Have you heard of BALLE? The Business Alliance for Local Living Communities is an international NonProfit that promotes the ‘triple bottom line’ concept that local businesses can simultaneously be profitable and foster social and environmental consciousness. It is catalysing grassroots communities right across North America. Local First marketing campaigns are a critical piece of the sustainable community economic development strategy of BALLE.
PWF readers have in the past few months been writing in about instances of big business effectively ‘sucking the lifeblood’ out of small business and threatening the health of communities. You have to ask, do we – as part of local, living communities – want to be ‘homogenised’? Is sustainable living attainable or just a dream?
WHY DO we buy salad greens sealed in a bag from the supermarket – 150g cost $3.99…..which is around $24 per kilo? At my local independant retailer loose greens cost between $7.99 and $11.99 per kilo and a gourmet lettuce weighing 200g costs $1.99!
Bev Roberts of Noosa says “It’s a philosophical thing… we’re losing so many of our small traders. Things are becoming homogenised. Coles and Woolies are banking on our laziness and our time limits to brainwash us into their type of shopping.” Bev had a bad experience with a major supermarket’s house brand packaged meal and she now shops at an independent retailer.
Local, living communities & ‘sustainability’
There is SO-O-O much stuff on the web on ‘sustainability’ – people, co-ops, and organisations working collaboratively – but possibly in ‘silos’ and relatively SMALL – while BIG business and BIG government tend to roll on regardless……market power, financial power…..lip service to sustainable development?
Buying at the Coles/Woolies ‘duopoly’ in Oz, or Wal-Mart in the US may be a little cheaper and, it is argued, ‘there is no alternative’ (TINA) but American attorney and economist Michael Shuman in The Small-Mart Revolution shows exactly why ‘locally owned, import substituting businesses’ (LOIS) are far more beneficial to their communities than massive chains like Wal-Mart. Bigger is not better!! Crunch the numbers, he says, and you’ll find that locally owned businesses turn out to be much more reliable generators of:
Unlike their global competitors, Michael says, in America these small businesses operate without massive tax breaks and subsidies that often put local economies in a permanent hole. Plus, contrary to popular belief, local businesses are competitive with the multinationals, and gaining ground every day. In ‘The Small-Mart Revolution’ Michael shows how consumers, investors, and policymakers can support their own communities by ‘going local’ – a robust alternative to ‘go-go’ globalization, one that nurtures the creative capacities of local businesses and enables communities everywhere to thrive.
There is a LOIS alternative to the TINA ‘reign of terror’, says Michael Shuman.
Pertinent info & comments….
In The Sydney Morning Herald this week the Urban Affairs reporter writes that ‘Sole Traders lose tread on Main Street’. Unrestricted trading hours have allowed Sydney’s large shopping centres to choke the life out of surrounding retail strips, a two-decade-long study of shopping trends has found.
Back in 2002 the National Association of Retail Grocers warned “In the grocery retail market place Coles and Woolies now own close to 80 per cent of the national package grocery market which is the highest level of market dominance in the developed world”. According to ABARE, this significant market share indicates that the retail food industry in Australia operates as a duopoly.
Australian food and liquor retailing accounts for 46 percent of Australia’s 193.3 billion dollar retailing industry. Of the 88.7 billion dollars spent at food and liquor retailers, 62 percent was spent in supermarkets and grocery stores, 13 percent in cafes and restaurants, 10 percent in takeaway food outlets and 6 percent in liquor retailers.
Grocery prices have jumped twice the cost of living in a year . . . and consumers have been warned worse is to come, reports The Courier Mail, 3 January, 07.
Comment from Glen Doolan of Hong Kong: It’s a sad state of affairs when I can walk into a supermarket in Hong Kong, and buy Vegemite and Capilano honey cheaper than what it costs at Coles in Brisbane. The reason for this is simple, Australians are suckers, and the HK Chinese are the most savy consumers on the planet. The supermarkets know they can rip you off, because you put up with it. I would suggest giving it to the manager with both barrels, and then walking next door to the fruit shop.
Both Coles and Woolies have been fined ($4 million and $7 million) – by the ACCC (Australian Competition and Consumer Commission) – for unfair, restrictive trade practices as rivals have applied for liquor licences .
An example of increasing power of the two major retailers can be seen in the expanding range of generic house brand products stocked on their shelves. Coles has announced plans to increase the proportion of house brands on its shelves from 13 percent to 30 percent by late 2007.
_______________________________________________________
Do we in OZ need to tap into the BALLE network? Apart from LETS Systems there doesn’t seem to be anything quite like BALLE here. Does anyone know differently?
___________________________________________________
Some more areas of interest…
In the UK – Demos – A Think Tank: Building Everyday Democracy. Without more direct citizen participation, the legitimacy of our political institutions will continue to decline. Why we get the politicians we deserve…..
