Communism doesn't work? Shocking state of $29m government-run supermarket in KC

[NotJoeBiden]

Before you all strain your arms from patting yourselves on the back, commissaries work because we drop $2.4 billion into funding DeCA every year. They're not sustainable otherwise. You think a city government can afford the subsidy it would take to make that happen on a widespread civilian scale?

Yes. Other places and organizations have made it work as pointed out by a few posters here. I use to live near a Co-Op that did a similar thing that has been successful. It wont cost $2.4 billion for New York to fund a few trial stores.

[Mint Berry Crunch]

Before you all strain your arms from patting yourselves on the back, commissaries work because we drop $2.4 billion into funding DeCA every year. They're not sustainable otherwise. You think a city government can afford the subsidy it would take to make that happen on a widespread civilian scale?

The funding that DeCA receives is a bit lighter than that across its 240 fronts, specifically, its $1.467 billion. It's true that they do receive funding, but they are highly self-sustaining and generate their own profits by charging a 5% surcharge on the goods you purchase at the commissary which goes towards sustaining themselves, reducing the overall need to appropriate additional funds. It's actually a pretty good system in that you are still saving a pretty good chunk of money by shopping their and negating taxes while in turn, that extra 5% goes a long way for the commissaries. Those numbers don't look bad at all considering the amount of commissaries there are, total funding, and savings for both the government and military personnel. The meat section is where you find the real savings lol!

[SteveFoerster]

As with most subsidies, it's a pretty good system if you benefit from it personally, but not so much if you don't. It's one thing if that's a military benefit, that's just another military expense we all have to cover.

As for co-ops, if they're so great, where are they all, and why isn't that the proposed solution?

[NotJoeBiden]

As with most subsidies, it's a pretty good system if you benefit from it personally, but not so much if you don't. It's one thing if that's a military benefit, that's just another military expense we all have to cover.

As for co-ops, if they're so great, where are they all, and why isn't that the proposed solution?

… because Co-Ops are non-governmental entities. They lack the economy of scale that larger chains and government entities hold.

[SteveFoerster]

As with most subsidies, it's a pretty good system if you benefit from it personally, but not so much if you don't. It's one thing if that's a military benefit, that's just another military expense we all have to cover.

As for co-ops, if they're so great, where are they all, and why isn't that the proposed solution?

… because Co-Ops are non-governmental entities. They lack the economy of scale that larger chains and government entities hold.

Not necessarily. Credit unions are co-ops and they work at scale. For example, Navy Federal Credit Union has 342 branches.

The difference is that grocery stores are already one of the most efficient industries we have, with notoriously thin margins. If food is too expensive, then okay, let's have that conversation, but it's not grocery stores' fault and supplanting them with something more expensive and less efficient isn't the solution.

[NotJoeBiden]

Not necessarily. Credit unions are co-ops and they work at scale. For example, Navy Federal Credit Union has 342 branches.

The difference is that grocery stores are already one of the most efficient industries we have, with notoriously thin margins. If food is too expensive, then okay, let's have that conversation, but it's not grocery stores' fault and supplanting them with something more expensive and less efficient isn't the solution.

Credit unions operate very differently than grocery stores.

Again, many others have made this system work. It isn’t designed to be profitable like a real grocery store and will not operate in the same way as a traditional grocery store.