Oklahoma City is the latest city to put a moratorium on chain dollar stores. It’s being led by Councilwoman @NikkiNiceOKC whose district is flooded with dollar stores, inhibiting development of real grocery store.https://www.okgazette.com/oklahoma/food-emergency/Content?oid=6243521 …
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in a low poverty zip code, many people do not have cars and have to walk to places. i live in neighboring 73105 and see this all the time. when the only grocer in your zip code are dollar stores, you are rendered no choice. you can’t afford to uber miles to walmart.
If a dollar store and walmart were equidistant and people preferred to shop at walmart, then having a dollar store in your neighborhood would not be preventing walmart from coming in and winning the business.
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the presence of these dollar stores alone is enough to steal away significant business, the saturation of them is too great. point taken, in this zip code there are two family dollars and a dollar tree within a 3 ish mile radius.
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Walmart tried to run microstores to serve this kind of market, if I recall correctly, and gave up on the experiment. There's a certain scale and footprint that they need to hit; I believe they have also rebuilt or closed most of the non-super centers (without groceries)
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in addition these stores have much lower margins than traditional grocers due to the fact that they have no produce (so nothing really expires). this is how they keep prices low and this is how oversaturation of dollar stores pushes grocers out
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