Monday, March 3, 2014

The End of American Malls?

This article seemed extremely relevant to what we were talking about at the start of class today.  In basically every food court in America you will find a Sbarro's-- they are a fast food "Italian" place.  They have never been a sit down restaurant-- you walk up, order, and move on.  I am pretty sure they only sell pizza by the slice, and salads that were likely made and packaged in another state.

Sbarro's is considering filing bankruptcy.  They are closing roughly 150 stores across America, and have had financial trouble in the past.  Their representatives are keeping pretty quiet.  As Hannah said today in class, stores may not want others to find out about their poor financial situation.  This would be the second time Sbarro's is filing for bankruptcy.  They filed in April 2011 stating that sales had slowed due to low turnout at malls.

Sbarro's seems to think that American malls are on the way out.  Even though their stores in the US are not getting the sales they once were, abroad the chain is doing fine.  The chain has opened over 80 stores just last year.  Why are "fast food mall chains" doing so well abroad? Is the American Mall dying?  What can businesses do to protect low sales?

http://www.bloomberg.com/news/2014-03-01/sbarro-said-to-prepare-bankruptcy-filing-as-mall-traffic-slows.html


Just for fun and for the How I Met Your Mother Fans:
http://imgur.com/vvhpekd

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