18 Main US Corporations Predicted To Fold within the Subsequent Ten Years

If you’re a millennial like me, you probably remember when companies like Blockbuster, Circuit City, and Sam Goody ruled the strip malls. When I was a pre-teen, a good Friday night was spent roaming the aisles of Blockbuster to find a fun movie to watch at home with some popcorn and candy. New technology like online shopping and streaming services have put many of these once popular brands out of business.

Innovation continues to push commerce forward while inflation and competition lead more brands to file for bankruptcy, close stores, or completely go out of business. In this ever-evolving market, it’s a reality that some big companies in the U.S. may end up folding in the next ten years. These are just some that analysts think may not have the longevity needed to compete in the long run.

Groupon

I remember Groupon as the go-to deal-grabbing website with daily emails filled with discounted restaurant meals, spa treatments, or weekend getaways. Yet, despite its fame, Groupon has historically struggled to maintain consistent profitability, raising doubts about its future. Analysts worry about its ability to keep up with rivals, slow user growth, and shifting consumer habits. Still, maybe they’ll pivot to broader offerings beyond daily deals.

Rite Aid

Rite Aid’s financial woes outshine its rivals, facing almost $3 billion in losses over six years. The October 2023 Chapter 11 bankruptcy filing led to store closures, shaking up its reach and earnings. Yet, there’s a silver lining—the bankruptcy move aims to slash debt, giving Rite Aid a shot at financial flexibility.

Spirit Airlines

Spirit Airlines is one of the more notorious ultra-low-cost carriers, but not necessarily for a good reason! Their “no-frills” approach means tacked-on fees for services like seat selection, checked baggage, in-flight meals, and entertainment. Despite this penny-pinching approach, Spirit has been bleeding money even before the pandemic, with over $5 billion in debt. Their dreams of merging with Frontier or JetBlue for financial relief hit turbulence due to antitrust worries.

Sunpower Corporation (Spwra)

SunPower Corporation, the residential solar company in North America, faces a financial showdown, waving a red flag about possible insolvency if debt demands come knocking. This means their money matters are hanging by a thread, potentially cramping their style to grow and fight the solar battle. In a crowded solar arena filled with big shots and newcomers, the competition is fierce, prices are slashing, and SunPower might feel the squeeze on its profits.

Peloton

Peloton is known for its high-end, interactive stationary bikes and treadmills. I remember being particularly drawn to “David Beckham’s Homecoming Workouts,” a series promising holiday-ready fitness. Peloton’s sales skyrocketed during the pandemic lockdowns as people sought home exercise solutions. As gyms reopened and rivals emerged, their sales hit the brakes. Plus, Peloton gear doesn’t come cheap, which is a tough sell in today’s pricey market.

Twitter

The twists and turns for Twitter keep coming, especially with the new ownership shakeup. Remember that cheeky $44 billion bid that was no joke? Elon Musk ended up snagging Twitter for that exact amount. But the rollercoaster didn’t stop there. Musk tinkered with the verification system, sparking worries about fake accounts and false info. Twitter’s stock prices faced hurdles like sluggish user growth and fierce competition. Some high-profile investors and executives have indeed left Twitter in recent years.

WeWork

WeWork, the go-to for flex workspaces that was once worth $50 billion, hit a bump in 2023 with a Chapter 11 bankruptcy filing. Blaming a hefty debt and the slow return to offices, they faced the challenge of low occupancy rates. The hype with remote and hybrid work trends didn’t help the cause, shaking up the demand for old-school offices. However, WeWork’s not throwing in the towel yet—it’s restructuring and bouncing back in the ever-evolving work scene!

Chuck E. Cheese

This ultimate family fun spot, with the iconic Chuck E. Cheese mouse himself, has had a tough ride. As a kid, this was my all-time favorite birthday party spot, with plenty of greasy pizza, arcade games, and the ever-popular mechanical Chuck E. Cheese band.

Nowadays, parents say it’s lost its charm with broken machines, no more animatronics, and a serious staff shortage. Plus, the prizes are a letdown. The pandemic hit the company hard. Now, there’s lots of competition in the market. Some argue that the core childhood demographic for Chuck E. Cheese might be shrinking.

JCPenney

JCPenney, the seasoned department store launched in 1902, once ruled the retail scene. Although, the brand has hit some rough financial patches lately. With sales slipping and online and big-store rivals like Walmart in the mix, JCPenney faced a bumpy road.

