Edgars could close 1,300 stores and cut 40,000 jobs

ForceFate

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I went to Edgars a few months back to buy some tshirts... until I saw the prices where R500 to R700 for a TSHIRT ??

Then I went to woolies and got 2 for R100 :p
How were the shirts after few washes? We haven't been very lucky with Woolies clothing.
 

InfidelGastro

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Poor management & mismanagement? Now where have I heard that all before? Who's running the show there, the ANC? It sure seems to fit the bill. If you want to see something that was successful in the past, go to hell in record time. Look no further.
 

ForceFate

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Poor management & mismanagement? Now where have I heard that all before? Who's running the show there, the ANC? It sure seems to fit the bill. If you want to see something that was successful in the past, go to hell in record time. Look no further.
?
 

Lew Skannen

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The problem with Edcon is simple. Their business model is outdated and did not adapt with the economical challenges South Africa is currently being faced with. A lack of experience, skills and management abilities saw the company not taking any appropriate steps to prevent this issue after their previous setback a few years ago.

The only big question to ask is are there any people left in South Africa that can be employed by the Edcon group to turn the company around?

Also, like I said in a previous post, with the economy in decline for a prolonged period of time, this is the road all private companies will go eventually.
 

ForceFate

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The problem with Edcon is simple. Their business model is outdated and did not adapt with the economical challenges South Africa is currently being faced with. A lack of experience, skills and management abilities saw the company not taking any appropriate steps to prevent this issue after their previous setback a few years ago.

The only big question to ask is are there any people left in South Africa that can be employed by the Edcon group to turn the company around?
The current CEO was brought in for that purpose. And no, no one would've turned them around. They've been in ICU with no one willing to invest.
 
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thechamp

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The problem with Edcon is simple. Their business model is outdated and did not adapt with the economical challenges South Africa is currently being faced with. A lack of experience, skills and management abilities saw the company not taking any appropriate steps to prevent this issue after their previous setback a few years ago.

The only big question to ask is are there any people left in South Africa that can be employed by the Edcon group to turn the company around?

Also, like I said in a previous post, with the economy in decline for a prolonged period of time, this is the road all private companies will go eventually.
It does not look like a big question to me, are the other clothing stores run by foreigners?
 

system32

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Edcon has been in ICU for some time while others are doing fairly well. It's poor management from the top in my opinion.
Which others are doing fairly well?
I'm not aware of any ZA company doing fairly well (perhaps banks).
Certainly does not reflect in the stock market.

See:
https://www.fin24.com/Economy/the-year-2018-cements-worst-five-year-period-for-the-jse-20181214
It has been an Annus Horribilis for JSE investors.
The JSE All Share Index shed 15.18% in the year to end November cementing the worst five-year period for the JSE in 50 years.
I do agree that Edcon is in ICU.
ZA economy is in recession and it looks like Edcon does not have enuf reserves to survive.
ZA people don't have disposable income to spend.

Just had a look at my Pension fund and it's ugly, can't even keep up with money market:
1544950240346.png
 

surface

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He obviously hasn't had a look at Edcon's board either.
Never miss an opportunity.....
:p You must post it man.. never leave that opportunity either..


Well, their AA implementation is one of the best in the sector. And now?
Is it because they just got some pretty faces at the top doing the reverse fronting (just like FNB?) Motsepe & Gassant need to be fired if you ask my opinion - what a disaster they have been...

http://www.edcon.co.za/about-board.php
 

Bryn

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It's pretty simple imo:

- Atrocious customer service
- Nonsensical store layouts
- Bulls**t prices for a hefty chunk of products
- Website inventory usually out of stock
- Excessively large stores
- The most pathetic sizing I've ever seen (massive quantities of tiny sizes, everything else hard to find or sold out)

Next up: Woolworths. Abandoning their quality suppliers was probably a bad idea. The quality of 90+% of their clothing and shoes is shocking. And they give Edgars' customer service a run for its money.
 

maumau

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Death knell for my sisters was when Edgars began charging a monthly fee for them to have an account. Got charged even if they had a zero balance so both sisters closes their accounts.

Surly, lazy staff. The first time I was ever greeted in store was after the abovementioned bail out took place.
 

Lew Skannen

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The current CEO was brought in for that purpose. And no, no one would've turned them around. They've been in ICU with no one willing to invest.
Well, in that case, Edcon should fold and go down. It's an expensive company in a market that cannot afford them. They are placing a further burden on the economy and is not needed.
 

ForceFate

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Well, in that case, Edcon should fold and go down. It's an expensive company in a market that cannot afford them. They are placing a further burden on the economy and is not needed.
Truworths is as expensive. Totalsport...

It's bad management. Why are you this defensive?
 

Lew Skannen

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Truworths is as expensive. Totalsport...

It's bad management. Why are you this defensive?
I am not being defensive at all.

Truworths are not faring well themselves under the current economical climate. Have not fared well the past 5 years at all. This year, on the JSE they took a tremendous knock. They are heading the same route if they do not adapt to a changing economy.
 
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