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@Howard
Yeah - I mean I don't think they are being 'killed'. As in my post, the smart ones understand their market and move with it, the mediocre and the dumb ones will, eventually, die, and that's no bad thing.
I strongly agree with you on the size of the market for reliable servicing / repairs for people who see their bike as just another way of getting around. I think that market is only going to grow for the foreseeable future. The LBS should have a bright future - if it can provide consistent, friendly, timely service.