In 2020, bankruptcy knocked on the door, bringing closures and a new owner. Luckily, the cavalry in the form of Simon Property Group and Brookfield Property Partners swooped in, grabbing JCPenney for $800 million. The big question is, can JCPenney stage a triumphant comeback this time?

Staples

Many speculate that Staples office supply stores may fail in the coming years as they compete with online giants like Amazon and Walmart. Back in 2014, the office supply company closed 225 stores and has steadily been closing more and more brick-and-mortar stores since then. Consumers are noticing how stores are operating with very few employees, signifying that the death toll may be around the corner.

Sears

Sears, the retail powerhouse that once had it all—appliances, clothes, tools—hit hard times. Since filing for bankruptcy in 2018 with a massive $134 million in debt, it went from about 700 stores to barely 25. Once a retail giant with thousands of Sears and Kmart stores, only 22 survived in 2022 after a major downsizing. Why the fall from grace? We can perhaps blame the shift to online shopping and specialty stores offering better deals and choices.

Macy’s

When it comes to Macy’s, my standout memory is watching the Macy’s Thanksgiving Day Parade every year for the holidays. It had everything—marching bands, celeb cameos, and killer performances by stars like Kelly Clarkson and Bad Bunny. Macy’s is closing more stores, making 170 shutdowns from 2016-2023, and CEO Jeff Gennette hints they’re wrapping up underperforming locations.

Analysts worry Macy’s might go the Sears route, shrinking due to slow in-store sales. With the high costs of running physical stores and a hefty $2.79 billion net debt in October 2023, Macy’s has some financial hurdles to clear. Can they find a winning retail strategy before it goes downhill?

Office Depot

As the digital era takes over, office supplies are moving online, leaving physical stores in the dust. In recent years, ODP’s retail sales, housing Office Depot, and OfficeMax took a hit due to store closures. With giants like Amazon and Walmart offering more at possibly lower prices, ODP is at a major crossroads. In the face of a decades-long decline in office supply retail, the big decision looms: sell off its consumer business, including stores and digital ops, or spin it into a brand new venture.

Carl’s Jr.

Carl’s Jr., known for its sizzling “charbroiled” burgers and crispy fries, has been a pit stop for many—including myself. Operating under CKE Restaurants Holdings, Inc., alongside Hardee’s, Carl’s Jr. has hit a bump in the road. With heavyweights like McDonald’s and Burger King in the ring, along with niche players catering to health-conscious or gourmet burger lovers, the competition’s fierce. Plus, Carl’s Jr.’s edgy marketing style, often geared toward a masculine vibe, might not click with today’s evolving tastes, especially among younger crowds.

Panera Bread

Panera Bread, the go-to spot for bakery treats, sandwiches, and salads, boasts over 2,100 locations across the US and Canada. I’ve been seeing Reddit threads about Panera—baker layoffs, menu cuts, and even talk of going public. With rivals like Chipotle, Starbucks, and Au Bon Pain in the ring, Panera is facing stiff competition. Add rising costs and changing tastes, like the hunger for convenience and digital ordering, and Panera’s got a lot on its plate.

Forever 21

Forever 21, once a hotspot for teens and twenty-somethings (I remember hitting it up in high school with my friends!), has hit a rough patch. Financial woes are stacking up, and some fear it might take a tumble in the coming years. After filing for bankruptcy in 2019 and getting a fresh start under new ownership in 2020, they’re still finding their footing.

With shoppers increasingly caring about ethics, sustainability, and quality—areas where Forever 21’s had hiccups—the competition’s heating up. Can they keep up in the fast-fashion frenzy against giants like H&M and Shein?

Stitch Fix

Stitch Fix, the personalized style genie that combines data and human touch to deliver curated outfits, is hitting a bit of a snag. Despite efforts to trim losses and tighten expenses, they still struggle to profit. Subscriber growth and revenue are lagging, and the future looks uncertain. In Q1 of December 2023, they saw a 17.8% drop in revenue and a 15% dip in active clients, marking seven quarters of sales decline.

Long John Silver’s

I never really jumped on the Long John Silver’s bandwagon; I’m not a big seafood fan, but the fast food chain has loyal customers who love deep-fried fish and fries. This seafood joint’s been swimming in troubled waters, with hundreds of closures and ownership shuffles. Lawsuits haven’t helped, and a seafood menu doesn’t make it easy to beat rivals on price. Now, LJS Partners is stuck steering the ship, with no sale plans in sight but with a revitalization plan.