On April 4 local time, the US discount retailer 99 Cents Only announced that it would close all 371 of its chain stores and gradually cease business operations. Starting from April 5, the chain store started a clearance sale, and a buying frenzy emerged in the store.
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The 99 Cent Store was founded in 1982 and is known for its wide variety of products at affordable prices. However, the dollar store model has expanded rapidly over the past decade, with companies like Dollar General and Dollar Tree adding thousands of stores as consumers seek low-cost options.
However, the good times didn’t last long. As U.S. consumer spending shifted from high-margin goods to daily necessities, dollar stores have struggled. They also face stiff competition from Walmart, Pinduoduo and other rivals.
The acting CEO of 99 Cent Store issued a statement saying that the past few years have had a significant impact on the retail industry ecosystem german democratic republic leads . In addition to the COVID-19 pandemic, changes in consumer habits, rising prices and a poor economic environment have forced the company to take this step.