In the last few months we have seen several retailers declare bankruptcy or shut down stores. Each business has it's own particular reasons for failing out, and due to the state of the economy and the recession 
we are currently in, it looks like more are in trouble of failing. The reality of this problem is that consumers will stop being unnecessary 
items, and start buying things that are needed. Such things as food, household items, and other essentials.
we are currently in, it looks like more are in trouble of failing. The reality of this problem is that consumers will stop being unnecessary 
items, and start buying things that are needed. Such things as food, household items, and other essentials.
Some fail to adapt to changing times, others can't adapt at all. Bad management, over expansion, under expansion all have a role in this problem. Everyone is a different story and It seems that many stand-alone stores have shut down.
Such stores as Walmart are not in trouble in this case, and it seems that luxury stores go first..for example, Sharper Image and like stores may even merge. People don't need to get out of the house and shop, and when jobs are being taken away left and right, retailers are dissapearing all around the U.S. A place like Walmart is perfect not because it's cheap with a lot of selection, but because, of lack of real competition, a wide selection, good prices, and more. The death of the "mom'n'pop" stores was a blessing for many of us with no more outrageous prices and inadequate service for the retail world.
One of the biggest problems in failing retailers is overexpansion or expansion that is too rapid. In the desperate attempt to increase returns to shareholders, companies have to keep becoming more and more profitable so they start expanding beyond the point of sustainability. The money lost for maintaing the stores outpaces the money coming in.
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