Apocalypse among retailers
Since the beginning of 2018, in the United States, 57 companies have filed for bankruptcy on the basis of chapter 11 of the bankruptcy proceedings. Today’s retail trade is at a turning point as retailers face, among other things, difficulties in running their shops, huge debts and inefficient operations.
The growing number of retailers who file for bankruptcy is due, among other things, to the decline in retail sales in stores:
- decline in retail sales in stationary stores,
- the late transition to online sales of goods,
- excessive debt driven by crisis leveraged buyouts.
At the same time, it should be stressed that bankruptcy does not always lead to the cessation of economic activity. Many retailers have used bankruptcies for internal restructuring with positive effects.