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Unraveling the Causes
As Laura dug deeper, the roots of the crisis became clearer. California’s retail struggles were not caused by a single factor, but by a convergence of challenges that had been building for years.
At the same time, operating expenses soared. Commercial rents climbed steadily, utilities became more expensive, and compliance with regulatory requirements demanded additional resources. Even large corporations found it increasingly difficult to balance costs with profitability. For smaller retailers, the pressure was often unbearable.
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