When you spend $100 at the chain Borders Books & Music, your purchase creates only $13 worth of local economic activity. That same $100 spent at locally owned book or record store generates $45, or more than three times as much local economic activity.

That’s the conclusion of a new study conducted by Civic Economics and published by Livable City in Austin, Texas.

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In October, the Maine Department of Human Services released its third annual survey of prescription prices for fifteen common drugs at 106 independent and chain pharmacies statewide. The ten lowest priced pharmacies (based on the cost of all fifteen drugs combined) were all locally owned drugstores. National chains, including Rite Aid, CVS, and Brooks, had among the highest overall costs. Continue reading

Local newspapers suffer a double blow when giant chains like Home Depot or Wal-Mart come to town. Not only do these companies rarely advertise in local newspapers, but they usually force dozens of independent retailers to close, eliminating significant sources of newspaper ad revenue.

In a recent article in Editor & Publisher, Mark Fitzgerald describes the deadly impact that the rise of corporate chains and decline of locally owned businesses has had on local newspapers.

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Many city officials welcome large chain retailers for the tax revenue that create. Rarely do they consider the other side of the balance sheet: the tax losses that occur when chains displace local stores and the added costs of providing roads, sewers, police, fire, and other public services to the sprawling new development.

Added police costs are proving especially difficult for many communities that once welcomed big box stores. Take Port Richey, Florida, for example.

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Just a few years ago, industry observers were predicting the demise of independent funeral homes. Four giant companies were buying up thousands of independent mortuaries and rapidly consolidating the industry. By processing bodies at large regional embalming plants, buying in bulk, and sharing employees across multiple homes, the chains were expected to gain a significant financial edge over their independent competitors.

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In an extensive survey conducted by Consumer Reports, 88 percent of respondents said they were either completely satisfied or very satisfied with their experience at independent bookstores. Independents not only out-ranked internet and chain bookstores, but their exceptionally high rating put them "on a par with the highest-rated stores from any Consumer Reports survey in recent years."

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Wal-Mart has become one of the nation’s largest campground operators. Every night thousands of recreational vehicles (RVs) set-up camp in Wal-Mart parking lots. The practice, which first began in the late 1980s, has grown rapidly in recent years. In places like Durango, Colorado and Anchorage, Alaska, Wal-Mart parking lots are jammed full of RVs night after night.

Parking overnight at Wal-Mart is free, so campers save the $20 to $35 fee charged by traditional campgrounds.

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National retail chains frequently use charitable giving as a tool for overcoming local opposition to their expansion plans. Facing strong resistance in Western Branch, Virginia, Wal-Mart ran ads in the local paper touting the $200,000 it had given to local causes. In Auburn, California, Home Depot made charitable contributions a focal point of its campaign to overcome the community’s long-standing opposition to big box stores.

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As corporate chains have taken over much of the retail economy, they’ve left the American landscape littered with dead malls, vacant strip developments, out-dated outlet centers, and empty big box superstores.

The problem is two-fold. Chain stores are multiplying at a staggering pace and creating a glut of retail space. In the last 12 years alone, per capita retail space has increased 34 percent, from 14.7 to 19.7 square feet. Most communities have more retail space than residents can support.

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