Local Dollar

[Bob_VT]

I guess this would apply to those of us that live in small communities more than major cities.

I am a believer in keeping my dollar local. If I have to pay a few bucks more for something I realize that I am supporting my local economy, helping my neighbor earn a living and pay the same taxes I do.


The curve ball is when the local government (we use Select Boards comprised of elected men and women) goes out of Town and State for equipment and supplies. They send our dollar away and it impacts the local economy. It complicates matters to say the least.

How do other people feel about this?

 

[tashasdaddy]

Re: Local Dollar

Jacksonville, is such a large city, and requires all items to be let out for bid. if the locals can do it fine, they do get extra points in the bid process, also minority owned and female owned companies get extra points.

 

[Limited-Time]

Re: Local Dollar

I would think financial responsibility to the public out weighs supporting local business. Unless of course the locals vote to mandate the supporting of home town enterprises.

 

[Bob_VT]

Re: Local Dollar

May not sound like a big deal but something as simple as a tool or a shovel that can be purchased at the local hardware store, or even a vehicle for municipal use. I would like to see those done local however....... they send away for the tools and go for the cheapest vehicles even if they have to travel 500 miles! Penny wise but dime dumb.

 

[Bigprairie1]

Re: Local Dollar

I think I'm with you on this Bob. It is important to keep things local when possible.
That said, expanding your purchasing options outside the community helps those within it understand that they need to be competitive if they want their business to succeed.
Someone local recently published an interesting cookbook called the 100 mile diet. It centres around trying to buy all of your food from local growers, farmers, ranchers, etc only...which is an interesting idea.
I try to keep with this whenever I can and it is interesting to see what you can actually buy if you set a 100 mile perimeter for your food purchases.
Interesting stuff.
BP
ps: as a result of this kind of thinking I do everything I can to never shop Walmart.

 

[Bob_VT]

Re: Local Dollar

ps: as a result of this kind of thinking I do everything I can to never shop Walmart.

I use Walmart (ours is not a food store one) for items that are actually sold to walmart locally. The walmart employees are our local people too and walmart contributes to the area's economy.

A good example for me is a major appliance store vs. the big box stores or local sporting goods stores where I know the owner.

VT is a small (very small) state. Hundred's of small downtown areas that used to thrive but now have slowed. We are reflecting the way of the world by seeing less advertising in the local papers....... the good old fashioned let your finger's do the walking has all shifted to the internet.

I really don't know the answer to this but everytime I see a business close or move it creates a vacancy that never seems to be re-filled.

 

[AZMinyard]

Re: Local Dollar

I always prefer local over national and most often find myself exercising this when it comes to my dining options. I would rather eat at a locally owned or ?Mom & Pop? joint than any national chain.

This, of course, is just an illusion in many cases.

Let?s take your shovel, for example. You purchase a Stanley shovel at Fred?s Hardware for $10 and walk out the door feeling good about purchasing locally, keeping dollars in the community. But where does your $10 really go? If you could break down the costs involved with taxes, purchasing the shovel from Stanley, utilities, etc you will find that even the local purchase largely ends up sending most of its money out of the community. Worse yet, Stanley may be paying China to make the parts, even if they assemble them here to get the ?Made in America? stamp. If you are lucky, 10% of your purchase may stay local, which is the wages that end up in Fred?s pocket and the pockets of his workers ? no different than the wages of workers at a national hardware store.

My restaurant thing is no less of an illusion. Local providers can?t match the buying power of Kraft or one of the other national food companies. The money always seems to leave the community, state, region and even country in the end. It?s sad really.

What can be done about it? If you are lucky enough to find shops such as butchers, bakers, farmers markets or purveyors who tout local goods ? use ?em. When places invest in the community they are in, they proudly advertise it.

I?ll quit ranting now. It just always depresses me to see the local shops shut down and left vacant while a new Wal-mart goes up down the road . . .

 

[mthieme]

Re: Local Dollar

I agree, but I don't think it's realistic.
Look at the label on your sneakers that you bought at your local store...where were they made?
Yeah, your neighbor scrapes a few pennies out of the deal, but I think there is a bigger problem.

 

[Bob_VT]

Re: Local Dollar

Let?s take your shovel, for example. You purchase a Stanley shovel at Fred?s Hardware for $10 and walk out the door feeling good about purchasing locally, keeping dollars in the community. But where does your $10 really go? If you could break down the costs involved with taxes, purchasing the shovel from Stanley, utilities, etc you will find that even the local purchase largely ends up sending most of its money out of the community. Worse yet, Stanley may be paying China to make the parts, even if they assemble them here to get the ?Made in America? stamp. If you are lucky, 10% of your purchase may stay local, which is the wages that end up in Fred?s pocket and the pockets of his workers ? no different than the wages of workers at a national hardware store.

