Dollar stores booming amid inflation squeeze, face push back over low prices
Dollar stores get pushback from cities due to claims of creating food deserts
More cities are pushing back against discount dollar stores. FOX Business’ Jeff Flock with more.
Americans, squeezed by inflation, have turned to dollar stores to take advantage of cheaper price tags on goods.
However, a growing number of cities are exploring ways to limit their growth.
| Ticker | Security | Last | Change | Change % |
|---|---|---|---|---|
| DLTR | DOLLAR TREE, INC. | 105.21 | +1.70 | +1.64% |
| DG | DOLLAR GENERAL CORP. | 233.03 | -1.43 | -0.61% |
Reporting from a Dollar General in Gary, Indiana, FOX Business’ Jeff Flock stood outside a building once the home to Walgreens and pointed out that anti-competitive lower prices are forcing food and drug stores out of business, especially those with fresh produce.
"Dollar stores are the No. 1 driver of food deserts at this point," according to Stacy Mitchell of the Institute for Local Self-Reliance.
HOW DOLLAR TREE SELLS NEARLY EVERYTHING FOR $1, EVEN WHEN INFLATION LURKS
Dollar Tree CEO on coronavirus: Our workers have risen to the occasion
Gary Philbin on coronavirus
Data shows a widening gap between dollar store locations and other retailers such as Walmart, McDonald and Starbucks in the U.S.
There are more than 34,000 dollar stores in the U.S. according to Statista.
As of 2021, Dollar Tree operated a total of 15,686 stores throughout the U.S. and Canada.
What’s more, Dollar General, once a leading U.S. retailer, doubled its store count from 2007 to 2020, to more than 17,000 locations.
GET FOX BUSINESS ON THE GO BY CLICKING HERE
It has forced communities in New Orleans, Oklahoma City, Cleveland, Atlanta, Fort Worth, Tulsa, Mesquite and Kansas City, Kansas to push back and enact policies that limit the number of stores in these cities.
Source: Read Full Article