New & Used Electronics Retailer With Dozens of Michigan Locations Plans Widespread Closures

Store closures have been grabbing headlines in 2024 and another well-known chain with dozens of Michigan locations has announced plans to shutter locations.

GameStop - which closed roughly 300 locations last year - says third-quarter net sales of new and used electronics and video games have fallen 20 percent, meaning the fate of hundreds of locations could be in jeopardy.

GameStop in Michigan

While our sister station reports that GameStop didn't shutter a single Michigan location in 2022 or 2023, there have been seven store closures so far in 2024.

Get our free mobile app

Those Michigan locations are Cadillac, Canton, Dearborn, Hamtramck, Rochester Hills, Saginaw, and Sterling Heights. The list is compiled by an independent website that tracks publically announced GameStop closures.

The retailer still operates roughly 80 locations throughout Michigan.

The Future of GameStop

GameStop's operations have continued to decline, according to Wedbush Analysts, a financial services firm that represents the gaming retailer.

GameStop revealed in a filing with the Securities and Exchange Commission that it is reviewing its company portfolio in order to optimize its future. However, the company has not yet identified which stores in Michigan or throughout the US could be targeted for closure.

'While a specific set of stores has not been identified for closure, we anticipate that it [the review] may result in the closure of a larger number of stores than we have closed in the past few years,' the company said.

SEE ALSO:  Clothing Retailer With 14 Michigan Locations Plans More Closures

The GameStop Stock Craze

In 2021, the retailer's stock prices soared as individual investors from a Reddit community drove demand, creating a "short squeeze" that forced investors who had bet against GameStop stock to buy shares at inflated prices.

This dramatic surge led to massive losses for some hedge funds and sparked widespread media attention and discussion about market manipulation and the power of retail investors.