Saturday March 25, 2017

GameStop to Close 150 Stores

Due to the rising preference for digital sales, GameStop is getting hit hard and being forced to close more than a hundred of its stores. While it is sad to see retail staples flounder, it seems inevitable that some of these chains are going to disappear entirely. The video game retailer is trying to stay afloat with non-gaming businesses that include collectible stores.

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Shares of GameStop slid more than 12% in afternoon trading Friday after the video game retailer reported a drop in fourth-quarter sales and announced plans to close at least 150 of its 7,500 stores worldwide. GameStop faces increased competition from retailers such as Amazon, Best Buy and Walmart while more players purchase games digitally آ— whether on traditional gaming consoles or on their smartphones or tablets. The video game and consumer electronics retailer's woes are the latest example of a brick-and-mortar retailer impacted by consumers' rush to purchase products online.