Clothing store Forever 21 plans to declare bankruptcy this Sunday, September 15 according to The Wall Street Journal.

The retailer apparently has been affected by the change of consumer habits which has brought low sales. Many people now prefer to shop online and the competition is very strong.

According to a statement released by Forever 21 the stores are currently operating normally, and they expect to continue to operate the vast majority of US stores and a small number of international stores. Whether this will affect the stores in Costa Rica located in Multiplaza Escazú, Multiplaza Curridabat, Lincoln Plaza and City Mall in the short or long term is still unknown.

Forever 21 was founded 1984 geared towards a young audience and selling affordable clothes in the United States and it expanded quickly and opened stores internationally some of them operate as franchises. The company arrived at Costa Rica in 2013. Currently it operates more than 700 stores.

This is just one of many retail companies that have been forced to reduce its operations, closing stores to reduce the expense of maintaining physical presence; while others have had no choice but closing all together. Other companies have been able to keep up by changing their strategies, strengthening online presence and taking advantage of other platforms.