Another major issue with going "up-market" for JCP was their retail space situation. Many of their stores were in areas that didn't have a significant market sh

Another major issue with going "up-market" for JCP was their retail space situation. Many of their stores were in areas that didn't have a significant market share of higher-income families. If they did have higher income families, the market was already saturated with other higher-end retail stores. Many of their stores also suffered from high rent even in failing malls, exacerbating their losses as suburban malls failed. If JCP didn't have their retail lease obligations, they may have succeeded in pivoting to higher market consumers and transitioning to smaller stores and tighter, more informed staff. However, they have decade+ long leases on anchor stores in malls with massive financial penalties for early withdrawal, so they are stuck with massive amounts of retail floor. It's one thing to change your business strategy wit 4,000 square foot retail spaces; it's entirely different if you're locked into 40,000 square feet in hundreds of malls!