You Make the Call: Situation 3

Anonymous
timer Asked: Jan 21st, 2016

Question description

Read the passage and answer the questions

Dover Sporting Goods Store occupies an unimpressive retail location in a small city in northern Illinois. Started in 1935, it is now operated by Duane Dover-a third-generation member of the founding family. He works long hours trying to earn a reasonable profit in the old downtown area. Dover's immediate concern is an announcement that Walmart is considering opening a store at the southern edge of town. As Dover reacts to this announcement, he is overwhelmed by a sense of injustice. Why should a family business that has served the community honestly and well for 60 years have to fend off a large corporation that would take big profits out of the community and give very little in return? Surely, he reasons, the law must offer some kind of protection against big business predators of this kind. Dover also wonders whether small stores such as his have ever been successful in competing against business giants like Walmart.

1. Is Dover's feeling of unfairness justified? Is his business entitled to some type of legal protection against moves of this type?

2. How should Dover plan to compete against Walmart, if and when this becomes necessary?

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