"Too Many Thieves, Can't Do Business"...Major US Supermarkets Closing Stores Even in Key Cities

US Major Retail Chain 'Target', Surge in Theft Crimes
Security Strengthened but... Expected Losses Over 670 Billion Won

Target, a major retail chain in the United States, is closing 9 stores in key cities due to theft issues.

Large American retail chain Target.
Photo by Yonhap News

According to CNN and other U.S. media on the 26th (local time), Target announced plans to close 9 stores in major cities across 4 states, stating that "it is difficult to continue safe operations due to organized theft crimes." Accordingly, stores located in New York, Seattle, Portland, and San Francisco will close on October 21.

Target has made efforts to prevent crime by rearranging product placements and using anti-theft devices to enhance security, but has failed to resolve the issue, which ultimately affected its profits. In May, Target revealed that it expects losses exceeding $500 million (approximately 674.3 billion KRW) this year due to increasing theft.

In a statement, Target said, "We know our stores play an important role in the community," but added, "However, we can only succeed when both working and shopping environments are safe for everyone." It also stated, "Employees affected at the closed stores will be offered positions at other Target locations."

Target is not the only retailer choosing to close stores due to theft incidents. Other U.S. retailers such as Walmart, Nordstrom, and Walgreens have also had to shut some stores because of theft crimes. The National Retail Federation (NRF) reported that losses from theft and fraud alone amounted to $112.1 billion (approximately 151.178 trillion KRW) last year.

Experts analyze that this phenomenon may have occurred as economic fears grew amid inflation and rising loan interest rates. They also suspect the existence of organized groups that steal large quantities of goods and resell them for profit on secondary markets such as eBay and Facebook Marketplace.

Target stated that it will continue to make large-scale investments to keep its remaining 150 stores safe. Furthermore, it asserted, "This problem cannot be solved by us alone," and emphasized that "the community, government, and the entire industry must work together to find solutions."