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What’s behind the rapid growth of Dollar General stores in Michigan

Dollar General parking lot
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Dollar General stores are multiplying in Northern Michigan.

 

In 2010, there were 247 Dollar General stores in Michigan. Now there are more than 500. 

 

And many of the new stores are located in rural areas and small towns in Northern Michigan. 

 

 

Crain’s Detroit Business reporter Chad Livengood recently wrote about why Dollar General stores seem to be popping up everywhere in Michigan and how residents near proposed stores are reacting. 

 

 

According to Livengood, the company's strategy involves targeting travelers with very strategic store placement.

 

“The strategy is to be small and nimble, get to people where they live or where they’re driving,” Livengood said.

 

Another part of the store’s strategy, Livengood says, is undercutting the competition. Since they buy in serious bulk, Dollar General can sell products far below prices that local mom and pop operations.

 

Some small towns are pushing back against the proliferation of Dollar General stores. Residents have protested, boycotted, and even bought land to keep it away from dollar stores.

 

But Dollar General isn’t balking at the opposition. The corporation is planning to open another 975 stores across the country this year.

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