why is sears on the way to bankruptcy?

[The motor guy]

So why is this company on the verge of bankruptcy?

 

[simple_gifts]

too much cost, not enough revenue. lol

Last I heard they have WAY too much real estate for the revenue they produce.

 

[bioburner]

I couldn't believe that Kame apart bought them after they had major problems. Two failures don't make a good company.

 

[Nick1994]

Originally Posted By: motor_oil_madman
So why is this company on the verge of bankruptcy?
Uh, have you walked into a sears in the last 20 years?

Me neither.

Ok I did once last year and got a 5 quart jug of Quaker State for $2. That's why I went there.

It was like walking into a different world it was so run down, out of date, and dirty.

 

[Pop_Rivit]

Originally Posted By: motor_oil_madman
So why is this company on the verge of bankruptcy?


Eddie Lampert.

 

[jhellwig]

Inability to cut spending and increase revenue. They have been heading this direction for years and haven't done anything to correct it. They should have sold out years ago.

 

[The motor guy]

The only thing I see is half their showroom floor has treadmills. Who buys treadmills anymore? lol

 

[dave1251]

Because incompetent leadership has led Sears/K-Mart into 4rd rate department stores. This steady decline has continued like clockwork for nearly a 1/4 of a century. The fact the company has declined this long and is still around states how well established the company once was.

 

[4WD]

We only have a small store - I still order things and pick up there - get a tool once in a while.

 

[The motor guy]

Last time I checked all their real estate was the reason they were still in business. As long as their assets exceed their liabilities, they will stay in business.

 

[crazyoildude]

20 years ago sears was the place to go but they have changed over the years and people are not stupid...Their quality went way down and prices went way up and although they are better now they still have a lot to change.

 

[Wolf359]

Yeah, I used to buy their appliances all the time and knew the sales guy on the floor. They had some pretty decent pricing at the time, but Home Depot and Lowes have much better pricing so I stopped buying from Sears several years ago. The big thing was probably free shipping, they stopped doing it so that Home Depot and Lowes was cheaper because they had it. I have a bunch of rentals so I'm always buying a couple refrigerators or stoves every year.

 

[Dorian]

We were in the market for a new dryer and tried the local Sears Outlet to search for a deal. Mom was very hesitant because of previous experiences. This experience was the EXACT same. We walked in, found a product we liked, and not a single person greeted us or asked us if we needed help during the ~20 minutes we were there. We walked out and ordered directly from Whirlpool for less money. We will never set foot in another Sears Outlet. Our local KMart just went under as well. It was a complete dump despite its location.

 

[Mr Nice]

Kmart today is similar to Big Lots.

 

[4WD]

Where are you finding "quality" ? Northern tool ?

 

[Panzerman]

Sears like Kmart has failed to update and compete. They both tried to survive on their name. They can't compete.

 

[spasm3]

They made a mistake not having a christmas catalog anymore. Even if you order online, kids used to wear those things out at christmas. The tool departments are staffed with people that know nothing about tools. And cheap poor quality power tools. No giant candy/ snack stand to make it easier to buy clothes with the kids. They became noncompetitive even with tire sales.

Those are just off the top of my head.

 

[JHZR2]

I never really shopped at sears besides tools. K Mart was much more prevalent around here, and even today, the Kmart stores are far nicer, better kept, and cleaner than the (more recently arrived) Wal Mart stores.

Sears around here tried in the early 2000s to open up "Sears Hardware" stores, which I really liked (more tools, lawn equipment and appliances), but they seem to have gone down too.

Bummer. Cant stand Wal Mart or Target.

 

[CharlieBauer]

Originally Posted By: Pop_Rivit
Originally Posted By: motor_oil_madman
So why is this company on the verge of bankruptcy?


Eddie Lampert.


Yep. The man at the top has to take responsibility.

Its pretty clear that his strategy is misguided and lacks focus.

 

[ls1mike]

Over priced. Under staffed.