Two Kansai-based department store operators are closing some of their major stores in the region and will try instead to focus more of their business resources on their profitable flagship stores in downtown areas.
Industry analysts say department store operators may consolidate more stores nationwide after their sales dropped last year to around two-thirds of the peak in 1991.
Kintetsu Department Store Co. closed its store in Hirakata, Osaka Prefecture, on Wednesday. Sales at the store have halved in the past 10 years, according to store manager Masaru Haga.