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Dollar-stores overcharge customers while promising low prices

(www.theguardian.com)
510 points bookofjoe | 1 comments | 07 Dec 25 14:37 UTC | HN request time: 0s | source
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regera ◴[07 Dec 25 21:07 UTC] No.46185157[source]▶
Dollar stores are private equity with a checkout lane.

In 2025, Dollar Tree sold Family Dollar to a group of private-equity firms: Brigade Capital Management, Macellum Capital Management and Arkhouse Management Co.

https://corporate.dollartree.com/news-media/press-releases/d...

It’s a business model cosplaying as poverty relief while quietly siphoning money from the people least able to lose it. They already run on a thin-staff, high-volume model. That 23% increase is not a glitch. They know their customers can’t drive across town to complain. They know the regulators won’t scale fines to revenue.

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sema4hacker ◴[07 Dec 25 21:15 UTC] No.46185228[source]▶
Has private equity ever done anything good for anyone outside of the investors?
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1. regera ◴[07 Dec 25 21:32 UTC] No.46185374[source]▶
Not yet. Sometimes employees if they get second bite of the big apple. PE do well in capital-intensive sectors. I'm not sure if their playbook fits the real needs of dollar stores. Instead of focusing on things like debt and aggressive cost cuts, most customers just want fair prices, stocked shelves, clean stores, friendly cashiers and basic respect—things that PE firms often ignore. In DFW, I was surprised to see 1-2 person dollar stores!