TAIPEI (The China Post) – Forever 21, the American fast fashion retailer, will close another store before the end of March, raising concerns that it would fully withdraw from Taiwan’s market, local media said on March 1.
Forever 21 already closed its flagship store at Att 4 fun shopping mall complex in Xinyi District in the second half of last year, according to the company, which allegedly sent letters to its staff about the pullout from the local market.
The information came as no surprise as the company failed to reach its sales targets last year, leading to the aforementioned decision. The decision hasn’t been confirmed by the company headquarters though.
In related news, U.S. clothing retailer Gap Inc. announced that its subsidiary brand, Old Navy, is ready to be listed as a separate corporation in the near future, following a plan to close 230 Gap stores worldwide within the next 2 years. The plan again raised concerns that Taiwan stores could be included in the closure.
According to media reports, Gap Inc.’s operations division totaled 3,688 shops by the end of 2018. The retail corporation said it is ready to attract even greater amounts of consumers by launching a rebranding that could up its business cachet.
Gap Inc. also plans to close more than 230 stores worldwide over the next two years, launching a decrease in fast-fashioned brands’ investments in bricks and mortar.