Sears Canada Future in Jeopardy? What Went Wrong?
Sears Canada is a retail brand designed in 1952 through the merging of Simpson-sears limited, a Canadian department store chain and sears roebuck and co. of the United States. It opened its first store in Stratford in 1953. Sears Company is on the strings, warning investors recently that it can continue without seeking buyers or restructuring its business.
This may come as a shock to elderly Canadians who can still remember Sears Canada glory days. Sears turbulence has been years in the making occurring before the time of online shopping. The mail order and department store model was definitely well-to-do at a time until Walmart launched in Canada in 1994 causing a significant decrease in the north of the border. Sears and other departments stores like Houston bay .co decided to move from a middle to a higher class business venture. Sears Canada missed its chance to become an active online business because they were one of the only few companies to emerge as a top gun in Canada but they did not plan ahead and the window of opportunity came and went and so were some of the money that could have aided in the business transformation from that age to this age. If they were involved in e-commerce at the time that they were the only functional catalog business in Canada they will have emerge as winners in the online trade by now. The business has dropped by 70% in 10 plus years and this has scared investors off, made it hard for them to cut cost and in every couple of years a new CEO is placed in the company, this in turns sets the company in different directions because each CEO comes with his or her own way.
In the late 2013 Sears announced that it was selling off five of its major locations across Canada. A while later Sears Company exported money to the United States when it paid a big percentage to shareholders. The mistake made by Sears was them refusing to modernize at the right time. There is always a chance of them recovering in the sense that somebody could provide them with very big amount of money for them to regain their feet on ground but the chances are very slim at the moment. Again they have sold off their best stores and lost a lot of money, lost some of their most experienced workers and lost a lot of customers to other department stores so in order for them to recover and gain the trust they once had, they’ll need to start from scratch and this is a subject of immense argument.
