Monday, July 07, 2008

Dawahares-What Went Wrong?

Dawahares, a family owned clothing store chain, founded in 1907 by a Syrian immigrant, will close all its stores, the last closing as of September 30th. Of all 33 stores, there were only nine initially to close, but it didn't take long for the family to realize the plan they had worked out in the face of mounting bankruptcy was not sufficient to prevent their total loss of funds by October.

Dawahares founder, who left Syria in order to ecape religious persecution, started out as a worker in a sweat shop in Mew York. At the urgings of a brother-in-law, he moved to Kentucky, ostensiby to work in the mines. Instead, he became a clothing and fabric salesman. Eventually, he opened his first store in Eastern Kentucky, long the most economically depressed area of the state.

Over the years, he opened several other stores in the area, but it was one of his sons who opened the crown jewel of the family business in Lexington, in the 1930's. Dawahares over the years gathered the reputation as the place to go for University of Kentucky Wildcats clothing and paraphernalia. The business continued to grow and prosper, until soon there were stores spread out across Kentucky, as well as West Virginia and Tennessee.

Unfortunately, it became somewhat of a dinosaur and may have been doomed to extinction by adherence to a business plan that was no longer economically feasible, while getting away from its roots at the same time.

Many see Dawahares as a Kentucky tradition. Others-quite a few others, it would seem-see it as a place where you go to pay top dollar (at least from a working class perspective) for second rate (at best) merchandise. In a good economy it might work, although even at that the UK contract may have been the only thing that kept the business profitable over the last thirty years.

In today's economy, a business plan that puts you at a disadvantage against places like Goodwill and other such thrift stores needs to be scrapped. The worse the economy gets, after all, the more those kinds of stores draws in an expanded clentelle, from the poor and working class, on up to the middle class.

When that happens, it is businessess like Dawahares, that never appealed to upper class folks to begin with, that suffer. What middle class folks continue to patronize such a business do so less frequently and spend less when they do. The poor and working class shoppers are now all but out of the picture, and what picture they are in involves old black and white stills.

So, why is this story so important I feel the need to blog about it? Well, it's a good barometer by which to measure the current political as well as economic climate. A bad economy tends to favor Democrats to begin with. When the country has been under a Republican Administration for the last eight years, and a Republican majority Congress for the last twelve out of fourteen years, that is all the more true.

There are other closings of other establishements coming, such as Goody's and a jewelry chain. Times are not good on the homefront. That means the GOP is actually fighting a three front war with most people scared to death they're itching to open a fourth.

I guess some might consider it ironic that this involves practically the one hundredth anniversary of a store chain founded by a Syrian immigrant,one you might consider a religous refugee, forced to close due to an economy battered in no small part by the direct and indirect effects of a war in the Islamic world. Well, that is true, but at the same time, remember, this was a business that started out in one of the poorest sections of rural Kentucky, became an American success story, and even managed to stay profitable and grow throughout the years of the Great Depression.

When I hear politicans tell us that our best years are yet in front of us, forgive my skepticism.

31 comments:

Rufus said...

Nah, it's interesting enough to blog about. Actually, I find stuff like this a lot more interesting than reading about the same three news stories of the day in twenty different blogs. I've never even heard of Dawahares. Anyway, good stuff.

SecondComingOfBast said...

Thanks, Rufus.

Rufus said...

No problem. I also added it:
http://another-sky-journal.blogspot.com/

Lee said...

Hey, found your place by googling Dawahares. Intersting place, to be sure.

I worked there for three years '02 -- '05, at the Mall St. Matthews location, so I have a perspective, trust me. There are many reasons Dawahares failed, but I have limited space before I lose attention, so in bullet form...

~ You are right about going cheap. The bulk of merchandise was under $20, and most of it was knock off.

~ They paid crap. I couldn't tell you how many talented people left that company because not only were they not being well, they weren't even paying well by retail standards.

~ They made stupid moves. A perfect example was they cut out completely commissions on suit sales. This caused Syd, an old Jewish man who had worked for 27 years in the company to retire out of frustration at the inexplicable paycut he just got. That man had more connections in the Louisville Jewish community than you could imagine, and they lost them when he left. And Allen, an elderly black gentleman who also worked in Suits for the past 15 years quit as well soon afterward, and the company lost all his connections in the black community, which he had several.

~ Finally: "A house divided among itself shall not stand." That family was dysfunctional to put it mildly, and what the previous generations had built up, the current one was rapidly tearing it down with infighting, bickering, jealousies, and all of this fairly visible to even the part-time teenagers working after school.

There are many more, but space and interest are limited. This current economy was merely the strong wind that knocked the old and diseased tree down.

SecondComingOfBast said...

Lee-wow, thanks for your perspective. I might even reprint your comment as a post, if you don't mind.

Rufus-I'm going to get around to linking Another Sky on the Myth-Ing Links section here in a day or two. I forgot for a while you were doing it, until you mentioned it on a recent post.

Lee said...

Go for it.

SecondComingOfBast said...

Lee. I'll probably do it on the 30th of September, the target date for the closing of the last store. I'll link your blog too.

Unknown said...

As A Dawahare family member and the only grandchild of William Dawahare, the Syrian immigrants oldest son, I will say that you are right, there was poor merchandise due to the fact that people could no longer afford the high end brands we used to carry. And I will say that the family is extreemely disfunctional as on of you other comments said, and unfortunately the jealousy and stupidity of some ruined everything for the rest, it is sad when you feel so conflicted not wantin gto fight your family for your inherited right, and in trying to be kind and loving you get essentially screwed up. My mother and I, she is also an only child, have now lost everything as all we had was invested as stock in this company, and we had absolutely no fault in the downfall of the company as after my grandfather died we were pushed out completely, and we allowed them ,to do it to try to keep peace in our very turbulant family.

SecondComingOfBast said...

Amina-

I don't know when you commented for sure, but if it's been awhile, I'm sorry I never responded until now. Thanks to Yahoo Mail, the shittiest e-mail service in the fucking world, I never knew until just now about your comment. Unfortunately, they are more determined to identify any sight affiliated with Google as spam than they are to provide a good service to their user base. Screw em, I'm almost done with them anyway.

If you do come back and see this comment, I would really be interested in hearing more of your story.

Anonymous said...

As another member of the Dawahare family, I just want to point out the fact that Amina Dawahare has never worked a LEGITIMATE day in her life for the company. Sure, you might have worked in the office as a summer job here or there, but you know as well as I do that you have never actually put any blood, sweat, or tears (until now) into the company. Her mother, W.R. Dawahare, has never been involved with the company either. Their father was a great man and left a nice inheritance for them to live on. I find it quite amusing to see her come on here and act like she has any clue what she is talking about. You were pushed out -- yeah right. You were BOUGHT OUT. Big difference.

You're an adult. If you're not able to stand on your own two feet now, it's nobody's fault but your own.

SecondComingOfBast said...

I'm just sorry to see the company go. It's probably not any one person's fault, other than not adjusting your business model to fit the current economy, which that is just an uneducated, admittedly unprofessional guess. I wish you all the best of luck. The family feud is ill-advised at this stage, if you want my opinion. Not that I think you do.

Feel free to drop by anytime.

Anonymous said...

wow - amazing posts by the family members.

i grew up with a number of the 3rd generation members of the family

they were very outspoken and very arrogant people

the members of the 2nd generation that i knew - by contrast - were classy people. i feel very sorry for them.

the 3rd generation folks deserve a little humiliation - this is great news !

SecondComingOfBast said...

Yeah, well it's all very interesting, for sure. Outspoken people tend to come across as arrogant.

Did you know Amina? She started a blogger profile, but unfortunately made it private, so therefore I can't contact her.

I have no idea who the other responding family member is, but he seems to have some involvement with Bloodhorse Publishing. At least that is where he arrived on this site from, according to my statcounter.

Anonymous said...

I live in the Eastern Kentucky town that Dawhares started in and to see the store closed and empty is very sad. I worked at the store when in school and will miss having such a nice clothing store to go to that is close to home.

Anonymous said...

I know this is old news but I just ran across this blog and I LOVE it! I worked in the Dawahares corporate office for almost 9 years. I had a very important position within the company. I would first like to say that the Dawahare family became like my second family...only more dysfunctional. We fought, we cried, we laughed...it was a truly great experience.

I agree with much of what Lee posted. Although I don't know much about the pay scale of the store employees (I am sure he is right but hey...what do you expect a minimum wage job to pay? Ummm how about minimum wage?)I know I was one of the few that was financially taken care of. I also bet you a million dollars I know more "dirt" on the family then anyone that worked there. I work for a very large Fortune 500 company now and the "interesting", "dysfunctional" and drama is present in every company.

I don't know who the anonymous family member was that posted comments about Amina but he/she is right on target. I put more blood sweat and tears into the company then this little twit did. I don't even know who she is. The family members that didn't work for the company were a BIG JOKE to everyone in the office-especially to the family members. It is funny how they always had an opinion about how the company should be run yet they wouldn't come and work for it. It's like the morons that don't step up and vote yet bitch about who's in office.

I love her remark about the "brands we used to carry." WE? Come on trust fund wannabe. Are you the Paris Hilton poser of Eastern Kentucky? Was it her inherited right to sit back and make money but not work for it? I guess that didn't work...maybe you should look into getting a job and stop hosting pitty parties...you don't make too much money doing that.

By the way-You're damn right you had nothing to do with the downfall of the company! You had nothing to do with any of its successes either...you had nothing to do with the company period.

This is funny stuff!

The last thing I want to say is that *most* of the Dawahares family members are wonderful people. I enjoyed(most of)the time I worked there (glad I got out before the shit hit the fan). I wish them all the best. I know there is something bigger and better for all of the family and all of the ex-employees.

