Title: What Causes a Store to Go Out of Business? | Small Business - Chron.com
Headings: What Causes a Store to Go Out of Business?
What Causes a Store to Go Out of Business?
Physical Causes
Economic Causes
Marketing Causes
Other Causes

Content: Marketing Causes
Marketing problems can cause a store to fail even if every other aspect of your store is positive. This is especially true if the store relies heavily on a niche audience or you have it located in a place with little casual traffic. Inadequate marketing can mean that you don't do enough marketing, or that you don't execute your marketing well enough or do not direct it at the right audience. Other Causes
Many other causes exist for store failure, among them too much or not enough differentiation. Souvenir shops in touristy areas are a prime example of the latter problem. If the market is saturated and your store doesn’t have a distinguishing feature, such as a different look or better prices, the high demand in general may not translate into high sales for your store. While it is important for you to differentiate your a store from the competition, too much differentiation can also cause it to go out of business. Unless your store serves an area with a large population or has a wide-reaching online component, an extremely specific niche, such as “card games” or “all things gnome," may not attract enough business to succeed. ‒‒:‒‒
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References
MSN Money: Why Your Bookstore is Going Out of Business
Entrepreneur: