Gap to shutter a third of US stores, expand globally

[OhioChick]

Source: MSNBC

Gap, ubiquitous in malls across America, will reduce the number of its U.S. stores to 700 by 2013, a 34 percent decline from 2007, the company announced Thursday.

Although it is shrinking its retail footprint in the U.S., the company announced it is expanding Gap and Banana Republic stores in China, Italy and South America. It is planning on tripling its Gap stores in greater China from roughly 15 at the end of this year to about 45 by the end of 2012, according to the press release.

Another one of its brands, Old Navy, will make its debut outside of the United States in 2014, with an outlet in Japan.

The company would not estimate the number of U.S. jobs that will be eliminated.

Read more: http://bottomline.msnbc.msn.com/_news/2011/10/13/8308229-gap-to-shutter-a-third-of-us-stores-expand-globally?GT1=43001

[Harmony Blue]

1. So they are moving to where the demand is

meanwhile hurting the demand in this country as more people are out of work. I wonder how the supply siders will spin this.

[Arctic Dave]

2. GOOD! ALL THERE SHIT IS MADE IN CHINA ANYWAYS!

Now an American store can make and sell clothing here.

[Art_from_Ark]

13. I see lots of ads for American Apparel on this site

They claim to be a sweatshop-free company that makes clothes in the USA.

[Arctic Dave]

14. I've heard that but i have never verified it.

"Made in the USA" doesn't always mean what we think. They can say that it is made here but it made in Haiti, Guam or some other country.

[wordpix]

16. no joke, Gap used to have good quality stuff but now it's crap so good riddance & good luck foisting

it on other countries.

[RKP5637]

3. Demand is decreasing in the US, so they will leech off other countries while

leaving the US raped, similar to what other companies are doing.

[Democat]

12. Opening a store in another country is "leeching off of it"?

Maybe someone in China or India wants to shop at The Gap just like Americans have been able to do for years? How is that wrong?

[RKP5637]

15. I was thinking in terms of what has been done here in the states will eventually be repeated in

China as cheaper sources of labor are identified/available. One of the problems with unregulated capitalism is in its worst form it leaches off societies rather than benefiting the general populace over time. That, is what we now see occurring here in the states. In China/India, that might have a different twist to it ... It will be perfectly fine in the beginning.

[Eatacig]

4. We are obsolete

They don't need us to manufacture and we are no longer the consumer. We are obsolete

[RKP5637]

7. Yep, we are. And so is our economic system. It is obsolete for the 21st century, and

we try to fix it will 19th and 20th century solutions. It's no wonder we are going downhill rapidly.

[Historic NY]

5. I miss the old Banana Republic.

[thesquanderer]

6. Don't worry, the U.S. is going to be the new Banana Republic (nt)

[RKP5637]

8. Race to the bottom and we're winning! n/t

[avaistheone1]

10. Something we can win!

:argh:

[Downwinder]

9. Economic forecast?

[plumbob]

11. I had no idea they were still in business.

Oh, well.