Company Gap, brand owner Gap, Banana Republic и Old Navy, has announced the closure of about 200 clothing stores in North America, with plans to keep only 700 of the 889 in existence today. The retail network of mono-brand stores will thus be reduced by 21%.
The main reasons are the difficult economic situation and the focus on conquering international markets, such a step will help the company completely change its development strategy. Priority for Gap Inc. the markets of Central and South America are called, the conquest of the Chinese market will also continue actively.
One of the top apparel retailer's financials for the last quarter shows that the company's profits are down 19%, with stores that opened more than a year ago seeing a significant drop in sales. The final closure of stores will occur by the end of 2013.