Bankruptcies due to online shopping

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More and more bankruptcies as stores lose to online shopping

Holders of a total of 5,017 Norwegian companies had to tread the heavy road to the bankruptcy court after having been bankrupted last year. This was 10.6% more than in 2017.

It is especially companies in the retail trade that are struggling. In total, 1,042 companies went bankrupt last year, an increase of 22.7% over 2017, reported the analysis agency, Experian.

The increase in the number of bankruptcies was greatest in Buskerud and Aust-Agder in particular.

“We still get reports that there are tough times in the trading industry. E-commerce eats market share and contributes to putting prices under pressure,” said Sales Director, Per Ivar Kristiansen, of Experian Norge.

Bankruptcy figures for 2018 are the highest in 25 years, wrote
Dagens Næringsliv newspaper. Including forced settlement, a total of 6,288 companies went bust last year, according to figures from the analysis company, Bisnode.

“We have had some problems explaining the high bankruptcy figures in 2018. The overall picture in the Norwegian economy is quite positive. The average company in Norway is doing well and most people have at least as much money to rotate with,” head of the department, Per Einar Ruud, said.

© NTB Scanpix / #Norway Today
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