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Kettle Moraine, WI | DG stores are about convenience and people won't run out of that desire imo. Driving past them in normal course of life maintains their convenience. They tend to be in former retail with cheap rents or new boxes in convenient locations and operational effcientcies. They have restrained employee hours (fixing labor cost % of sales) and sell few items with short shelf life. Adding locations will only lower distribution costs for them.
More stores will back off employee hours if sales were cannibalized. So long as store overhead doesn't increase too high, I don't see them going out of business beyond some locations having normal attrition. Biggest threat I see is when household economy improve and their is a flight to quality, DG isn't the position to capitalize.
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Dollar General stores
