News

Actions

Toys R Us files for bankruptcy while Neiman Marcus closes Great Lakes store

Posted: 7:46 AM, Sep 19, 2017
Updated: 2017-09-19 12:05:29-04

A major announcement by Toys R Us could mean a change this Holiday shopping season.

Traditionally the pioneering big box toy retailer does 40-percent of it’s business ahead of Christmas. This week the company announced bankruptcy, causing concern over what’s in store for the 1,600 locations that still sell toys and games.

Toys R Us said that court-supervised proceedings will help restructure it’s outstanding debt and re-organize for long-term growth.

Meanwhile, another metro Detroit big box store will be closing it’s doors. The Neiman Marcus Last Chances store at Great Lakes Crossing will be one of 10 stores nationwide to close it’s doors. That news was also announced this month.

Industry experts have long pointed out the growth of online shopping, and it’s effect on brick and mortar stores. Now, more than ever, the shift is becoming apparent.

In recent months Aerosoles, Payless Shoesource, Wet Seal and Gymboree have added their brand names to the dozens of traditional chains seeking bankruptcy protection. Other large retailers like Sears, JCPenney and Gander Mountain have closed businesses during that same stretch of time.

As the downturn of brick and mortar stores, and large chains, continue online retailers continue to thrive. Amazon is currently seeking a new home for it’s second headquarters. Detroit is among the many large U.S. cities currently pitching the company on locating in their city.