I guess that buying the shovel at "Fred's" locally is still better for the local economy than an order to a mail order catalog. I am for supporting buying local when feasible. Not all products are offered locally but, what is available will help the local economy..... regardless of where the product is made.

If Fred's sells products made in xyz country the profit that Fred's makes stay's here and even more so if the product is made here. This helps Fred and his worker's pay their bills...... if we get it from "out of area" it is not helping the local economy.

 

[oops!]

Re: Local Dollar

dont get me started on this one.....

buying locally is somthing we all must try our very hardest to do.....that also means buying somthing that is manufactured in the area or nation.....

it is extreamly important.........local governments must try to get the biggest bang for the buck....but that is a power keg.......(what happens if the mayor is the local car dealers friend).....but if done correctly......it can and should be done before the dollar is spent else where......

when city hall is delebration on spending the dollar.....go to the meeting and let them know what you think.......tell then you want the dollars to be spent locally.

out city hall is stupid right now compaired to the last council.....but i think we are gonna kick them all out and get a group in there that is just a little more business savvy.

by the way..... i avoid wally world at all costs......i allways try to shop at the locally owned shops for everything.....and avoid theings "made in china"

as consumers.....we have ALL THE POWER .....we must try to use the power to support our brothers and friends......rather than another nations dollar......if it costs us two more dollars to shop locally.....it gains us 10 dollars in the long run

 

[Mark42]

Re: Local Dollar

I shop at local stores not just to support the local merchant, but they are much closer that Walmart, Lowes, Home Depot, etc. So the local hardware store gets my business when they have what I need. Otherwise, its off to Sears, Lowes, etc. The little more I might pay for a shovel at the local hardware is more than offset by the $8 round trip gas expense to get to Sears, Lowes, etc. Plus a savings of about an hour and a half round trip to the big store vs 15 min at the hardware.

Now I see that there is a Tractor Supply Store opening downtown. I think the local hardware and lumber yard (that sells a lot of hardware, mailboxes, tools, outdoor patio and pool supplies) will be losing business to the tractor supply store. I hope the hardware store doesn't close, I like that store and the people who own and work there.

 

[mscher]

Re: Local Dollar

I guess this would apply to those of us that live in small communities more than major cities.

I am a believer in keeping my dollar local. If I have to pay a few bucks more for something I realize that I am supporting my local economy, helping my neighbor earn a living and pay the same taxes I do.


The curve ball is when the local government (we use Select Boards comprised of elected men and women) goes out of Town and State for equipment and supplies. They send our dollar away and it impacts the local economy. It complicates matters to say the least.

How do other people feel about this?

The really sad thing is that many times governments, purchase goods and services elsewhere, and pay MORE than if they were to buy locally.

The purchasing is political and not economical.

Marty

 

[mthieme]

Re: Local Dollar

While this happens, most local governments have a bid process. Part of the process involves scoring several criteria. Each criterion can be weighted. If properly written, a bid proposal may not depend solely on price. It is also not uncommon for local jurisdictions to favor local vendors and minorities.
Commodity items are harder to justify.
It is beneficial for them the consumer, to have local support as well.
Many times, the jurisdiction will have some (typically local) vendor in mind and tailor the proposal to them.
In higher density areas, you don't have to look far for supply houses, making it harder to justify going further.

 

[642mx]

Re: Local Dollar

I always shop for the best deal, if Mom & Pops have a shovel for the same price as Lowes, then they earned my business. I'm not going to pay more so some local guy can get wealthy while I "feel good" about my local purchase.

I grew up in a small town that is pretty much ran by bribe money and the 'good ole boy' system. For example, a local hardware store will charge you 3 to 4 times the retail price on something like batteries, because the closest 'big box' hardware store is 20 minutes away. And just a few years ago, Rural King wanted to buy a building, renovate it and open up..... but, nooooo our local Co-op and hardware (rip off) stores threw a little money at the powers that be and the town told Rural King to go away.

Maybe the corrupt town that I grew up in has made me like I am, but I believe that you should purchase what benefits you. If the local guy is asking more money for the same product then he deserve to lose my business.

 

[AZMinyard]

Re: Local Dollar

If the local guy is asking more money for the same product then he deserve to lose my business.

ITS NOT HIS CHOICE! The big box stores purchase at lower prices due to volume discounts! The local guy isn't just trying to get paid more. This is in large part why local guys are being forced out. It's not about feeling good about purchases, its about doing what is right and best for your community.

Next time a store closes by you go to the owners house, look him in the eye and tell him that it is his fault for charging higher prices. Then live with yourself.

Gawd - thinking like this will have all of our jobs outsourced to Mexico or India soon!

 

[oops!]

