Closing down sales, shuttered shops and news of mass layoffs are becoming common place across the US as retailers struggle to turn a profit. An expert has now revealed five key reasons stores are closing which has left a 'stain' on US cities. Earlier this month, the iconic chain Macy's announced that it will be closing 150 branches in the next two years including it's much-loved Philadelphia store.
Last month fabric and crafts retailer Joann announced it was going out of business after 80 years. Walgreens, Party City and CVS stores are also victims of this retail 'bloodbath,' but what's behind it? Speaking to Mirror.com Scott Y.
Stuart, the CEO at nonprofit Turnaround Management Association (TMA), explained what's going on behind the scenes amid the closures. The firm he leads is a nonprofit headquartered in Chicago, Illinois, that works with businesses as they restructure. He outlined key causes, saying: "Retail has always been an area of high volatility where reorganizations, and restructurings are quite common.
"While that changes during different cycles, this one being a post pandemic cycle where the convalescence of a host of factors, including online market place, work from home affecting urban center traffic, commercial real estate costs, and normal pressures effacing consumer spending, and changes in consumer habits, are all at play right now." Earlier in February, Liberated Brands - which owns Volcom, Billabong, Quiksilver, Spyder, RVCA, Roxy and Honolua - filed for .
