What I read
In " The tragedy of Toys 'R' Us ", the CEO says Amazon and Walmart cut prices or offer a lot of discount to customers as well as Amazon has an expertise in its shopping online and quick delivery. These are two major competitors that affect on Toys 'R' Us. Therefore, CEO Toys 'R' Us tells employees that he is going to shut down all of stores and the baby businesses both in the United States and other countries such as Poland, Spain, Australia and France. Moreover, he will attempt to sell its operations in Canada, European and Asia. Toys 'R' Us has approximately 16,000 stores around the world and roughly 60,000 employees. It will affect to its employees extremely around 30,000 American workers soon. It is considered to be one of the biggest in liquidation.
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My response
It is really sad to hear this news. Toys 'R' Us is one of the well known brand in toys, dolls, video games, building blocks and so forth. Nowadays, it is ver difficult to succeed in businesses even the big company chains because of technology, competitors and prices. Firstly, technology is particularly important. Most of people order products and stuff via online since it is easier and save a lot of time to get to a shopping mall. Most businesses have tried to sell their products through their websites so that customers can get into websites and buy products. For example, Amazon is one of biggest shopping online in the world since they have everything and it is so easy to get to the website, order products, pay money and get packages. They also have a returned policy so if we do not like products, we can return them and get refunds. Secondly, the major competitors in the United States such as Walmart and Target are so formidable. They always offer discount and launch campaigns almost whole year ; therefore, customers usually go buy stuff there. Another reason is Walmart and Target have more branches than Toys 'R' Us does Definitely, Amazon, Walmart and Target are wholesalers so that they have a power to negotiate with suppliers and get low prices. For all these factors, it affects Toys 'R' us as well as employees in the stores. Even though the CEO says that the company will offer 60 days salary and benefits, I think it is still not enough for them. Getting a job is not that easy and it takes a little while to find a new job. In conclusion, we should study the business of the company that we work with and try to keep update with the situation all the time. If we think that the company that we work for are not doing well or are going to bankrupt, we had better to look for a new job.
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My question
How do Amazon, Walmart and Target affect on retailer businesses in the next 10 years?
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Reference
- Paul, Z. ( 2018, March 14). Toys ‘R’ Us Tells Workers It Will Likely Close All U.S. Stores, The Wall street Journal. Retrieved from https://www.wsj.com/articles/toys-r-us-tells-workers-it-will-likely-close-all-u-s-stores-1521060803
I have read the news about Toys R Us 1 years ago but It just reported that Toys R Us could go bankrupt if they did not adapt their selling method. After that, this situation happened to them. At first, I thought they might not have tried to sell products online, just only at their store. Then, I have found that you said they had already try it but they couldn't defeat others such as Amazon, Walmart and Target. This is misfortunate news for them. I hope that they can find the way to solve this problem and try new ways to sell their products.
ReplyDeleteI would agree that it is sad for the employees of Toys 'R' US that they will lose their jobs, but I don't feel any sorrow for the company or its owners. They failed to adapt to changing market conditions, so the company died. In fact, it's hard not to blame them for the failure. But that's probably a bit unfair. I think that there is a lot of luck in business success of failure, and it isn't always easy to know in advance which decisions will turn out well and which badly. The Toys 'R' Us management made bad decisions for their future. Amazon and others have clearly made some very good decisions over the last few years. I hope that their growth enables them to employ some of the many out-of-work Toys 'R' Us people. As Ben says, losing your job is a very disruptive and unpleasant experience, but companies cannot normally guarantee that a job will continue to exist.
ReplyDeleteNow the world is changed by Tecnology and the internet, it makes e-commerch . Almost people shopping online instead of shop at store and It has a lot of discount price promotion, so many business reduce number of branches or close business same Toy R Us. I think it will affect to labor and it makes the unemployment issue around the world. And I agree with you of commutation 60 days isn't enough for living in the future.
ReplyDelete