SIOUX FALLS, S.D. (KELO AM) - There are major changes ahead in the world of retailing after J.C Penney announced it will close four stores in Yankton, Pierre, Mitchell and Watertown.
South Dakota State Retailer's Association Executive Director Shawn Lyons says national chains are facing some bracing challenges. He says the closure of 4 stores in South Dakota, and 138 nationwide, should give everyone a cause for concern.
Lyons says the problem lies in the competition within the marketplace in terms of e-commerce.
But Lyons says there is growth among the small, independent retailers across South Dakota. He says the majority of the Association's new membership this year comes from that business sector. He says there's still plenty of business growth in communities like Pierre, Yankton and Sioux Falls and even the smaller towns.
He says those businesses still believe in their communities, still see a role in what they can provide the consumer.
Lyons says many retailers are reacting to a slowing economy. He says looking at the economy and the uncertainty over the year, it's causing a lot of retailers to tighten their belts.
He says it will be critical for Congress to close the loopholes that allow online retailers to avoid paying state sales taxes.