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From Popularizing Fast Fashion To Filing For Bankruptcy – The Journey Of Forever 21

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Forever 21, the California based fast fashion retailer, announced it filed for Chapter 11 bankruptcy.  The retailer cited the decline in mall shoppers, expensive leases and rapid expansion as the reason behind the Company’s diminishing numbers.

The Company also announced it would stop operations in Asia and Europe, however, will continue to operate in Mexico and Latin America.  Additionally, the Company will be closing up to 178 stores in the U.S.A. alone, in an attempt to restructure its business. Forever 21 secured an amount of $ 350 million in funds, of which $ 275 million was loaned by its existing lender, JP Morgan Chase.

Linda Chang, the Executive Vice President of the Company and the daughter of Forever 21 founders, said, “This was an important and necessary step to secure the future of our Company, which will enable us to reorganize our business and reposition Forever 21.

Forever 21 was founded in 1984 by a married couple, Do Won Chang and Jin Sook Chang, who immigrated from South Korea to the United States.  Do Won Chang and Jin Sook Chang worked as a dishwasher and a hairdresser respectively and managed to save $ 11,000 in three years. They used this amount to open the first Forever 21 shop.  The retail shop became quite popular as it offered fashionable clothing at a cheap rate and sales reached $ 700,000 in the first year alone.

As the popularity of the store rose, the founders slowly started expanding and opened a new Forever 21 store every six months.  The number of Forever 21 stores saw a sharp increase in the last decade. By 2018, the Company had more than 800 stores worldwide.

However, Forever 21 saw a sharp decline in its fortunes in recent years.  With consumers preferring to shop online, the stores had trouble attracting customers.  This, combined with the Company’s ever expanding number of stores worldwide, resulted in Forever 21 suffering from a huge revenue loss.  The loss suffered by the Company also resulted in its founders being dropped from Forbes’ billionaires list in 2019.

By filing for bankruptcy, Forever 21 joined a long list of retailers whose businesses have been affected by the changing retail industry, resulting in them declaring bankruptcy. 

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Entrepreneur Stories

Meta’s Upcoming AR Glasses: A Sneak Peek

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Meta is developing its first true AR glasses, set to launch in 2027. Before the public release, employees will test the device starting in 2024. The company is also releasing new generations of Ray-Ban smart glasses in 2023 and 2025 with enhanced features like a “viewfinder” display.

Specifications and Features

The AR glasses are expected to feature OLED displays and Qualcomm Snapdragon chipsets, offering sophisticated AR and AI capabilities. They will enable users to interact with virtual objects and project high-quality holograms of avatars onto the real world.

Design and Competition

Meta aims for a sleek design, potentially building on its Ray-Ban partnerships. The AR glasses market is competitive, with Apple and Google also investing heavily. Meta seeks to make its AR glasses a game-changer by offering a unique user experience.

Future Plans

In addition to AR glasses, Meta is expanding its VR offerings with new headsets like the Quest 3 and exploring other wearable technologies. The company is focused on reducing costs to make the AR glasses more consumer-friendly by launch.

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From Digital Wallet to Stock Market: MobiKwik Expands Its Horizons with New Brokerage Venture

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From Digital Wallet to Stock Market: MobiKwik Expands Its Horizons with New Brokerage Venture

MobiKwik is venturing into the stock broking sector with the launch of its subsidiary, MobiKwik Securities Broking Private Limited (MSBPL), following approval from the Ministry of Corporate Affairs on March 3, 2025. This move aims to diversify MobiKwik’s offerings beyond its core digital payments services and compete with established players like Zerodha and Groww.

MSBPL will provide a range of brokerage services, including trading in shares, securities, commodities, and derivatives. The subsidiary has an initial capital of Rs 1 lakh, with plans for an additional Rs 2 crore investment to support its operations.

As MobiKwik enters this competitive market, it brings a substantial user base of 172 million and a merchant network of 5 million. Despite recent financial challenges, including a reported loss of Rs 55.2 crore in Q3 FY25, the company aims to leverage its existing infrastructure and user engagement to capture a share of the growing investment technology market, projected to reach $74 billion by 2030.

This strategic expansion aligns with MobiKwik’s broader goals of enhancing its financial service

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Strategic Shift: Nazara Sells Entire Stake in Sports Unity Amid Financial Challenges

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Strategic Shift: Nazara Sells Entire Stake in Sports Unity Amid Financial Challenges

Nazara Technologies has sold its entire 71.54% stake in Sports Unity Private Limited, the company behind the multiplayer quiz game ‘Qunami’, for INR 7.15 lakh. This divestment, effective March 25, 2025, signifies a strategic shift for Nazara, which had previously acquired a controlling interest in Sports Unity in 2019 for INR 7.5 crore.

The decision to offload the stake comes as Sports Unity has faced financial difficulties, reporting no active business operations and a negative net worth of INR 0.45 crore at the end of FY24. This move aligns with Nazara’s broader strategy to streamline its operations and concentrate on more profitable ventures within the gaming sector.

This sale follows Nazara’s recent divestment of a 94.85% stake in another subsidiary, Open Play, to Moonshine Technologies for INR 104.33 crore. Despite reporting record quarterly revenue of INR 544.7 crore in Q3 FY25, Nazara experienced a 53.5% decline in net profit year-over-year.

Nazara continues to focus on enhancing its portfolio through strategic acquisitions and investments in high-potential gaming platforms while navigating the competitive landscape of the gaming industry.

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