Case Study: Don’s DIY

Don’s DIY store chain was probably struggling year-after-year just making ends meet ever since it bought out its largest competitor in the region.

Sometimes management decisions can be catastrophic.

With that one bold (or foolhardy) move, Don’s DIY expanded from a small time do-it-yourself equipment retailer with a couple of stores to a major player in several cities along the West Coast.

The company then proceeded to invest heavily in the transforming of its new stores into its own brand.

Unfortunately, Don’s DIY failed to gain enough consumers to justify its large financial layout in buying and modifying the new stores.

Things certainly started to get out of hand when consumers started complaining on social media that shopping at the new locations was more expensive than when they were owned by their original DIY hardware retailer.

Don’s DIY began reducing staff working hours at first as well as firing some of its employees to try to get back on a more even financial footing but shortly after, it was forced to shut most of its locations, including many of its most profitable ones in San Fransisco.

Bankruptcy accountants say the chain ignored its competition and also failed to prepare for the many choices Californians have when it comes to DIY hardware purchases.

The company was all but shut down shortly after its Chapter 11 bankruptcy filing, although it has managed to maintain an online presence in the space to sell some of its excess inventory.