Department stores have been facing intensifying harsh conditions caused by weak consumer spending, mounting bad debts stem- ming from the bubble economy, and marketing offensives by supermarkets and discount stores.
However, if the industry adopts the right strategy, stores can be rehabilitated.
Because department stores stock a range of reliable products, provide good service and make buying a pleasurable experience, they are in a position to gain the support of upper-class consumers and the aged, segments that demand high-quality service.