Stu @ M Developments

iTrader: (12)

That is a very naive view I'm afraid. Its just as easy, if not easier for a big business to go bankrupt than a small one.

Easy and fast example:
Lets say WHSmith make 1million a year profit from each of their 1000 shops and that represents 10% profit from their 11 million turnover per shop as each shop costs 1 million to run. So across all 1000 shops we have:

£11 billion turnover
£1 billion running costs
£1 billion profit

Now say in this recession, they cant make that 1 million per shop and actually make a small 10% loss instead of profit. Im sure you will agree that its quite possible in this climate for a company only making 10% on stationary. What happens at end of year one?

They are 1 billion pounds down. One BILLION!
Its economy of scale. As running costs go up and businesses expend, they need to start making more and more profit to cover eventualities like this because a 10% drop in sales for a multi national can take them under.

These figures are all rounded off for easy understanding and come from the top of my head so unlikely to be accurate, they are just to illustrate my point that big business tends to fail first in this current climate because of the scale of sales.

RickyLee53

All the Wollies near us stayed in the town centres rather than going to the big shopping outlets. I suppose they tried to keep the towns going, but this was never going to happen.

I can only speak locally, but this has been on the cards years. (the 1 i live near shutting, if there all the same you can see why)

Dicko&Vacant

iTrader: (3)

Woolies, M&S and WHSmiths are the 3 shops i remember as a child, imagine a life without all 3....

i dont tend to shop in any of them other than once a year at Christmas though....

RickyLee53

100% agree, well i would if you put 10 million running costs not 1

Stu @ M Developments

iTrader: (12)

I didnt put one million sir, and im also glad i didnt put ten million.

zedtechs

Just trying to think of old High Street brands that have gone.............

Our Price Records and C&A!!!!!!!

Sticky.

iTrader: (4)

Curry's & PC World it said this morning

SassyRS

ive been into town this morning spent £31 should have been £70 something, some bargins to be had,, such a shame tho, i love woolies the kids love it to

dojj

iTrader: (3)

yup, lookslike the electrical boom has finally turned to tesco's own brands

i wanted to go today, but couldn't park anywhere near

on another note, the one they showed on newsnight is the one in west ealing, and west ealing has tuned into a right shit hole over the past 20 years, even macdonalds left that's how bad it's got

SassyRS

I went to the one in Wellingborough, was busy but not packed.

they had a wicked speed racer set in there £24 down to £10!

Lambchop

iTrader: (1)

thats what i remember too! my dad coming home from work with a big bag of pic n mix from woolies! i loved the rainbow jellies and my mum got coffee creams. those were the days!!

johnlboyer

No matter what opinions anyone may have about Woolworths or any other store or business which may be in trouble at this time, think about the staff who are losing their jobs with probably no chance of another . I sincerely wish all those affected all the luck in the world, as they are probably going to need it in these hard times.

Big G

At least someone here knows what they goin on about,
Best pic n mix in town could be no more

Turbosystems

iTrader: (5)

clearly pic and mix is not the business to be in

DanW@FastFord

iTrader: (1)

A friend of mine used to be a Woolies Store Manager and it was drummed into all the staff that they all had to work hard because "There was nothing you could get at Woolworths, that you couldn't get elsewhere", and I suppose that, in part, is what's lead to their demise.

I've seen so many run down tatty looking Woolworths over the last few years that I'm surprised they lasted as long as they did.

Big G

All these healthy eating malarky is to blame
"Long live fatty's"

Smit

iTrader: (5)

Wonder if they'll reduce things like Tv's + games consoles? might be worth a shot

mrjenrst

I'm keeping my fat
The local kebab shop help's alot too

Fil

will take alook in about an hours time, taking cash, you never know the staff might do a good deal and pocket it

Stampy

Not going anywhere

Although there is a £30m net loss they've trimmed £75m from yearly costs and are currently redeveloping the HQ - that and 40 Currys store refurbs and 7 new superstores!

At least, that's the spiel head office are getting!

porksword69

And 5p & 10p coins were bigger.

Seriously I'm sure some people will miss it, never set foot in one myself.

Ginge !

well i found out a major car parts company was ALMOST bankrupt from one bad investment that they didnt do there research on and its STILL close to falling too but its being kept quiet, but its VERY easy to see how it really is buy the directors DAILY emails prompting sales and one about a company in newcastle what burned down on saturday,,, advising people to use is as a " hot links for sales" due to the other customer not being able to supply the customers,,,,, couldnt belive it till i was sent the email and read it myself

Fil

Woolworths to hold huge closing down sale tomorrow after search for buyer fails

http://business.timesonline.co.uk/to...cle5320013.ece

Fil

http://news.sky.com/skynews/Home/Bus...ws_Understands_

Munch

not good at all, I know a couple who both work in the woolies warehouse, Looks like there going to beout of ajob, sooner rather than later & have have a mortgage to pay, Sad times for all staff



errr, where have you been? Woolworths has an ''up too 50%'' Sale since last week & they said they wasnt going to get more stock inn, All the good stuff went in like 5mins...

even with the sale, Some of the prices were mega expenive when you compaire it to the supermarkets!

Rhys

Closeing down sale starts tomorrow. Did they sell hosue paint? as if they did might pop down tomorrow for a look.

Munch

but all the good stuff went last week!

Believe me i went into my local (which is a massive Store) & all the good stuff was gone!

dojj

iTrader: (3)

the shelves were empty yesterday, so a 50% discount on not a lot isn't going to add up to much

JohnnyB

well my group have been planning for the down turn for 2 and a half years.

So we are strong, we now get 30% of profit from the web based stuff, Things like the Metro newpaper are giving us good profits. We are as lean as we can go and we are still making major profit.

Fil

had a fair bit in the lakeside one,

only 10% off wii and xbox games tho so cheaper on play.com etc?

loads of pick'n'mix left but still 69p for 100gs

was going to get some as a last thing of the shop, but the Qs were mega!

Puss2

iTrader: (5)

As above went there today very long queues had a quick walk round looked like all the good stuff had long gone damm it

Nash_mr2

what if it's all fake, there not really going into admin and this is just a cunning marketing campaign to clear off a bit of debt and get rind of some old stock in the process? - that would be quality

RS_JAY

Shit me, our price. Forgot about them.
I work for gist which does m&s food. Ive been there 9 years now and this is the worst christmas ive come across. No ones buying anything which m&s kind of guessed. So they arent paying me a full christmas bonus. Now im going to be watching my money as my overtime has now been cut a tad aswell. Its seems to be just one big vicious circle.
Shame about woolies. Our one in hemel town has been there years since i was a kid & has out lasted most shops in hemel hempstead. Use to go in there on the saturdays when i was a nipper.

danneth

apart from the one in meadowhall

Graham S1

I.e Tescos, Adsa, and Sainsburys. And whatever business they haven't taken from Woolies, was mopped up by Wilkinsons/pound shops etc.

Fil

just been lakeside woolys , pretty bare now, but got myself one last big bag of pick n mix

fezzajsy

iTrader: (9)

my local woolies has now been stripped bare..shame though