How local business is responding to the recession
Juan de Anda | Staff Writer
deanddajp@imail.losrios.edu
The economy has students panic stricken. Many have stopped credit-card swiping and have opted to purchase only the necessities.
Nursing student Monica Sanchez is one City College student who changed her shopping habits.
“Before the recession, if I wanted to buy something that I liked, I would just grab it and go. But now I have to think carefully about what I buy,” Sanchez says. “I have to ask myself, ‘Do I need it? Is it necessary? Can I live without it or find a cheaper brand?”
It’s not only individuals who are having a run for their money but also local businesses. With business giants like Circuit City and Mervyns going down in flames, smaller businesses are reasonably worried about the future.
Businesses that rely heavily on student spending, like Espresso Metropolitan, Oscar’s Mexican Food and Ford’s Real Hamburgers – all of which are hang-out spots for City College students, are still turning a profit but have seen a drop in business from previous years.
“Last year we lost from about $11,000 to $12,000 from what we usually make. Students are not our main customers because of our prices,” says Kelly Wang, Assistant Manager at Ford’s Hamburgers. “We needed to raise prices, cut employee hours, and even closed on Monday just so we can stay afloat.”
The location of the business will often indicate whether it will fly or flop. All of the aforementioned establishments are situated in a geographic area saturated with college students, high school students, and local residents.
“We are successful probably because we are the only place around here that sells Mexican food within the budget of a high schooler or college student,” says Fernando Dimas, an employee at Oscar’s.
“We’ve been getting hit from all angles with the recession but we’re hanging in there because we get a lot of neighborhood support. We also have a lot of people from the college and McClatchy who come here for a cheaper cup of coffee,” says Kriss Camia, a barista at Espresso Metropolitan.
Local political activist Francisco Dominguez notes that in his 25 years of going to Espresso Metro he has seen lots of students come and go, but he believes it’s the regular visitors like himself that keep a business from failing.