And from the mouth of one of the most fearless Dawahares leaders ever...
"It is what it is!"

SecondComingOfBast said...

Anonymous-

Old news or not, thanks for stopping by and commenting, and glad you enjoyed the blog. I did a follow-up post to this too, if you want to look it up in the September archives of this year. I posted it on September 30th, the date I heard the chain was officially set to close all its stores. It was more or less just a rehash of these comments though.

I don't know for sure whether Amina is her real name, by the way, that might well be a pseudonym. I'm going to guess she's probably in her fifties, maybe even sixties, if she is a daughter of the founder's oldest son, as she says she is. I would like to talk some more to her, but unfortunately she hasn't made an appearance since that comment.

Again, thanks for stopping by, and good luck to you.

Anonymous said...

i heard several of working family members got our before the shit hit the fan - good for them

overall, since i grew up with several of the 3rd generation, they were arrogant assholes - at least the one's i knew - full of shit

i think it is great that they fucked things up - what assholes

Anonymous said...

On a note unrelated to the theme of the stores closing, I'd like to remind Mr. Anonymous that the last name of the individuals is Dawahare, not Dawahares.

See this quote from his/her comment to note the incorrect usage: "The last thing I want to say is that *most* of the Dawahares family members are wonderful people."

I am a member of the Dawahare family, and this has been driving me nuts for YEARS! So, to make it clear, Dawahares is the store, an individual member is a Dawahare; meaning that Amina, if she still has her last name of birth, is Amina Dawahare. Not Amina Dawahares. If you want to refer to the family, it is the Dawahare family. If you want to refer to the family in the possessive, as Mr. Anonymous did, you'd say something like, "... the Dawahare family's members..."

OK, done. Carry on with your debate concerning business plans, family dysfunction, work ethic, and history.

Anonymous said...

To the last Anonymous poster that commented on my post of using "Dawahares Family"...Frankly you are a moron. I referred to it as the "Dawahares Family" because I worked AT Dawahares and most of what I experienced was part of THAT dysfunctional family.

Love that you went off on such a petty rant about someone mispronouning your name. Poor thing. You know, it must be pretty embarrassing having to live with the last name Dawahare so you are forgiven.

Good luck...pretty sure you will need it. :)

Anonymous said...

I hear the Dawhares are getting ready to give it another go with smalller stores in a revamt way!

Anonymous said...

I hear the Dawhares are getting ready to give it another go with smalller stores in a revamt way!

Anonymous said...

Cool

alligators shoes said...

Really interesting! I enjoy reading this thanks for sharing.

Unknown said...
This comment has been removed by the author.
Amina said...

Amina Dawahare is not and never has been my name.
I worked several days in several of our stores. I was even made to show my passport by some of the dysfunctional family members to prove I was an American citizen at the age of 14.
All of you anonymous family members at least have the courage to put your name behind your comments like this twit did.
My mother W.R.Dawahare worked my entire young life in the store. Everyday after school she went back to work as I ate food from Wendy's then went back up to her office till she was finished with her work.
I grew up in the stores and was very well informed by my mother who was very well informed by her father (not mime) who you say was a great man so why would no one listen to her? Could it be jealousy and greed?
And finally just to set the record completely sraight neither my mother nor I ever sold a single share of stock like some of our other cousins did, possibly you?, maybe that is why you are thinking that way.
This has been fun and revealing. I hope you continue to grow in love and character my dear cousin anonymous.

Anonymous said...

it is good to know that the 3rd generation of the Doghairs will be known as selfish spoiled brats who ran their grand-pappy's business into the dirt - the 4th generation can go back to Syria where they all came from - good riddance

Anonymous said...

I was a student at the Baptist Seminary in Louisville in the 1980's and worked at the Dawahares in the Mall at St. Matthews. I can tell you that THEN, it was quite an upscale store. I was astonished at the wealth of the buyers coming in and how readily they parted with their money. We sold Derby fashions, Breeder's Cup fashions, and heck, we even had Mink Teddy Bears for the wealthy children. It was a great time to work there. I got great commissions and excellent employee discounts (which was the only way that I could afford anything there). And 35 years later, I'm wearing some of the clothes from there this very day. Still in excellent condition. I had a great experience during my years there.

Anonymous said...

I agree 100% with your comments. I grew up with several of the 3rd generation. They were all arrogant assholes. Glad they ran the business into the ground. Hope they commit suicide.

Anonymous said...

You are correct. I grew up with AF’s kids. They were arrogant assholes. AF was a classy man. His kids, especially the sons, are arrogant asswipes. Glad to see they are failures in life.

Anonymous said...

I hope they fail. I know the Dawahare person involved, and he is a total asshole. And he bald headed as well. He looks like a camel jockey.

Anonymous said...

Yes. They need to go back to Syria and ride camels. They are a bunch of spoiled brats. Their grandfather and parents generation worked their butts off to create the business, they were good people. The grand children are spoiled brats. I hope their children fail miserably in life.