Nordstrom Canada To Begin Liquidation Tuesday After Court Ruling

The upscale department store chain, which entered the Canadian market in 2014, will be closing all 13 of its stores across the country, including six Nordstrom locations and seven Nordstrom Rack shops. This decision will result in approximately 2,500 job losses.

The company’s exit from the Canadian market is attributed to weak sales and earnings, as well as the impact of the COVID-19 pandemic on shopping habits, with many transactions shifting to e-commerce. Nordstrom’s Canadian affiliate generated only 3% of the group’s net sales and lost money in every year of operation in Canada.

High operating costs and the aftermath of the coronavirus pandemic contributed to the company’s decision to shutter its Canadian stores. The local e-commerce website ceased operations on March 3, 2023, and the physical stores are expected to close by late June 2023.

Retail analysts believe that Nordstrom‘s failure in Canada could signal bigger problems in the Canadian retail market, with some suggesting that the days of big department stores may be numbered…