Sears Mexico: History, Slim’s Strategy & Current Status [2025]

The Story of Sears in Mexico: A Tale of Two Fortunes

Founded in the United States in 1886 as a mail-order watch business, Sears quickly evolved into one of the most influential department store chains of its era. Its innovative sales model fueled rapid expansion and laid the groundwork for international ventures. Today, the story of Sears presents a stark contrast between its struggles in the U.S. and its continued success in Mexico.

Sears established a foothold in Mexico on February 27, 1947, opening its first store on Avenida Insurgentes in Mexico City, as detailed on its website. The brand quickly positioned itself as a modern option for Mexican consumers, offering a wide variety of products and a customer service policy – “complete satisfaction or your money back” – that became a hallmark of the company.

Over the decades, Sears expanded its presence across Mexico, becoming a recognized department store particularly popular for apparel, footwear, appliances, and home goods. This growth coincided with a period of increasing consumerism and economic development within the country.

A pivotal moment arrived on April 28, 1997, when Grupo Carso, the business empire of Carlos Slim, acquired 85% of Sears Mexico. This acquisition marked the beginning of a new chapter focused on strengthening the business and adapting it to the Mexican market. The move proved prescient as the parent company faced increasing challenges in the U.S.

While the Sears brand experienced a deep crisis in its home country, Sears Mexico not only survived but thrived, expanding and evolving into a fully Mexican company integrated into the Slim family’s business portfolio.

Sears on the Brink in the United States

Sears is currently navigating one of the most challenging periods in its history in the United States. While the chain emerged from bankruptcy proceedings initiated in 2018, the damage was significant, and its market presence is now a fraction of what it once was. The contrasting fortunes highlight the impact of differing market conditions and strategic decisions.

According to reports from CNN, the contraction has been dramatic. Just 20 years ago, Sears operated around 2,000 stores across the U.S. Following its 2019 reorganization, that number dwindled to just over 200 locations.

Currently, the brand maintains only five open stores, a figure that underscores its accelerating loss of relevance and brings its complete disappearance from its country of origin ever closer.

The Grupo Carso and Carlos Slim Strategy

Over the years, Grupo Carso and Carlos Slim have consistently pursued a clear strategy: transforming underperforming assets into functional and sustainable businesses. Rather than abandoning troubled projects, the group integrates them into its structure, reorganizes them, and optimizes their operations. This approach has been key to their success.

This logic is reflected in numerous real estate developments built on land previously used for industrial purposes or that was underutilized. Projects like Plaza Carso, Nuevo Veracruz, El Paradero de Ciudad Azteca, and the redevelopment of the Toreo area demonstrate how these spaces were converted into integrated projects with commerce, housing, and services, also driving the renewal of their surrounding areas.

A similar approach was applied to the retail business. In 1997, Grupo Carso acquired Sears Mexico, which at the time operated around 40 stores consistently reporting losses. Following the implementation of efficiency measures, the company began generating profits within less than a year.

A comparable process occurred in 2003, when the group purchased six unprofitable JC Penney stores, which were subsequently transformed into Sears units with balanced operations.

Collectively, these cases illustrate the Slim group’s method: identifying opportunities where others see problems and converting them into viable long-term assets.

Sears Mexico Store Count

According to Grupo Carso’s third-quarter 2025 report, Sears Mexico operates as part of Grupo Sanborns, the conglomerate’s retail arm. Nationally, the group’s store network is distributed as follows:

Sanborns: 140 stores

iShop: 118 stores

Sears: 96 stores

DAX: 47 stores

Mixup: 44 stores

Sanborns Café: 14 locations

These figures demonstrate that Sears Mexico remains one of Grupo Sanborns’ most important assets, in contrast to the brand’s situation in the United States, where its presence is minimal.

Sears Competitive Landscape

According to Grupo Carso’s latest report, Sears competes in the Mexican department store market with Liverpool, Fábricas de Francia, El Palacio de Hierro, and Suburbia. The company’s performance reflects the broader competitive dynamics within the Mexican retail sector.

The company primarily participates in the durable goods and household appliance segment, leveraging brands developed by Sears in the United States, such as Kenmore and Craftsman.

In Mexico, Sears operates under the traditional department store format, with the majority of its branches located in high-traffic shopping centers, defining its competitive strategy within the sector.

The report notes that the brand has historically targeted the middle and upper-middle income segments, framing its position against other chains in the same industry.

Sears Financial Performance

According to Expansión magazine’s 2025 ranking of the 500 most important companies in Mexico, Sears Mexico closed 2024 with net income of 339,625 million pesos, a decrease of 0.8% compared to 2023.

In the ranking, the company currently occupies position 150, down from 141. Nevertheless, Sears remains a solid and relevant company within the Mexican commercial sector.

The case of Sears clearly exemplifies Grupo Carso’s business strategy: while a historic brand fades in its country of origin, it continues to thrive in Mexico thanks to a model of restructuring, operational efficiency, and knowledge of the local market.

More than an exception, Sears has become one of the most visible examples of how the Carlos Slim group has been able to transform external crises into functional and sustainable assets within its portfolio.