In the US GEO Grassroots Economic Organising. Co-Director Ethan Miller writes about Solidarity Economics:Strategies for Building New Economies From the Bottom-Up and the Inside-Out. There are many alternatives to corporate-driven capitalism. Ethan says thousands of grassroots initiatives throughout the world are working to build a “solidarity economy” based on shared values of democratic empowerment and participation, broad social ownership and equity, ecological sustainability and community well-being. Linked together, these projects have the potential to be amplified into a significant force for social and economic transformation.
The Data Commons Project:
Building a collaborative directory of the cooperative economy of North America.
‘Independence from corporate global economy’ published in GreenBiz
‘Making a Profit and a Difference’ published in the New York Times Business Section, October 5, 2006.
Finally – a success story
When architect and urban redeveloper Guy Bazzani moved from Northern California to Grand Rapids, Michigan, more than a decade ago, he didn’t expect his ideas about socially responsible, environmentally healthy business to be embraced right away.
His company Bazzani Associates specialises in restoring old buildings using techniques such as green roofs which are covered with plants, storm water management systems and environmentally friendly building materials. He says “We found that we can build green buildings that utilize 40 – 50% less energy at the same price as traditional buildings.”
The ‘green business’ took off. It is a ‘first choice’ – a locally owned business that can produce at value. Guy says “If this Rust Belt city of 280,000 is any barometer, small, local businesses are inclined to embrace social responsibility and will promote environmental health. In the three years since he founded a Local First organisation, more than 250 independent businesses in Grand Rapids have come on board. This is one of 35 similar business networks around the US and Canada that have sprung out of BALLE, whose networks, in major metropolitan areas and smaller cities, represent more than 11,000 local, independent businesses.
It seems the face-to-face connection that customers experience by shopping locally is very important. In an increasingly technological world, people ‘yearn’ for this connection because they feel they are losing the cultural, spiritual and human element of their lives.
A few hiccups in urban areas
Some urban entrepreneurs like Glynn Lloyd, chief executive of City Fresh Foods in the Dorchester section of Boston, have found the triple-bottom-line quest tougher going. In inner-city neighbourhoods, he says, it is difficult for local businesses to get traction. Shoppers, long ignored by developers and big national chains, are pleased to see Home Depot and Starbucks come to the area.
I have decided I am going to walk 2 minutes down the arcade from ‘my’ supermarket to the greengrocer and at least check out his quality and his prices……what about you?
14 Comments
There is another not so obvious disaster waiting here. If we allow Coles and Woolies to control what we eat and where it comes from we are permitting them to source vegetables etc from where they see fit and for their shareholders benefit not ours.
Green beans imported from China have an energy cost. They must be imported using airfreight, and jet engines are the world’s worst polluters from a greenhouse gas perspective.
That’s the present and no doubt worsening. But no one has yet found an alternative of any sort to oil as the basis for jet engine fuel.
The best policy is boycott absolutely ANY so-called “fresh” food that must be transported by air.
There is a lot of interest lately in how much the transport adds to the cost of the food we eat.
We can’t all have a backyard vege garden … but we CAN all take some care to buy local goods wherever possible.
Some 3 weeks ago my wife and I picked some oranges from an orhard; those oranges are large and full of juice – indeed, we are still eating them 3 weeks later. Compare that to snap-frozen oranges from Coles or Wollies ….
I know which I prefer
We all should encourge and support more farmers markets
and local green grocers that sell Australian grown fruit & vegtables
More people need to vote with their feet and buy local. There is no comparison to be made with locally grown and ripened. You cannot beat it. So C’mon local vegie and fruits C’mon.
I have never, ever been compelled to purchase fresh food other than meat and dairy from a supermarket.
My daughter is now working on a checkout part time and one of the first things she said to me after a few weeks was, “I’m glad you buy from the fruit and veg shop because it’s fresh.” She’s been looking at Safeway lettuce all day, so now she knows it’s crap.
Farmers’ markets are rather lovely – I aim to get to one someday soon, as long as I don’t have to waste petrol getting there! Meanwhile another daughter is revelling in city dwelling and being able to go to a big fresh food market on a regular basis. One of my husband’s friends used to do the family fruit and veg shopping at the Vic market on his way home from work once a week.
HI
Thanks you for these supportive comments. We are orchardists in the Goulburn Valley and I personally never buy lettuce in a plastic bag. Who ever came up with the idea, must htink we housewifes and male shoppers too are idoits. The lettuce has its natural safeguard from” dirty peoples hands” by the magic outside leaves.These are also so good for my chooks!!!!
Please support Australian growers by buying from the local greengrocers. Vote with your feet. I do.
Idea concept
Try the local produce
Franchised shops
permanent local farmers store
Organic produce
Fruit vegetables
Meat chicken
Delicacies
Sauces
Local hand crafts
Fresh ground grains / flower
The business obtains produce from only local suppliers
The customers emotionally support the local
Prices are direct and keen
Can it compete with the big guys?
Will the community support it?
