HHI’s stores all face serious competition from national hardware chains such as Home Depot and Lowe’s. These national chains have opened many new stores recently, and they are larger, carry more items, and often offer lower prices. The competition is fierce; for example, all HHI stores have closed their lumber sales departments because of this competition. The national chains buy lumber in such large quantities that they can offer far lower prices. HHI was unable to earn a profit when matching the large competitors’ prices and the lumber operations consumed a large amount of store space. Hal is worried that this sort of problem could develop in other departments, so he is always looking for ways to add value to the HHI customer experience, especially ways that the national chains are not willing or able to do. For example, Hal believes that most people want to try out a new power tool in person before they spend hundreds of dollars on a purchase. Thus, every HHI store has a tool demonstration area that is always staffed with salespeople who experts in power tool operation. For each major type of power tool (drills, power saws, joiners, grinding tools, and so on), HHI has created a small booklet of hints for using that type of tool. HHI gives these booklets to customers as free handouts. HHI also sells its own low-cost instructional videotapes and DVDs.