Sunday, January 8, 2012

Can the All American Store take on Walmart?

"Let's start with the complaint that 'Americans don't make stuff anymore.' Hogwash. Sure, the manufacturing of certain low-cost, low-margin, commodity merchandise has left these shores, and probably for good. AAS tells me it's had no luck tracking down U.S. suppliers for tiny but essential items such as light switches and fuses, and maintains a small display section for such items. But according to store managing member Mike Petro, while it takes some doing, AAS has found plenty of suppliers for the goods it wants to sell.

Indeed, 98% of the products for sale at AAS are made (or at least assembled) in America. Whether it's boots or blue jeans, kitchen tables or power tools you're after, AAS stocks them in spades.

'But what about the cost?' you ask.'Isn't the whole reason American manufacturing fled to China, because it's cheaper to make stuff there?'

Again, there's an acorn of truth here, but don't go mistaking it for a full-grown forest. While 'Made in the U.S.A.' goods can cost more than "Made in China," the price differential is often smaller than you'd think."

I wish them well.  If it looks like a well-run company, it might be worth investing in it for when the backlash against Walmart takes hold.

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