localism

Faced with increasing competition from independent coffee shops across the country, Starbucks is embarking on an experiment to distance itself from its nationally known corporate brand and open coffee shops that give the appearance of being locally owned.

Over the past year, Starbucks has been forced to close 600 corporate-owned outlets, so its opened a new store in Seattle that looks nothing like the classic green and black Starbucks, doesn't use the Starbucks logo, store design or name anywhere in the coffee shop.

In the most obvious rip-off of an independent business, the décor of the new 15th Avenue Coffee and Tea, which the Seattle Times describes as a "rustic, eco-friendly style," is virtually identical to that of Smith, a successful bar next door. Owner Linda Derschang says Starbucks copied everything, from her vintage industrial light fixtures to her wooden seats, and even asked one of her managers where the bar's awnings came from. In an interview with the Seattle Post-Intelligencer, she noted:

"It's got a lot of salvaged wood, it's the same paint color inside as Smith and some of the wood-framed chalkboards look very, very similar… Where's the independent spirit in knocking someone off?"

There's two points worth noting from what's happening with Starbucks. One is, independents can compete with national giants, and customers are increasingly tired of generic corporate brands. The two trends, however, are mutually dependent. There must be locally owned businesses willing to be competitive and there must be customers who who will make supporting local business a priority.

As a transplant to Western New York, my impression that WNY is a hotbed of anti-free-trade sentiment.

NAFTA is a dirty word in these parts.

Certainly, trade was a hot button issue in the 26th Congressional race last fall.

Yet, every time I drive past Wal-Mart or Target, or any of the other Big Boxes in Batavia, the parking lots are full.

I wonder how many people realize that Wal-Mart and its ilk are a bigger cause of good paying manufacturing jobs in the USA being shipped overseas than NAFTA?

Black and Decker, for example, started a process of closing factories in the U.S. in 2002 that lead over the next 24 months of 4,000 jobs lost. The tool maker was pressured by Home Depot and Lowes to lower prices and that could only happen by shifting manufacturing overseas. In 1990, Levi owned several factories in the U.S., which produced about 90 percent of the product sold under the brand. In an effort to meet the demands of Wal-Mart and Target for ever lower prices, Levi eventually shuttered all of it's U.S. plants and now out sources all of its manufacturing overseas. Twenty-five thousand people lost their jobs.

If you're anti-immigration, the next time you step into Wal-Mart, consider than some 40,000 jobs have been lost in Latin America since the mid-1990s as clothes making was shifted from those countries to China.

We all love low prices, but those prices come at a price (and Wal-Mart doesn't always have the lowest prices in town -- sometimes, the locally owned retailers meet or beat those prices).

I'm not sure we can reconcile being anti-free trade, and even anti-immigration, and do the majority of our shopping at big box stores.

Buying local keeps more local jobs in the local community and helps grow the local economy.  In current conditions, the big boxes can be unavoidable at times, but they should be a last resort.

When you shop at locally owned businesses, you're helping to keep more of your dollars in the local community. A locally owned business owner has made a long-term investment in the community and is more likely to serve on community boards, volunteer for non-profit organizations and donate to local charities.

Meanwhile, out-of-town chains usually employ revolving-door management, will close locations regardless of the impact on the community and often seek tax subsidies out of proportion of the financial benefit to the region.

In fact, large retailers such as Wal-Mart often have minimal impact on an improved job opportunity and revenue growth because of the number of small businesses such big box retailers displace.

These are some of the points made by Stacy Mitchell in The Hometown Advantage, published in 2000 by the Institute for Local Self Reliance.

The subtitle helps tell the story: "How to Defend Your Main Street Against Chain Stores ... and Why It Matters."

Mitchell's suggestions for protecting Main Street range from local solutions such amending master plans to prohibit stores over certain square footage, prohibiting "formula" stores (each location must be unique from other stores in the chain), and up to the state level, which includes additional tax levies on chains that own and operate more than one outlet in the state.

Locally owned businesses are the backbone and heart of economic vitality for any community. The long-term health of a community that has lost its local businesses is sketchy at best.

The Hometown Advantage is out of print, but Erica  Caldwell at Present Tense on Washington Avenue tells me she can easily special order copies. She is also getting into stock the next book by Mitchell, The Big Box Swindle, which goes into more depth on the issue of major chain retailers and their impact on local communities. That's next on my reading list.

The Downtown Batavia Public Market returns Thursday, June 25 for its third year of operation, according to Don Burkel, manager of the Batavia Business Improvement District.

The market will be open from 9 a.m. to 3 p.m. and run until Sept. 10 and operate at the corner of Ellicott and Center streets.

"This year the Market will be open on Thursdays to accommodate  residents and employees of the businesses and government," Burkel said.  "This provides a convenient venue for them to shop for fresh vegetables, fruit, baked goods, fresh cut flowers, honey, specialty BBQ sauce and popcorn and lots more within a short distance of their homes and places or work."

There is plenty of parking at the location, Burkel noted.

For those interested in being a vendor at the Downtown Public Market they can contact the Business Improvement District Office at 585-344-0900 or for more information visit the BID Web site.

An interesting new Web site passed over my desk today -- Front Porch Republic.

The site promotes the kind of localist, libertarian, decentralist philosophy that appeals to me.

It was a pleasant surprise to find that Batavia's resident (well, Elba, now, really) historical writer Bill Kauffman is a contributing editor.

Chief among the founders is Bill's friend Jeremy Beer, whom I met at a Muckdog's game last year. He lives in Phoenix, Arizona.

"The site doesn't really hit the left or right straight jacket," Bill told me today. "It's about exploring alternatives to empire and biggness."

He described the site's contributors as people of various backgrounds interested in localism, decentralization and "restoring human scale."

I asked him if this meant he's now blogging, knowing he hates the word.

"Technology people have given us such great words," he said. "Blog sounds like some unpleasant body function."

Blogging or not, it's always a treat to find another outlet to read Bill's vivid and insightful writing.

"The strength of free peoples resides in the local community. Local institutions are to liberty what primary schools are to science; they put it within the people's reach; they teach people to appreciate its peaceful enjoyment and accustom them to make use of it. Without local institutions a nation may give itself a free government, but it has not got the spirit of liberty."

-- Alexis de Tocqueville

A new study shows that consumers who shift even just 10 percent of their spending from chain stores to locally owned stores help grow the local economy and creates jobs.

Local Works: Examining the Impact of Local Business on the West Michigan Economy, which was conducted by Civic Economics, found that, if the 600,000 residents of Grand Rapids and surrounding Kent County were to redirect just 10 percent of their total spending from chains to local businesses, it would create nearly $140 million in new economic activity for the region and 1,600 new jobs.

...

In addition to analyzing the economic impact of independent businesses overall, the study also took a close look at four sectors: pharmacies, grocery stores, restaurants, and banks. In each category, the study found that a much larger share of the dollars spent at locally owned businesses stayed in the region, supporting other businesses and jobs.

One of the philosophical underpinnings of what we want to do with The Batavian is to support the community.  We do that by covering more local news, by providing a virtual town square for discussions of local issues, and by doing all we can to support local businesses.  We offer, for example, the ability for local businesses to post their own press releases on the site for free. We also concentrate our ad sales efforts on local businesses.

It's important to remember that the buying decisions you make effect your friends and neighbors.