Laox to Withdraw from Kyushu, Okinawa

Economy

Tokyo, July 29 (Jiji Press)--Japanese electronics retailer Laox Co. <8202> has announced plans to shut down 12 domestic outlets, or half of its stores in Japan, and withdraw from the Kyushu southwestern region and the southernmost prefecture of Okinawa.

The steps are part of the company’s efforts to improve profitability after the number of foreign tourists to Japan, its major customers, plunged due to the novel coronavirus pandemic.

Laox will close three stores in the northernmost prefecture of Hokkaido, six in Kyushu and one each in Tokyo, the Kinki western region and Okinawa. The closure dates will be announced after details are finalized.

On reasons for the closures, Laox said in a statement on Tuesday that travelers from China, the company’s main customers, cannot enter Japan amid the pandemic and no recovery is in sight for the number of visitors from the rest of the world.

In 2009, Laox came under the wing of a major Chinese electronics retailer due to a business slump.

[Copyright The Jiji Press, Ltd.]

Jiji Press