Mixed Week: Gap – The CEO of the parent company of the Gap and Banana Republic announced it will close 200 “underperforming” stores, or roughly 10% of those brands’ locations. The bright side: two of the company’s other brands – Old Navy and Athleta – are driving bottom-line growth and Gap plans to open 270 of those outlets over the next three years. Ah, the illusion of choice.
Bad Week: Duncan – The venerable yo-yo manufacturer (remember the Imperial? The Butterfly?) is being sued by the maker of Rubik’s Cube in an effort to stop sales of a new toy that allegedly copies the Cube’s “features and overall appearance.” Toys R Us is also named in the suit. Duncan’s CEO could not be reached for comment. Apparently, he was out walking the dog.
Food Fight: Subway & Dunkin’ Donuts – The ubiquitous sandwich chain dropped its sponsorship of NASCAR driver Daniel Suarez and severed ties with Joe Gibbs Racing after it became aware that Suarez distributed Dunkin’ Donuts at a press event in July. It’s hard to think of a cruller punishment.
