Jacob, a Montreal-based clothing company has recently announced that it will no longer attempt to restructure and operate in the fashion industry. The remaining stock will be liquidated in the shortest amount of time possible.

The fashion chain was founded by Joey Basmaji 37 years ago and the business has not done exceptionally well. The attempt to restructure was the result of heartfelt customer response, but unfortunately, the increasingly difficult economic context has further damaged the company’s financial situation and forced it to close its doors.

On a global scale, the apparel industry is highly competitive. It is important that retailers establish solid online sales plan to out-compete traditional sales. However, I think Jacob, or many Canadian retailers in general are unaware of such strategy. The principal competitive factors in the fashion industry include design, brand image, consumer preference, price, quality, marketing and many more…With the addition of price transparency and technological advancement, it is certainly difficult for Jacob to face its rivals without a strong, unique contingency plan.

Jacob’s Advertising Campaign

source: http://www.cp24.com/news/clothing-company-boutique-jacob-to-close-all-stores-liquidating-merchandise-1.2064333