Why is JCPenney shutting down?
Department store rival JCPenney, which filed for bankruptcy in 2020, is similarly closing down eight spots this year, citing expiring leases and market conditions, as is Dillard’s, which has put a handful of stores on the chopping block in recent years. JCPenney recently announced seven store closures in February 2025 that officially shuttered in May 2025. The chain originally closed more than 200 U. S. COVID-19 pandemic. As for the 119 stores sold to Onyx Partners, all locations are currently operational.
Is JCPenney making a comeback?
Legacy Brands Can Make a Comeback — When They Remember Who They Serve WWD highlights how JCPenney is entering the 2025 holiday season with something rare in retail today: momentum. After years of decline, the company is rebuilding from the inside out — focusing on value, family, and emotional connection over flash. The most critical was a failed rebranding strategy that alienated JCPenney’s core customers by abandoning trusted pricing models and replacing clear sales with confusing “everyday low prices. This move lost customer trust and loyalty rapidly.In contrast, the failure to acknowledge the competitive landscape led JCPenney to miss critical market trends and further alienated its existing customers. With competitors enhancing their shopping experiences, JCPenney fell behind, making it difficult to regain market share.