Quote:
Originally Posted by Xerxes
Wow... Didn't know this. I frequent these stores for Graphic novels, quick picks and the like. Plus, I'm always getting coupons from both BN and Borders. There's also the Starbucks in BN that I like to read and study in. I just never seen the life blood leaving these stores yet. With Borders, I can, but mainly because their prices are higher and the atmosphere isn't as... I can't describe it.
|
If you could, I'm sure Borders would like to know.
Quote:
|
Looking at the Market Cap, I don't think BN would have much problem acquiring Borders. Also didn't they just announce a deal with Plastic Logic and Irex to start offering readers of their own? Also didn't they acquire Fictionwise. I think they have a lot more life left than you give them credit for.
|
To make an acquisition of Borders, B&N would need to obtain financing. Who would provide funding for a B&N acquisition of Borders? Lenders would see it as "Can two sick companies combine to make a healthy one?" and be unlikely to bite.
Bookstores have been having problems for years. The independents have been struggling against the big chains, who can offer better pricing. The ones surviving are largely in specific niches. (A couple in my area are specialists in travel books and children's books, respectively, and have retained a customer base.)
The big chains, meanwhile, have been battling people like Costco and Amazon, and are in the same position relative to them that independent bookstores were to them. And ultimately,
everybody is coping with book sales that are flat or down. In recent years, revenue has remained at least flat due to higher prices, not increased sales.
Yes, B&N still has signs of life, and the acquisition and moves into ebooks are signs that it's trying to adapt. I'd say the jury is out on whether it will.
______
Dennis