Borders Group to Launch Book Publishing Company & Web Site. CEO George L. Jones Breaks Promise NOT to Copycat Barnes & Noble, Inc.
Monday, March 26th, 2007Boy, was I ever wrong! Last July I was practically turning cartwheels upon learning that George L. Jones had been hired away from Saks Department Store Group, where he had been earning $2,286,695+, to become the president, ceo and director of Borders Group. I eagerly anticipated an infusion of retail savvy from outside the self-protective and insular world of book publishing that would shake things up and ultimately transform the way business was done.
At the time he was hired, Jones pledged that he would not, repeat, would not, copycat what Barnes & Noble was doing, yet on March 22, 2007 he announced that he would significantly increase Border’s proprietary publishing program and launch a Web site—a site surely designed to compete head-on with Barnes & Noble online and Amazon.
Hello! Wal-Mart, Costco, Sam’s, BJ’s Will Not Shelve a Borders Group Book.
May I suggest, Mr. Jones, you hightail it over to Barnes & Noble Annual Reports online and look at the P&L statements for the imprint Barnes & Noble Books and see how they have fared, financially. I am not talking about Sterling Publishing, which B&N, Inc. acquired in 2003. I’m talking about the Barnes & Noble Books’ imprint, specifically.
I suspect that the vehement resistance certain to be displayed by Costco, Sam’s, BJ’s, and Wal-Mart—all the big, blousy retailers who make so much money off hawking books to the shopping cart set—might cause some surprise and then real consternation at Borders Group, Inc., when it becomes apparent that competing retailers are no more interested in improving Borders’ P&L than they were in improving Barnes & Noble’s.
Wake up and smell Seattle’s Best Coffee, Mr. Jones!


