Borders book stores have been on the decline for years now. My aunt who was manager at a Borders book store in Florida lost her job about 3 years ago due to the closing of her store. Since then the company has done nothing to improve its business. They have recently taken a $505 million loan from GE capital to fund its operations while in bankruptcy. Since 2005 they have closed nearly 1,000 stores because they cannot afford to keep them running.
With Borders trying to emerge with new focus on e-books and non-book products, I believe they are only hurting themselves by doing this. They are primarily a book store and with them trying to focus on something other than books is the wrong way to deal with this in my opinion. The operator of Borders has blamed the closing of stores on lower consumer spending and fierce competition. To become more successful developing a better online service is a huge priority in my opinion. Many shoppers today prefer to do so online. It is much more convenient to consumers to be able to do all shopping online. Many online businesses even offer cheaper sales and more discounts if ordered online.
Borders is second in revenue to Barnes and Noble, they have also been destroyed by internet-only retailers such as Amazon who has the electronic book “kindle”. The bankruptcy will only benifit other companys such as Amazon and Barnes and Noble from former Borders customers who no longer have a local store to go to.
With multiple large companies choosing to downsize due to inability to maintain revenue it is an obvious sign that our economy is not where it needs to be. Although it has showed signs of getting back to where we need to be its still not there. With the clsoing of major retail stores it shows that many customers are not buying products like they use to. Many consumers have turned to online shopping because of the significant price difference from online and in-store. As  soon as our economy get to where jobs are more plentiful and consumers are not as paranoid with spending money then large corporations should see a rise in sales. Hopefully this happens sooner than later and before more stores closes and more people lose their jobs. The only thing gained from this happening is the increased profit for online services. To me that is not worth the thousands of people who have lost thier jobs due to this problem.