One More Amazon Victim: Toys ‘R’ Us Bankruptcy Leads To 33K Unemployed

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Bankrupt Toys “R” Us is closing all of its stores in US chain, risking up to 33,000 jobs.

Keep on reading to know more.

No more “I’m a Toys ‘R’ Us kid”

Toys “R” Us – the iconic toy retailer – announced it has to shut or sell all of its 735 stores in the United States, according to court documents filed early Thursday.

About 30,000 jobs in the United States are at risk.

“This is a profoundly sad day for us as well as the millions of kids and families who we have served for the past 70 years,” Chief Executive Officer Dave Brandon said.

toys-r-us-closing-photo

Source: Tim Boyle/Getty Images

Reasons

The main reason for such situation is a growing popularity of online platforms and giants like Amazon, Target or Walmart that allow making purchases while sitting on your couch.

More and more children prefer gadgets or electronic toys instead of old-fashioned toys.

Also, the wind-down follows a bruising holiday season, when the company failed to stay competitive and sales came in well below projections.

READ: Real Hell for Retail Industry: This is How Amazon Dominated in 2017 (INFOGRAPHIC)

The end of an era

Nexter.org has already written about the retailers, who had to or were going to close because of the bankruptcy and the Toys “R” Us were in the list.

In September, Toys “R” Us filed for bankruptcy, hoping to shed debt and reinvest in its stores. But the turnaround didn’t work.

In January the company said it would close 182 stores across the United States. The fate of hundreds of stores worldwide is unclear.

The company said many of its stores in Canada, Europe and Asia “remain strong, viable businesses,” and may be saved or sold.

On Wednesday, Toys “R” Us said it was closing all of its stores in the UK.

Reactions

The news about the closer went viral for generations of consumers. People on social media reacted with nostalgia and sadness:

It’s the latest in a long line of once-beloved retailers and brands that have withered away after their moments in the sun.

Mall traffic has dropped, and retailers such as Payless, Rue21, and Toys R Us have struggled to compete with e-commerce rivals. This year was recording period for stores closing. Here’s a comparison of shutterings through the years.

amazone-infographic

See also:

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Summary
One More Amazon Victim: Toys 'R' Us Bankruptcy Leads To 33K Unemployed
Title
One More Amazon Victim: Toys 'R' Us Bankruptcy Leads To 33K Unemployed
Description
Bankrupt Toys "R" Us is closing all of its stores in US chain, risking up to 33,000 jobs.
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