The Toronto-based wannabe-better-than-Amazon, e-commerce company Hudson’s Bay Co. is in the red. The company is at its lowest since it went public 4 years ago. It has been a very difficult 3rd quarter so, the company is cutting expenses.
Hudson’s Bay Co. has been able to entice consumers especially in the women’s clothing and the luxury retail line. It has been unsuccessful in beating Amazon which was the CEO’s dream.
We see CEO Storch swallow his words after accepting defeat:
“Our fundamental hypothesis is that customers love great department stores and that includes great service. We do not want to, in the short-term pursuit of (expense) reduction, destroy our competitive advantage over the Internet, which is the service we provide in the stores. Some retailers are in great jeopardy of doing that so they can have a great quarterly conference call, but in the end they find that they gave away the crown jewel.”
The company’s shares have swandived by more than 6% at $13.55 on the 1st Tuesday of the month. We look forward to “progress” in 2017.