Is there enough local produce to support a retail outlet?
Could it be a co-op?
My family owns a florist shop which is located next to a large supermarket. Our buisness does very well. We keep our prices cheap and affordable. The supermarket next to us find it hard to compete with us. So they decide to undercut us by discounting there flowers to prices that we couldn’t even buy them for wholesale price in the flower market. Im pretty sure they are not making any money off these flowers. What i think is there trying to get rid of there competition. Which i think is anti competitive behaviour.Why else would they buy large quantities of flowers and not get the full price for any of them and not make any money out of them
Its mean and nasty. And i dont shop at the supermarket anymore. Id prefer to support all the independants. At least the independants sell more quality and more Australian products. In the long run everyone would be better off, money wise as well.
Its scary to think one day the local butches, fruit and veg shop, chemist, deli,florist shops etc may all dissapear.All because the 2 mayjor supermarkets are greedy. And i asure everyone will b paying top dollar when all these small business have been pushed out by big supermakets
Support the smaller bussiness!!!!
Coles are much worse than Woolworths when it comes to the cream they are skimming off us. I have seen their stock management procedures and it goes something like this:
1)Buy more of some product than any shop can ever sell.
2)Push more of the product to a shop than they can ever order.
3)Intimidate the store management to write off the left over as stolen or if it is too much just make it “disappear”.
The point being that the upward pressure on price is in a very large way due to the waste that occurs across the board at Coles. After Coles set the price Woolworths just maintains some small competition to keep up appearances. That is why Woolworths are doing so much better at the moment.
I have worked there for a very long time and the management structure is like a trip to the bad old days in Australia. The way to succeed is to leave school at sixteen and hang around. Over time the mere fact that these guys are there gets them pushed up until they are at the top level of the company in charge of multi-million dollar operations. It takes NO SKILLS to reach these positions and that gets reflected in the inefficient outcomes.
Not only is this one of the main causes of the price gauging but also it probably to blame for the other problems like low staff levels and filthy stores.
G’day – i worked for Coles – night shift at Hampton Park Victoria.
it was aprofessional operation operated efficiently in the interest of our consumed clients.
costs were cut to the minimum and security was very strict so i believe that Coles are trying – or were trying while i had the pleasure of working there.
i believe the problem is we have no price control at all and shareholders are greedy.
there was a time when a business was thrilled to pay its way and make a profit . these days unless profit is greater than last year business believes it is failing.
if woolies is so honest to us how do they make greater profits when they roll back prices?? sound odd – only if your not silly
we have been to many farmers markets and they try and rip us off as well – their prices are rediculous – if they demand these prices from retailers no wonder they import.
the local fruit shop buys whatever is at the market – if oranges are imported – he gets them .
everybody wants to blame some one else . the truth is that:-
we want champaign at the price of beer.
every business wants to make millions over night.
all business owners and controlers believe that they deserve big salaries and if we had the chance – so would we.
have a nice day
All the above is so true, and all the duopoly offers is convenience. WE NEED TO PLAN. Plan our shopping to suit the local guys.If we don’t WE WILL NOT HAVE THE CHOICE.
Our choices to be lazy has already killed off 80% of the little guys where the “Good Food” really is!! WE all need yo do our bit.
So Concerned.
Shop local, it supports the local economy which is good for everyone. Bank at community banks like Bendigo Community Bank Branches and the profits go back to the community. Use the dirt you own (your backyard) to grow your own veggies.
The BALLE movement is inspirational, it’s leader Judy Wicks was in Australia in 2008 and was well worth listening too.
Google Judy Wicks and “Transition Towns” another inspirational movement based in UK that has spread to Australia.
I eat fresh home grown wherever possible and it is not always possible as you know. Just how much of our consumables are genetically modified? I bet we don’t know the half of it. I now see coloured (purple) veges such as brocolli being sold at supermarkets. Their marketing goes: kids will eat it if it’s a pretty colour!!
One of my main beefs is with milk. Where can I buy “real” milk if one is nowhere near a dairy? Can one buy real milk from a dairy? When i say real, i mean milk straight from a cow – not homogenised, pastuerised, fat skimmed or anything else. I want a say in what is healthy for me, not someone else do it for me whether I like it or not. I can do my own research, thankyou very much.
I think community co-ops that sell fresh home grown produce is the way to go. I am all for boycotting the major supermarkets.
Visited Tasmania last year and came across a sign outside of a farmlet in Coletown which read: 10 apples for a dollar. Help yourself, pick your own. WOW, how marvelous. We picked 20 beautiful juicy apples right from the tree and they tasted like nothing you buy from the supermarkets. Good job Tassie. I would like to see more of that.
Michael Shumann (Balle Economics) was a keynote speaker at the July 2000 Brisbane International Association for Community Development/Queensland Community Development sponsored conference: Building Community Centred Economics. I can highly recommend the Balle web site as it has a wealth of resources which relate to our Australian experience. He was inspirational.