Re: Local Dollar

It's not about feeling good about purchases, its about doing what is right and best for your community.

these are very true words.......

think about it.......in the 1800's all we could do is shop locally....and we grew....our citys and towns that had money coming in from a mill or mine....grew...as the dollar was spent locally and the money stayed in the area.

but now today....there are still little towns that are hanging on because the people have no choice but to shop locally....they eat at the local diner....and buy the local food from another farmer.....

thats why people are screeming about big stores coming into town and the town dying........the money goes out of town ....state....and mostly country....ie...china........

once again....as consumers....we have all the power.....we need to use the power correctly.....or we will loose it !

 

[NelsonQ]

Re: Local Dollar

thats why people are screeming about big stores coming into town and the town dying........the money goes out of town ....state....and mostly country....ie...china........

once again....as consumers....we have all the power.....we need to use the power correctly.....or we will loose it !

That's the truth. The company I worked for just opened an office in Viet Nam. Simply based on the fact that you can hire 4 staff for the cost of one in Canada. The economics make sense for secondary work that needs to get completed but is too expensive to do in Canada. (average wage is approx $800 USD/month for software programmers in Viet Nam)

So its Canada $$$ spent in a foreign country.

Most of the 'little guys' in my neighbourhood are gone in the retail business. Even our Canadian Tire stores cost a few more bucks, but when you think about your $$$ staying local (or a bigger percentage) every little bit counts.

 

[CATransplant]

Re: Local Dollar

I live in a major metropolitan area. Sticking with hardware stores as a topic, I can visit a local ACE hardware store or Home Depot. They're the same distance from my house.

I go to the ACE first. Why? Because they stock actual hardware. They have an aisle that is nothing but drawers full of nuts and bolts and screws. Need aluminum machine screws? They have them in every available size. Ditto stainless steel, brass, and Grade 8.

Need some #6 wire? They sell it by the foot, and even have 2-conductor wire in that size. How about a trolling motor plug and socket? No problem. Did the recoil spring on your lawnmower break? They've got it, even if your mower is 15 years old.

That's why I go there first. If they have what I need, I buy it there, even if it would be a little cheaper at Home Depot. If they don't have it, I go to Home Depot, which might have it...maybe...possibly...

I reward the local store, not because I want to "support local businesses," but because this particular ACE Hardware has figured out that they can compete with Home Depot by supplying all the hardware needs of the community, not just the average needs. If I need a brass replacement float for a 50 year old toilet, like the one in my house, I know that Home Depot doesn't have it. The local ACE does.

If I need one 1/2" X 4" Stainless Steel bolt and matching washers and a nut, I can't get that at Home Depot. I can at the ACE. So I go to the ACE.

Small businesses can successfully compete with the Home Depots, but they have to work at it by supplying what Home Depot won't. If they do that, folks will come to their store first, not last.

If my local ACE hardware didn't carry a full line of stuff, I would never go there, and they'd soon be out of business. It's not hard to compete with Home Depot, but you do have to try. Home Depot sells the lowest common denominator of stuff, for less, but they don't sell what you need half the time.

 

[NelsonQ]

Re: Local Dollar

I go to the ACE first. Why? Because they stock actual hardware. They have an aisle that is nothing but drawers full of nuts and bolts and screws. Need aluminum machine screws? They have them in every available size. Ditto stainless steel, brass, and Grade 8.

Need some #6 wire? They sell it by the foot, and even have 2-conductor wire in that size. How about a trolling motor plug and socket? No problem. Did the recoil spring on your lawnmower break? They've got it, even if your mower is 15 years old.

Amen to that. I noticed that at Home Depot if you need a few screws, you need a 5lb box. I can't tell you how many leftovers I have because of this.

For that reason alone, I wish there were more local stores as they were TRUE hardware stores.

 

[642mx]

Re: Local Dollar

ITS NOT HIS CHOICE! The big box stores purchase at lower prices due to volume discounts! The local guy isn't just trying to get paid more. This is in large part why local guys are being forced out. It's not about feeling good about purchases, its about doing what is right and best for your community.

Next time a store closes by you go to the owners house, look him in the eye and tell him that it is his fault for charging higher prices. Then live with yourself.

Gawd - thinking like this will have all of our jobs outsourced to Mexico or India soon!

Wow, nice attack. I was referring to the local guy charging more than retail. Reread my first post.

If a local hardware store is trying to sell me a pack of batteries for twice the retail price because they know that the nearest competitor is 20 minutes away and they believe most people will pay the price and then they go out of business because people get tired of being ripped off and decide to drive 20 minutes to pay a fair price for the same product.... then I won't only look him in the eye and tell him its his fault, I'll look him in the eye and laugh.

I don't like getting screwed. Sorry if my opinion offends anyone.