In September, 2006 (just five years ago), Borders – a 40-year-old company — was profitable and growing. It was the number two book retailer in the U.S., selling cheap books at discount prices. Borders’ competitive advantage in its heyday was that it stocked tens of thousands of titles in a single store when most independent bookstores could ill afford to stock a fraction of that. Borders also had a superior inventory system that could optimize, and even predict, what books consumers nationwide were likely to buy. Beyond the U.S., the Borders empire had grown to over 1,250 stores globally including the U.K., Ireland, Australia, New Zealand, Dubai, Oman and Malaysia. Continue reading





