Title: Which Stores are Going Out of Business in 2019 and Why? - South Florida Reporter
Headings: Which Stores are Going Out of Business in 2019 and Why?
Which Stores are Going Out of Business in 2019 and Why?
Changing Tastes Determine Which Stores are Going Out of Business
Other Factors in the Retail Apocalypse
Small Retail Retrenches
When You’re Not the CEO
Who We Are

Content: Charlotte Russe’s teens grew up, and much like the gotta-have mall stores of the 90s, they did not keep up with the vital changes in their targeted groups. Victoria’s Secret is experiencing a reversal of fortune as up-and-coming brands such as Adore Me speak to younger shoppers with “Lingerie for Every Body” and modestly priced sets. JCPenney, one of the “anchor stores” along with Sears and other regional department stores long held the mid-range between mass merchandisers and upmarket department stores. Unfortunately, as it tastes changed and wallets tightened during the recession, JCPenney stuck to its previously successful formula and while it remained successful for a time, it did not appeal to younger shoppers as they set up their own homes or changed from school-going teens to young people in the workplace. Perhaps, most especially, none of the “mall stores” was prepared for the advent of the internet, the variety that online shopping could offer, and the convenience to working people of having their purchases delivered to the doorstep in two days with free shipping. Other Factors in the Retail Apocalypse
Changing tastes in the market are one factor, Amazon is another, but the elephant in the room is private equity and its impact on the retail ecosystem. Private equity is the invisible factor in determining which stores go out of business. The practices of private equity cause even highly successful chains such as Toys R Us to go into a tailspin, and then close having been squeezed for every penny. Private equity was supposed to be the savior of numerous retail concerns, but after being purchased by private equity, stores such as David’s Bridal, Toys R Us, Claire’s and others instead found themselves burdened with insurmountable debts, stagnating sales, and finally facing liquidation and a place on Wikipedia’s listing of defunct stores. The most glaring example is the acquisition and slow dismantling of Sears via Eddie Lampert – a man credited with genius based on the success of his hedge fund.