As I promised Tuesday, I am posting the next installment of Toys R Us, a tale of the Retail Apocalypse. Today, Mike the Company Man brings the bad news.
When Toys R Us declared bankruptcy 11 months ago (just before my birthday!), Company Man asked The Decline of Toys R Us…What Happened?
This week Toys R Us has filed for bankruptcy. It was shocking news and left everyone wondering what happened. This video takes a look at Toys R Us and explores the causes of the bankruptcy as well as makes predictions about the future of the company.
Unfortunately, all of Mike’s hopes for the company were for naught, as he reported the last week of June in Toys R Us – The Final Chapter.
We are in the final days of Toys R Us. A company that’s been part of our lives for the past 70 years is nearing its end. Exactly 9 months ago I made a video about their decline that talked about their core issues. It essentially told the story of Toys R Us, with the exception of the final chapter. This video completes the story and talks about what’s been happening over the past 9 months and why they weren’t able to recover.
I have one more installment in this sad story to post, which will come from Retail Archeology next week. Stay tuned.
Modified from Part 2 of Toys R Us in the Retail Apocalypse — Company Man at Crazy Eddie’s Motie News.
I will alternate between drinks and music for the tip jar throughout the rest of this series. Since I posted music last time, it’s time for a drink. How about some Cotton Candy Shots?
Still have the Commodore 64 that my daughter clamored for down in the basement. Last time I went to Toys R Us they had absolutely nothing we wanted. The Last time I went to Sears for clothes they only had garbage. Twenty years ago women complained to me that Sears’ clothes were twenty years out of date.
So many retailers fail to understand that they need good buyers. When the buyers purchase merchandise that the customers don;t want it doesn’t matter how good the deal was (or how big the kick back). Top management doesn’t understand because they live in their upper class bubble. They think the animals (proles that shop at their stores) will buy anything because … well because they are knuckle-dragging animals. Unfortunately, they will take their golden parachutes with them while the middle mangers, store personnel, customers and communities scramble for shelter.
True enough, Sears hasn’t kept up with all the shiny mall clothing retailers. Even Sear’s vaunted tool section feels like a walk through the past.
Sears sold off its tool line to Black & Decker last year. Not surprising they aren’t keeping up anymore. Hypothetically vulture streamliners sell off the businesses they’re not so good at to focus on the ones they are, but Sears there sold off its recently good tool line to focus on – its awful retailing? I’m amazed they haven’t gone under already.
When I finish with Toys R Us, I’ll start a series on Sears. I already have posts to adapt on my personal blog.
The CEO was a Wall Street operator. He has been mortgaging Sears’ property to his own private real estate company. Business magazines hail this as “valiant attempts to save Sears”. I see it as cheap way to get the property by foreclosing when Sears goes under.
I read that he is Howard Hughes type nut that lives on a Caribbean Island and holds all his meetings by teleconference.