They announced the closure of these stores in the United States during 2024

2023 proved to be not a good year in terms of financial profits for various companies in the United States.

Losses, the increase in online shopping, high inflation, among other reasons, have led to the closure of physical stores. This event was classified as a retail crisis or apocalypse.

In this new year, there is a trend of increasing online sales and closure of stores of some companies.

This will provide more opportunities to retail companies, while stores will be more affected by the lack of customers.

Walmart, TJ Maxx and Marshalls, Dollar Tree, RiteAid, CVS, Walgreens, among others, announced the closure of some of their establishments.

High costs of rent, salaries and others, as well as theft in businesses, are factors that influence the closing of stores. This measure is due to poor business performance.

Retail giant Walmart began closing the deal in several states in 2023, with others joining in 2024.

TJ Maxx and Marshalls Stores plan to close three locations in January 2024: two in New York and one in Illinois. Its employees will be transferred to nearby shops.

One of the most popular chains for its discounts is Dollar Tree Inc. Since last year, it had announced the definitive closure of some of its underperforming stores due to the country’s inflation.

The pharmaceutical industry has also been affected. Rite Aid announced the closing of 154 stores when it filed for bankruptcy. During this; CVS announced a few years ago that it was closing 900 branches between 2022 and 2024.

Walgreens is one of the largest pharmacy chains. During the first half of 2023, retail sales recorded a growth of 8.6%. However, it will permanently close its doors after declaring bankruptcy.

Some effects of retail crisis

This crisis has led to many challenges and changes in business models. This is very beneficial and attractive for retailers facing financial difficulties.

This has been an opportunity to correct the size of the commercial network, reduce costs and reduce expenses so as not to go bankrupt.

But at the same time it has had a negative impact on other people as well. For workers, unemployment and changes in other dependencies. For clients, traveling to other remote locations to meet their needs such as medications.

This phenomenon is expected to increase in the coming years. According to investment bank UBS, about 50,000 US stores will close by 2027.