Something occurred to me yesterday. Just off the top of my head, I can think of 3 well-known companies that are in serious trouble:
Radio Shack (said to be considering bankruptcy)
K-Mart (just announced a bunch of store closings)
JC Penney (struggling for years now)
What other stores/brands out there don’t seem likely to last much longer?
Starbucks.*
(*one can dream.)
Three is not a lot. Radio Shack has been sick for ages, making every wrong move possible. KMart/Sears is being run by a finance guy who thinks he knows retailing but doesn’t. I think Penneys if recovering - or at least is doing a bit better than right after the experiment.
Given the state of the market, businesses in general are doing pretty good. Their customers on the other hand …
Blackberry.
Seems like they’re ‘fucking nailed to the perch’.
Barnes and Noble, Eastman Kodak, Netflix, Olympus, Talbots, Volvo
I forgot about Volvo. It seems like they update their vehicles about once a decade (I exaggerate, but really not by much). I read something recently about how they’re pinning their hopes on a new $60,000 SUV with crystal knobs and bullshit like that. I think they’re deluded if they think they can compete at that level of luxury, and at this point it’s really just a matter of how much longer their Chinese owners want to keep flushing money down the toilet.
I predict that Best Buy will be circling the bowl in short order. They seem to be shifting their stores away from their classic mix of consumer electronics (TVs, radios, computers, etc…), video games and media (DVD/Blu Ray and music CDs) and into more cell phone/cell phone crap, along with a bigger emphasis on tablets and major appliances.
Major shifts in emphasis rarely bode well, especially when the market’s as saturated as the cell phone and cell phone shit markets are.
How about a city? Atlantic City.
Lost 4 of it’s 12 casinos since the beginning of 2014 (and a 5th, Trump Taj Mahal, might be next).
Lost a lot of business to other nearby states getting casinos.
I should add casinos are pretty much all Atlantic City has going for it. Walk one block from the boardwalk and you may as well be in Newark or Camden (with all due respect to those cities).
I almost typed the same thing and then, when I went looking for a link to add, saw stories about how their stock was doing better as a result of their changes.
Two of the biggest changes were a major management shake-up (store, district and up) and the shift from box stores to smaller non-anchor mall stores and cell phone kiosks.
Netflix? I don’t see anything which seems to indicate that they’re at risk. It looks like a few experiments that they tried didn’t work out, but nothing that’s going to send them down the toilet.
Yeah, I’d agree with this, I came in to make the same point.
One of the Big Box office supply stores - I understand Office Max has bought Office Depot (ir vice versa), but neither can stand Staples.
Dayton-Hudson used to have 3 retail operations - Mervyns of California was finally axed, and they changed the corporate name to Target. Don’t remember the third, but Target is dead meat - they are trying to be Wal-Mart - in markets with a Wal-Mart or two already in place.
Have we outgrown Hooters yet? Yes, pretty young women with their boobs (part of) on display.
Strip joints are better if you want to see whay female bodies look like.
Specialty stores: Leslie’s Pools. The Web is full of advice which is better than the stuff they give, and there is only one or two chemicals for which there is not a grocery or hardware store equivalent.
Leslie’s price: $700, Ebay: $500.
Stock price != profit.
That’s the misleading thing about stock prices- it just means that the market likes the idea that they’re rocking the boat in hopes of doing better. I’ll believe it when they announce earnings at or above their forecasted ones.
I’ve never been to a Hooters, but I was under the impression people liked the food (like Playboy for the articles I suppose)
I don’t think people go to strip clubs for a meal
This just in! Hooters just isn’t racy enough anymore. Make way for Twin Peaks, new restaurant chain with waitresses dressed even skimpier. This has been in the news, in several articles I’ve seen, just in the last day or two.
In other news, I’ve seen several recent articles saying that McDonald’s is waning, being unable to keep up with various new generations of fast-food joints like Chipotle and others.
I think Volvo has got out of cars, and into trucks. Semi-tractors, and heavy equipment.
There are a LOT of Volvo trucks on the road in the US. Long haulers.
Eastman Kodak is on life support.
Target is a different demographic than WalMart - inexpensive, but they’ve done better with higher end stuff.
How about Dell? Their selling point, buying a computer on-line, is no longer a distinction, and people seem to hate them. They have vanished as a choice for PC purchases in my company.
The irony of Eastman Kodak - it was their R&D, in 1972, which invented digital imaging.
No excuse for not patenting every imaginable variant - which is how Geo. Eastman got rich - patenting every thing about roll film - and then making damned sure everybody used roll film.
Here’s some stories I found:
Is Netflix About to be a Has-Been? Suddenly, Problems Seem Overwhelming
Netflix in Financial Trouble? Company’s Cash-Raising Spells Potential Problems
Why the Netflix Stock Drama May Not Have a Happy Ending
Why Netflix Will Never Be Great Again
Do Netflix’s Lost Movies Highlight a Bigger Problem?
Netflix Has a Bigger Problem Than You Think
Here’s where Netflix could see trouble
Netflix has an identity problem
Why Netflix’s Financials Are A House Of Cards
Now granted, these articles range from 2014 back to 2011. The company has obviously survived the early predictions by now. But this does represent four years of articles from various financial media. That’s serious smoke.
Shot themselves in the foot there. McD’s invested in Chipotle when it was just a few restaurants, and then divested 8 years later after it had gotten big.