RESTAURANTS BURNED by OVERSUPPLY, RIVALS (Sarasota: salons, 2013, job market)

[TyVincente]

Read today's WALL STREET JOURNAL (Monday, Oct 17, 2016) front page (B1-Business & Tech, continues half page B2) article, addressing the identical business sustainable/viability problem that was previously highlighted on this forum. It completely validates previous observations in their entirety, and it also validates previous claims in re millennial behavior.

"Chains close locations, file for bankruptcy protection amid an industry shake-up"

"LAST STOP. Changing eating habits and too much competition have led to a spate of restaurants closing, spooking the industry into wondering, "WHO's NEXT"?

"So many filings in such a short time has surprised industry experts, who say more restaurant bankruptcies or closures are likely, as well as some consolidation".


Again for those who think that my previous posts and observations about the proliferation of fast-casual restaurants in the nation, and even locally (UTC especially), didn't have veracity, read the Wall Street Journal's well-written and researched article. People who have their eyes open are always open to the facts before them.

If this sustainability business problem were not a real glaring issue, the WSJ would not have written about it in lengthy articles, twice in one month.....after this poster raised my own economic comment about the landscape of this segment.

[photoman_6]

oh, my god, stop already

[upgrader]

Are you referring to the first link in

https://www.google.com/search?q=Rest...hrome&ie=UTF-8

[MattMN]

Originally Posted by TyVincente

If this sustainability business problem were not a real glaring issue, the WSJ would not have written about it in lengthy articles, twice in one month.....after this poster raised my own economic comment about the landscape of this segment.

You are right. You are very smart. In fact, I would not be surprised if the WSJ people got the entire article idea from your posts. However, I'm wondering if this might be a better post for the Business forum. http://www.city-data.com/forum/business/

Regarding Sarasota and the UTC area, I think there's more money here and more people willing to pay to eat out, certainly a higher percentage than the national average and certainly in season. The restaurant industry is tough in general, and you'll always have both chains and individual ones coming and going. I can only surmise the successful ones make a lot of money, otherwise I'm not sure why anyone would even take a chance in such a high turnover industry. But most certainly, there will be plenty of restaurants around for a long time, and plenty of people willing to pay to eat out.

[TyVincente]

No one is arguing . The point is that this topic IS very much germane to what is happening economically in the nation, the region, and especially the Sarasota-Manatee market.

Sarasota-Manatee is not immune or insulated at all. Never has been, never will.

If you don't wish to know about these factors affecting (presently) the Sarasota-Manatee market, then don't read or respond to this thread. Getting overly personal shows a strange brand of being a bonehead. Simply skip over the thread. The thread doesn't violate City-Data's terms of usage....making personal attacks does.

It's a simple academic-economic posting that affects the business health of Sarasota-Manatee. Several locally owned restaurants in this space have failed dramatically. To pretend or assert this topic belongs solely in a "business" discussion misses the point that the local SRQMANA market (particularly UTC development AND ONE developer, i.e. Benderson) is very very much at risk. I would prefer that this market not be at risk, but to pretend that this market is impervious to trends, risks and risks to capital, market timing, over-building, and crowd-out, defies the truth all around us. It's a real danger for jobs and local families. That's what makes it important simply to mention. I have no dog in this fight. Turning an economic "blind-eye" to massive shifts in the local economy and job market, or sticking your heads in the sand, is a formula for a drastic economic downturn. One of the major pieces of economic fallout will be a reduction in tax receipts, and the negative domino effect that will have on governmental services and infrastructure. The re-building of roads, access points, traffic control, law enforcement participation are not free. Therein lies the crux of the entire issue, and it's a very real and present problem.

Time will tell. Figures don't lie. I choose not to wear blinders or rose-colored glasses about real, local economic matters.

If anyone thinks that having essentially ONE developer (locally) on the hook for every struggling UTC-area fast-casual restaurant is without local negative consequence, then that person could have never attended business school, or been an entrepreneur of any successful venture.

Cheers ! no worries here.

[TyVincente]

Originally Posted by MattMN

You are right. You are very smart. In fact, I would not be surprised if the WSJ people got the entire article idea from your posts. However, I'm wondering if this might be a better post for the Business forum. http://www.city-data.com/forum/business/

Regarding Sarasota and the UTC area, I think there's more money here and more people willing to pay to eat out, certainly a higher percentage than the national average and certainly in season. The restaurant industry is tough in general, and you'll always have both chains and individual ones coming and going. I can only surmise the successful ones make a lot of money, otherwise I'm not sure why anyone would even take a chance in such a high turnover industry. But most certainly, there will be plenty of restaurants around for a long time, and plenty of people willing to pay to eat out.

It's clear you didn't read the article at all. It also addressed the changing habits of consumers, and what they are spending their money on, and where. The shift has already begun. The article also sets forth a cogent argument for future behavior.

[photoman_6]

how about a post on beauty salons failing? or bowling alleys? or chiropractors?

[kiggy]

Do you own a local restaurant by chance, Ty? I think you seem somewhat energized against chains.

[craigiri]

Big news!

NOT.....

Capitalism, especially the unregulated variety (actually more like cronyism) practiced in Florida, doesn't give a dang about market forces, over and under-development, sustainability or anything else. It will always end up leaving the taxpayers and the environment with the tab.

Why not write about the oversupply of drug stores? Or every big box store under the sun?

This "debate" or news is better moved to "Great Debates" because it has more to do with lack of planning and unbridled consumerism than it does with SRQ.

BTW, a lot of people like myself and my peers rarely eat anywhere because the quality of food (most everywhere) sucks.

Also, the idea of "cocooning" was put forward over 20 years ago as the possible future - remember faith popcorn?
Cocooning would also mean that you wouldn't care much for going out to eat....

Cocooning: It's back and thanks to tech, it's bigger

[TyVincente]

Originally Posted by craigiri

Big news!

NOT.....

Plainly it is news, it's been front page News in the Wall Street Journal, Restaurant News, and even Forbes, all very recent publications. I'm not manufacturing the economic conditions surrounding these bankruptcies, closures and consolidations. I'm just posting information which is key to local economic, recent development and possible ramifications. If people don't think that places like UTC (mall and subsets) could not become 'white elephants' under an economic downturn or over building in Sarasota and Manatee County, people might not fully comprehend the possible fallout. My sole opinion (again opinion only), is that the bricks and mortar segment (not only fast casual restos) is becoming a wee bit saturated and out of equilibrium. I say this as a finance exec and equity player/investor. Again, I'm just posting on the internet, and I'm not trying to find or make friends or create an echo chamber. Don't like what I post? then ignore it. That's simple. Becoming ruffled or snarky only reveals who you are...which is fine too, after all, it's not real life here.


Cheers !