Retail Apocalypse: Forever 21 Bankruptcy
Forever 21 will, however, be closing up to 178 stores in the United States and ceasing operations in 40 countries, including Japan and Canada, as of most recent updates. The store will be joining multiple other retailers, including Charlotte Russe, Payless, Diesel USA, and Gymboree, in what has been referred to as the “retail apocalypse.”
But why? Why are retailers going out of business and filing for bankruptcy with such fervor in 2019?
The answer seems to be fairly consistent with researchers, pointing to the rise of online stores and the changing values of consumers. Retailers that rely on their brick-and-mortar stores are finding it difficult to thrive and keep up with the quick turnover of inventory that e-commerce sites are capable of. But the biggest turning point for fast-fashion retailers is that consumers are looking for more sustainable and ethical fashion options, turning to consigned goods and brands that offer ethically sourced materials and fair wages for their workers.
As thrift and consignment stores move to online platforms, such as thredUp, Poshmark, and your very own New 2 You LX, sustainable fashion options are becoming increasingly easier to find. Now, you can order sustainable goods with the same ease that fast-fashion retailers offer. Sustainable and ethical fashion is becoming just as affordable and convenient as fast-fashion and these bankruptcies are the proof.