The second-largest economy in the world, Japan, has not been kind to Wal-Mart’s subsidiary Seiyu, which has announced it will close 20 stores and cut 350 jobs after six continuous years of losses, according to Reuters.
Seiyu, which became part of the Wal-Mart empire earlier this year, had an attempt to expand its share of the Japanese market rebuffed by fierce competition from rivals Aeon Co and Seven & I Holdings.
The company lost US$197m last year as Japanese retail sales continued to slow down. Seiyu’s store closures mirror other Japanese retailers’ cutbacks.
Seiyu says it will offer an early retirement scheme to employees, which it hopes will be accepted by about 6 per cent of its workforce, or 350 people.
