In each state that has decriminalized marijuana sales, there’s a usual pattern that happens. Immediately after it is allowed, cannabis dispensaries or legal weed stores start opening all over town, even in small towns. At the peak, it can feel like every other store front is a pot shop!
Should city governments local leaders or economic developers try to do anything about the sudden surge in marijuana stores? Should they encourage them, discourage them or just ignore them and hope for the best?
Are dispensaries hurting the community? Or is medical marijuana a net benefit in areas with fewer health care facilities? More socially conservative residents may oppose pot shops, while others don’t see it as political. Because of the controversy around medical marijuana in some rural areas, I think local leaders’ best plan is to stay out of it. Let the natural business cycle take its course.
Here’s what I mean about the business cycle. Local entrepreneurs will open new shops to take advantage of the sudden opportunity. Over time, some of them will be more successful than others. Eventually consolidation will happen. Unsuccessful stores will close. Successful owners will buy out less successful owners, and may even form into mini chains of stores. Outside owners, especially successful ones from larger towns, may come in to buy out other stores. This has already started in many states that have had medical marijuana for several years.
It’s only natural that this change will be uncomfortable during the transition. It will take time but the number of shops will fall back to a more moderate number. In the meantime, don’t let them distract from other positive steps you can be taking to make your community a better place.
- Rural Tourism Trend: electric vehicle chargers can drive visitors - January 15, 2023
- 2023 trends for rural and small town businesses - December 26, 2022
- Local reviews on Google Maps drive enduring value - December 17, 2022
- Extra agritourism revenue from camping, cabins and RVs with HipCamp - December 12, 2022
- Harvest Hosts attract vanlifers and RV tourists, Boondockers Welcome - December 2, 2022
- Holiday 2022 marketing: Tell your founding story - December 1, 2022
- Holiday 2022 Marketing: Tell your customers’ stories - November 30, 2022
- Holiday 2022 Marketing: Introduce your people - November 29, 2022
- Holiday 2022 Marketing: Share your holiday traditions - November 28, 2022
- Holiday Marketing 2022: Support your service businesses - November 22, 2022