top notch technical support that you envision then you'll have
- to make a ton of profit off that handfull of components that your
- salesman sells. Highly qualified individuals with a technical
- background won't consider working for less than premium wages.
- If you plan to run your business as a charitable organization then
- this point may not matter. Otherwise consider how much you'll have
- to make off those 10 or 20 minute consultations. Depending upon
- your inventory, rent and pay scale, you may be able to get by grossing
- as little as $70 per hour per employee.
-
- Third: Fact of life... After getting their free technical answers
- at your store, be prepared to see your customers filling their parts
- needs via mail order or at the Radio Shack across the street.
-
- Retail sales is a cruelly demanding business Ben.
-
- -val-
- --
-
- Val Breault - GM Research - vbreault@gmr.com - N8OEF
- Instrumentation dept., 30500 Mound Rd., Warren, MI 48090-9055
- The opinions expressed by the author do not necessarily reflect
- those of GMR or those of the General Motors Corporation.
-
-
-