Risk that the existing retail business will move from maturity into decline
First written in FY2020. 4 of 5 entries say "Worsened", first in FY2021. Latest entry: FY2026.
No other company in this theme has enough history to compare yet.
- FY2026WorsenedAnnual report
「The department-store industry, which supports our Group's core department-store business, has been contracting over the long term, making it difficult to maintain or expand earnings by continuing with the traditional business model alone.」
Regarding the risk of the existing retail business transitioning from maturity to decline, we classified the long-term contraction of the department-store industry and the difficulty of continuing with the traditional model as important risks with very significant impact and a highly expanding outlook. - FY2025WorsenedAnnual report
「The department-store industry, which supports our Group's core department-store business, has been contracting over the long term, making it difficult to maintain or expand earnings by continuing with the traditional business model alone.」
Regarding the risk of the existing retail business transitioning from maturity to decline, we highlighted the long-term contraction of the department-store industry and the difficulty of continuing with the traditional model, and classified it as a highest-priority risk. - FY2022WorsenedAnnual report
「In particular, we recognize the need to strengthen our response to risks such as changes in consumer behavior caused by the COVID-19 pandemic and the decline of existing business models. Alongside reforming the business models of existing businesses, we need to further strengthen execution in order to achieve sustainable growth for the Group.」
We explicitly identified the risk of the existing retail business transitioning from maturity to decline as the highest-priority corporate risk to address under the medium-term management plan. - FY2021WorsenedAnnual report
「Our Group's dependence on large-format physical stores had been an issue for some time, but business performance remained solid, supported by inbound demand, delaying reform of our business model.」
Regarding the risk of the existing retail business transitioning from maturity to decline, we highlighted our dependence on large-format stores and delays in reform, and elevated the risk as a corporate risk requiring fundamental business model transformation. - FY2020First statedAnnual report
「We expect the transition of existing businesses from maturity to decline to progress further over the next several years, with a very significant impact on the performance of the entire Group, including the retail business.」
We identified existing business maturity, the competitive environment, and changes in consumer behavior as an independent key risk: the transition from maturity to decline.