Bob's Case Study

Words: 353
Pages: 2

The economic environment changes that created challenges to Bob’s were the minimum wage increase and the 2008-2009 recession. The minimum wage increase was mandated by the government, causing Bob’s e to pay approximately $672 more a week, $2,900 more a month, and over $34,000 more a year for wages. Bob’s was a very small retailer, only operating out of one location. The minimum wage increase affects small businesses the most, because the business may have to make necessary changes to continue to turn a profit. This could have resulted in layoffs or benefit cuts (Levin-Waldman & Whalen, 2007). During the 2008-2009 recession, consumers were focused on finding the lowest prices possible for their grocery needs and other needs. As Bob’s was not