Big Box Chains vs. Local Businesses Statistics
- Throughout the United States, only about 33.6% of the revenue from national chains is reinvested into the community, which is very low compared to the 64.8% return from local businesses. (2009)
- A study in Austin, Texas found that $100 spent at a local bookstore produced $45 worth of local economic activity, and $100 at the chain store Borders brought back only $13.
- National chains often bring loss of employment. The opening of a Wal-Mart reduces retail employment by an average of 150 jobs in the county of its location.
- Local businesses are usually established in city centers, instead of on the margins of communities like large chains, so they contribute less to pollution, congestion, habitat loss and urban sprawl.
If the people of an average American city were to shift 10% of their spending from chains to local businesses, it would bring an additional $235 million per year to the community’s economy.
This information is a portion of eLocal’s Why Buy Local Infographic. For a full list of sources, visit the eLocal's infographic directly.