Sports Authority Bankruptcy Could Close 450 Stores

Are you a shopper
at Sports Authority? Well, you might not be
able to shop there soon. Sports Authority,
one of America’s largest sporting
goods chain, went bankrupt
this past March. The store planned
to close 140 stores, but announced
recently that they may be
closing all 450 stores due to
financial issues. Larry Perkins,
CEO of SierraConstellation,
a company that specializes
in retail re-organizations,
mentioned that if someone buys
Sports Authority with the goal of
keeping the chain operating under
the same name, it might be in
limited to parts of the US with
little competition. Those areas could
include the Pacific Northwest
or upper Midwest. Sports Authority is
facing competition from Dick’s Sporting
Goods and other online
retailers. Perkins mentioned,
“While Dick’s appears to be the winner
in this sector, it can’t cover every
market right now.” Store closings are
even popular amongst troubled retailers
not in bankruptcy, such as
Sears and Walmart. Other popular
retailers that closed and went
bankrupt were Circuit City in 2008,
and Borders in 2011. Sports Authority
is close to becoming
next on that list.

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