While the economic downturn has hit small businesses hard nationwide, local entrepreneur Melinda Rand-Kenefic said she sees it as a chance to improve customer service.
Rand-Kenefic owns Celebro, a natural fiber clothing company in the Nob Hill business district just east of the University on Central Avenue.
"It's a great opportunity for us to look at the needs of the Albuquerque community and see what we should be doing differently," Rand-Kenefic said. "We all have small businesses that really work to meet people's needs. I don't really see the economy as a negative - other than that I could always use more money."
While it's not the best time for reinvention or risk-taking, Rand-Kenefic says it has forced her and others in the University community to re-evaluate how they do business.
"I think I'll come out of this a better business owner," she said. "I won't make more money than I did before, but I think that what I do make will be made very well. That means I'll be reaching more of my customer base to make that money."
Rand-Kenefic's role as president of the Nob Hill Business Association, a nonprofit organization that represents more than 250 businesses in the district, also helps give her insight into the economic trends faced by the University-area establishments.
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George Kenefic, Rand-Kenefic's husband and co-owner of Celebro, said the store recorded its best Christmas ever, but January has proven to be a harder month for sales.
Rand-Kenefic cites significant price reductions at the end of last year, especially during Christmas, as the reason most of the local businesses she works with are now lagging.
"Basically we just had a panic after Sept. 11 and everyone, from small businesses to the malls decided to mark down prices, so now people's budgets are basically exhausted," she said. "I mean, there were some great deals earlier in the year. Now people are just being much more reserved when they do decide to shop."
Despite the problems, Kenefic said shops in the business district are benefiting from strength in numbers, referring to the association's portrayal of the area as a desirable place to shop, eat and be entertained.
"We have been able to present ourselves as a great place for people to come and basically find local businesses that can meet all of their needs," he said. "All we're really missing is a mortuary and a hardware store."
Kenefic added that the close connection to UNM has strengthened his business, attracting professors and older students interested in buying natural fiber clothing from merchants who care about how the products are made.
"I don't think we would be where we are today if we were in, say, Winrock Mall," he said. "Who we are is very much determined by who comes to our store and who is in the area. We are very proud of our connection to this community and we hope our store really reflects that."
The economic picture has been relatively positive in New Mexico, but the national recession has not left University-area businesses unscathed.
Staples such as Salsa Fresca, a New Mexican food restaurant at 120 Harvard Dr., closed its doors during the first week of the spring semester. A handful of other shops, including a toy store and used record outlet, closed before the new year.
The revolving door of management also continues to swing at the Lobo Theater, which is a well-known icon on Central Avenue whose marquee only promotes contact information for leasing the building.
"Some people have gone out of business, but I don't think our loses are any higher than those elsewhere in the country," Kenefic said. "It's the nature of small business. People are basically personally financing their dreams and sometimes it's a risky proposition. Some are better prepared than others and fare better. Others are just lucky."
While others have struggled, the majority of University-area retailers are doing well. Stone Mountain Bead Company moved into the former Pick Up Your Toys building at the southeast corner of Richmond Drive and Central Avenues.
Bandito's Hideout on Central Avenue south of the University expanded to add a panader°a, also known as a Mexican bakery, bringing relative stability to a storefront a few doors down the block that has seen several businesses occupy its space and falter during the past year.
"I've heard a lot people wondering when the tougher economic times are going to end, but we're all basically pretty stable and reaching out to the community and making sure we provide the services they need," Kenefic said. "That's how all businesses survive and eventually thrive. We keep our customers happy."
