What’s With The JC Penny’s, Sak’s Fifth Avenue Bailout Rumor?
I heard a rumor today that JC Penny’s and Sak’s Fifth Avenue wanted to get in the Government bailout “food line.” (or chain)
I decided to research it for myself. That couldn’t be right.
There had to be more to it.
A lot …no a ton of people have weighed in on this. There is zero sympathy for retailers (excluding them) , especially for the larger more affluent retailers.
HERE’S THE DEAL:
The real truth is that so many retailers are in trouble; not just Sak’s and Penny’s. Each store faces a different set of challenges, some not as bad as others.
First off, we don’t know each company’s fiscal bottom line…but here’s a hint: Go to Google and type in the name of any big store and see what comes up when you type in the store name followed by the word “bankruptcy.” You may be as shocked as I was. There is some smoke on the scenes folks…no mirrors though.
It seems that The National Retail Federation who represents retailers now has asked President Elect Barack Obama to legislate some tax free shopping days and… (read the rest here)
This response means that there is some wild thinking going on out there…it’s actually dangerous. Instead of retailers sitting down to cut costs and reasonably expect lower profits…they want the government to help them. One can make some sense of the need for the United States to assist the Automobile companies. (well, at least I can)…but I don’t think that we can “afford” to bail out everyone who “thinks” that the country should bail them out.
You do know that the retailers don’t see the irony. It’s not in any consumer’s interest to bail out a retailer for the purpose of them having in store sales where they won’t have to pay taxes. In some cases…items are marked up one thousand percent. For example a ten dollar item from Calvin Klein that sells for $80.00 may net the retailer in a high end store $40.00 per item. So when they talk about a loss of profits; it just means that they’ve got to take less than the ideal price per item. So the consumer runs to shop for a discount and will pay the full price ultimately in higher taxes…but no one highlights this.
This Babylonian system built on debt is steadily crashing. The biggest secret that the public never knew about is the massive wealth that has been accumulated off of their backs by private business.
It’s a merry go round that’s running out of fuel…an ending fueled by greed.
It’s a prayer concern…and it’s a good time to get started…sooner rather than later. Be advised…
All of this “panicking” by retailers is fear. Fear is faith contaminated. Retailers are people. There may be some who have done business cautiously knowing there would be a rainy day. We applaud the harvest that they will receive as a result. However, let us pray for God’s mercy for those who “missed” it. Our prayers can be heard; just like they were when the gas prices came tumbling down, just like when the Berlin Wall fell, just like when we all have received out victories and breakthroughs big or small.
P.S. There’s no point in storming the gates of Fort Knox…the gold isn’t there any more.