Don't get me wrong. I dearly miss my local tobacconist. Not for economic reasons, convenience mostly. He did employ one other person and stocked his own shelves. Probably made less than minimum wage when his hours were factored in. I'm just trying to understand what "curt" was writing.
The "giant" retailers meet a need for consumers, pay taxes, generate jobs all over the wage spectrum from teamster wages to "welcome to the work force" minimum wages for teens and others, etc. A friend, whom I worked for now and then, had an Ace store. He said the best location was across the street from a Loewe's or HD as they generate business from a base desiring customer service over lower prices. His store was two blocks away and made a nice part of the income from dissatisfied "big box" customers by providing superior service and information. We also attracted the least wanted customer. The guy who came in to fondle and appraise, then went home and ordered from out of state via the "net." Gotta take the good with the bad.
The original owner of my tobacco store was agile in his responses to the economy and would be successful today. He sold to a guy dedicated to forcing a cigar bar on everyone. He was broke and gone in eight months. Bob, the original owner, expanded and contracted as the economy did. His best years were the "pipe line" days. Three stores, a dozen employees and an endless supply of "oil patch" customers itchy to spend. When construction ended he quickly dropped back to only the mother store and one employee. He greq income by jumping into the internet, shipping product all over the State. His only problem is, he could never figure out how to stop the aging process. He sold the store, cash only, up front, and moved to sunnier, warmer climes. He left town with a huge smile on his face.
There is a substantial number of consumers who are not driven by "lowest price." The local retailer has to draw from that base by meeting their needs. Of course the smaller the population base the harder that is to do. I'd guess a population of 100,000 might contain a serviceable number of cigar, luxury cigarette and pipe smokers to support a local store operated by a savvy, quick witted proprietor. I doubt he'd get rich but, he could survive.