Counter-example for basically everything you said: Trader Joe's.
Sears used to be like Trader Joe's: customer service was great, the best products were the house brands, and if you weren't satisfied, you walked back in and got a new one or a refund.
Then Sears' new management went off in pursuit of higher profits and killed everything.
I agree that Sears' management has been terrible, but also think that Sears' customers stopped being able to pay the premium for their American made Craftsman tools and knowledgeable employees.
Trader Joes are usually located in areas that have higher income and more young people. They do offer good customer service, but I also don't think Trader Joes could cater to as many people as Sears', and Sears stores and inventory seem much more costly to operate.
Sears used to be like Trader Joe's: customer service was great, the best products were the house brands, and if you weren't satisfied, you walked back in and got a new one or a refund.
Then Sears' new management went off in pursuit of higher profits and killed everything.