Borders demise: technology or poor decision-making...

As we discussed in class, Borders, the bookstore giant closed its doors two months ago in July.  This was certainly a failure of their leadership’s foresight and planning in a technology-shifting book market.  With the demise of this massive bookstore chain, bookstore culture will obviously still exist because people (and many with their kids) like to peruse the aisles and read, examine or buy books.  Of course they can do this at a library but the bookstore has a different appeal and perhaps, a special cultural environment.  Nonetheless, people enjoying the atmosphere didn't sell books.

The technology shift over the past 10 to 15 years has changed the sale of books to both hard and soft copies.  To add, many people are adapting quickly to e-reading.  Although Borders did have some e-commerce with Waldenbooks, they didn’t even offer any kind of e-reading, the latest and popular reading trend.  Borders’ bad decisions obviously came from poor management and inadequate strategy in a market where technology is constantly evolving.  Of course, this means good news for independent bookshops (Sarah Needleman, The Wall Street Journal); however, the other big booksellers must continue to tailor their business models to adapt to the digital market.  I feel the economy also played a significant role in Borders’ downfall.  On the other hand, continuous exploration of markets by leadership is essential.  Many books are cheaper online along with the flexibility and ease of purchasing soft copies.  With that being said, discount chains and online booksellers such as Amazon, Barnes & Noble and others provide a very stiff challenge to stores that are only brick and mortar.

Could there be any other way other than e-commerce that Borders could have saved their business/stores? I wonder!  Is it possible that another major bookstore chain can go under in the near future?!

http://www.theatlanticwire.com/technology/2011/07/dont-feel-too-bad-about-borders/40297/
http://www.huffingtonpost.com/2011/09/19/last-borders-closing_n_969578.html