The closure of one business affects other businesses in the community

A bar about a mile and a half from my house recently re-opened after being closed for two years. Although the closure was for renovation after a sale rather than a business failure it provides an example that other businesses are also affected when one closes.The previous owner also owned the property as well as the liquor license. After escrow closed the new owners shut down the bar for an extensive renovation.The bar had an occasional steak dinner or other food offering but did not regularly sell food. Many bar patrons used the taco shop just north of the bar and brought that food into the bar. When the bar was closed the taco shop lost much of its business. The pizza restaurant half a block south of the bar was also adversely affected by the loss of purchases from bar customers.
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