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Strategies & Market Trends : The Epic American Credit and Bond Bubble Laboratory -- Ignore unavailable to you. Want to Upgrade?

To: russwinter who wrote (12200)	4/19/2004 5:06:43 PM
From: mishedlo	Respond to of 110194

Can you tell me how to make sense out of same store sales? Seems useless to me. Eventually if you add enough stores and saturate an area SSS will go down, yet it is possible that overall profit as well as overall sales goes up. It also seems possible that SSS goes down but overall profit goes up (that does not seem as likely). At any rate, from a macro perspective it is retail sales that matter not SSS to one store. After every possible HD walmart, target etc etc are built SSS might have some meaning. For evaluating a retail store this seems to be a silly metric. I know we are not evaluating WMT here, but if they recently added a ton of stores or competition added a bunch of stores next door to WMT, its SSS will go down but that just might mean consumers are shopping more at other stores as opposed to curtailing retail spending which is what we are really trying to figure out. M