California, August 25, 2025
News Summary
After filing for bankruptcy in 2023, Bed Bath & Beyond’s executive chairman, Marcus Lemonis, announced that the company will not reopen any of its locations in California. Citing California’s regulatory environment as a hindrance to business, the company has shifted its focus to e-commerce under the new name Beyond, Inc., following the acquisition by Overstock.com. Despite the closure of physical stores, the new entity aims to provide online shopping solutions for Californians, while future retail expansions will occur out of state.
California – Bed Bath & Beyond’s executive chairman, Marcus Lemonis, has announced that the company will not reopen any of its locations in California following its bankruptcy filing in 2023. The company, which previously operated over 80 stores in the state, closed all locations nationwide after struggling with mounting debt and unsuccessful turnaround strategies. Lemonis has criticized California’s business environment, labeling it as one of the most overregulated and expensive in the United States, claiming that these conditions hinder hiring, maintaining store operations, and adding value for customers.
After filing for bankruptcy earlier this year, Bed Bath & Beyond’s assets were acquired by Overstock.com, which has since rebranded its operations under the name Beyond, Inc. Notably, this new entity has launched an online shopping platform that provides Californians access to its products, despite the absence of physical stores in the state. This initiative underscores a shift in strategy towards e-commerce, which Lemonis points out is more viable due to the high costs and strict regulations associated with operating in California.
California Governor Gavin Newsom’s office responded to Lemonis’s remarks by emphasizing that they believed Bed Bath & Beyond had ceased operations entirely and expressed hopes for the company to regain relevance in the retail market. Lemonis’s decision to avoid reopening locations in California is presented as a calculated business choice rather than a politically motivated stance. Nevertheless, he faces criticism from state politicians while some local leaders advocate for creating a more favorable business climate.
High-profile companies have echoed similar sentiments regarding California’s business environment. Notable names like In-N-Out, Tesla, and Chevron have expressed dissatisfaction, with some relocating their headquarters to more business-friendly states such as Texas. Notably, data from the Bureau of Labor Statistics reveals that since 2015, there has been a net outflow of companies from California, as more businesses are leaving the state than entering it.
While Lemonis has asserted that the company will not pursue physical store openings in California, Bed Bath & Beyond is set to open its first new store in Nashville in August 2023, with ambitions to launch around 300 additional locations across the United States in the next two years. Despite criticisms surrounding the California regulatory landscape, some economists maintain that California continues to be a leading global tech hub, attributing significant advantages to its business environment. Furthermore, it is noted that while California imposes a corporate income tax, Texas’s use of a gross receipts tax complicates direct comparisons between the two environments.
In conclusion, Bed Bath & Beyond’s future in California seems uncertain, although its new parent company, Beyond, Inc., is adapting to the changing retail landscape with online solutions. The executive chairman’s perspective underscores a critical evaluation of California’s potential as a business-operating environment in the face of national economic challenges.
FAQ
- Why did Bed Bath & Beyond file for bankruptcy? The company filed for bankruptcy in 2023 due to mounting debt and unsuccessful turnaround strategies.
- Will Bed Bath & Beyond reopen any stores in California? No, the executive chairman, Marcus Lemonis, has stated that the company will not reopen stores in California due to the state’s unfavorable business environment.
- What is Beyond, Inc.? Beyond, Inc. is the new name for Bed Bath & Beyond post-acquisition by Overstock.com, focusing on online shopping options.
- How many stores did Bed Bath & Beyond operate in California before the bankruptcy? The company previously operated over 80 stores in California.
- What criticisms does California face regarding its business environment? Many companies, including Bed Bath & Beyond, have criticized California for being overregulated, expensive, and challenging for operations.
Key Features
| Feature | Description |
|---|---|
| Bankruptcy Filing | Bed Bath & Beyond filed for bankruptcy in 2023 due to debt issues. |
| Store Closure | All stores nationwide were closed after the bankruptcy. |
| California Locations | Executive chairman announced no future openings in California citing regulatory challenges. |
| New Ownership | Assets acquired by Overstock.com; rebranded as Beyond, Inc. |
| Online Shopping | Beyond, Inc. will provide online shopping to Californians without physical stores. |
| Future Plans | Plans to open 300 new stores across the U.S. within two years, starting in Nashville. |
Deeper Dive: News & Info About This Topic
- ABC7 News
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- KMPH News
- Los Angeles Times
- Wikipedia: Bed Bath & Beyond
- Google Search: Bed Bath & Beyond California
- Google Scholar: Bed Bath & Beyond California bankruptcy
- Encyclopedia Britannica: California
- Google News: Bed Bath & Beyond California
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