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The change will help to level the playing field for smaller, bricks-and-mortar retailers who have complained for years that their businesses have been at a disadvantage because they've had to collect the 7-percent sales tax when out-of-state internet merchants did not. Still, local companies know they have to continually find ways to win customers from national competitors. "Retail is cyclical. No one is in a safe zone just because they are a regional retailer," said Kristen Regine, a marketing professor at Johnson & Wales University in Providence. She said purveyors must be proactive and relevant if they want to stay in business. They face the challenge of continuing to serve aging baby boomers while engaging younger, more tech-savvy consumers. Regine predicts there will be more chain store closings in the next few years as hundreds of leases come up for renewal in malls and shopping centers across America. Many national chains overextended their reach and are now pulling back. "Did Gap really need to have six stores in Rhode Island?" she asked rhetorically. She points to Ocean State Job Lot of North Kingstown for its smart, cost-conscious store expansion policy.
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