GameStop is Permanently Closing 300 Stores
1 min read
We have been watching the slow death of GameStop for a long time now. The current digital landscape of game-purchasing and many other factors have led the company to try and get back to being as successful as it once was. They restructured their business model, and even hired former President of Nintendo America, Reggie Fils-Aime, in an effort to get back to the way it was, but it doesn’t seem like anything is working.
Discussed in an earnings meeting, the company announced its plans to “meet or exceed” the number of store closures that occurred last year, which was 321, no small number. This is big news for those currently employed with the company, and are figuring their financial situation out in the wake of the coronavirus pandemic.
According to the company, the pandemic has actually caused a 2% increase in sales which is interesting when other retailers are predicting declines. They also said they made a profit in quarter 4 of last year, though they experienced a huge 28% decrease in sales.
It looked like GameStop was on its way out before the pandemic even happened, and we would be shocked if it was able to make the situation a good one. With the company coming under fire for staying open during the pandemic, it doesn’t look like GameStop will be able to make it through this.
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