ComputerWare had 10 locations in San Francisco, Dublin, San Mateo, San Rafael, Santa Clara, Sunnyvale and Berkeley. Aaron Frederick, research services manager for Marcus & Millichap's Sacramento office, suspects this is more about the business than the economy.

"Retail sites are seeing an increased vacancy, especially in old or obsolete malls," says Frederick. "But I don't see ComputerWare's closure as an indictor of the changing economy as much as bad business plan that tried and did not succeed at capturing a standalone market--that of Apple Computer."

The economy is affecting businesses, however, says Frederick. "Businesses today are facing challenges especially in light of the changing economy," Frederick tells Globest. "Small and medium businesses--especially those in dot-com-based San Francisco--may be hit the hardest. If they are not changing with the economy and the demographics and maintaining an image of quality, they are certain to be impacted by the shift in the economy.