Toys R Us Japan Sees Record Inventory Loss
Right before Christmas, when toys get bought, packaged, hauled by Santa, unwrapped and then ignored, Toys R Us Japan is reporting its biggest lost EVER.
The reasons are twofold:
1. disposal of inventory – that junk nobody buys has to go somewhere
2. weak sales
Japan doesn't celebrate Christmas the way it is done in the west, and buying
useless toys is not part of the annual idiocy in the country.
Toys R Us Japan now expects to lose $21.7 million this year instead of make $6 million.
It is the second consecutive year of loss for Toys R Us Japan and the largest one year loss in its 19-year history in Japan.
I remember when Toys R Us came to Japan. My boys were 1 and 4 at the time, and I was quite excited. Not too many others shared my enthusiasm, especially the many many mom and pop toy and hobby stores.
19 years later, make that 20 or 21 if the trend continues, and the little guys, if they are still around, might be happy again.
What do you think?
