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Payless to Exit Destiny USA, Ahead of J.C. Penney Payless ShoeSource and J.C Penney signaled the retailing at Destiny USA.

A BANKRUPTCY CHAIN AND DECREASED DEPARTMENT STORE SCALE AT DESTINY

By Jiaqi Huang

Payless at Destiny USA is clearing shoes at a discount up to 70% after the chain filed bankruptcy.
© 2019 Jiaqi Huang

Elizabeth Michele who often shops furniture at Raymour and Flanigan is not surprised by Penney’s decision.

“I don’t see any reason for them to sell appliances or furniture since there are already stores that do that adequately.”

85-year old John Falcone says he has already seen Penney’s business slowdown. He says the store has much fewer clerks than before.

Professor of Bank Behavior Donald Dutkowsky says he thinks J.C. Penney could face bankruptcy. They may not close everything at once but it’s a long process.

“They laid off people, operate with fewer and fewer people, until the closing of the store is not a big employment problem perceived, but more like a big hole.”

When J.C. Penney is reducing its business scale, Payless Shoe chain at Destiny will leave the mall soon. The chain has announced plans to shut down all of its US stores.

Jackie Huang, N-C-C News.

By Jiaqi Huang SYRACUSE, N.Y. (NCC News)—J.C. Penney announced earlier this month to get rid of unsalable furniture and major appliances as of February 28th, citing a turning focus on clothes.  While Penney is struggling to survive, Payless ShoeSource filed bankruptcy, quitting Destiny USA mall with the entire store on sale.

 

“Destiny USA is being hit with two closures, but it’s their task to find other thriving business in this changing economy,” Donald Dutkowsky, a professor of macroeconomics at the Maxwell School of Citizenship and Public Affairs said.

Dutkowsky said competitive furniture stores like Raymour and Flanigan beat J.C. Penney for a wider selection and reasonable prices. He said Payless collapsed owing to a same embarrassing market position like Penney.

“Payless is not a high-quality, specialty store for shoes,” Dutkowsky said, “so they can get underpriced by Amazon and Walmart with better and cheaper selections online.”

Shoes seem to be a more frequent necessity for people than furniture and big appliances, but a mother and her 13-year-old son George Mikhael walked out of Payless with empty hands.

“The store is shutting down because of the rise of online shopping platforms,” Mikhael said. “I don’t think Payless is the only one, it’s part of the trend now.”

J.C. Penney’s final sales on furniture attracted older people like John Falcone, an 85-year-old longtime J.C. Penney consumer. He said the department store did a better job in the past decades.

“Thirty years ago, I bought furniture from a J.C. Penney home store in Rochester,” Falcone said. “Those days, we looked forward to getting a catalog from J.C. Penney.”

Falcone said the biggest change over the years at J.C. Penney is decreasing employees.

“Going to the store is hard to find a clerk,” Falcone said. “People go and help themselves and come to the cash register and cash out.”

 

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