Charles P. Lazarus, who founded Toys “R” Us, the toy store chain that for decades captured the hearts of American consumers but that eventually faded and succumbed to bankruptcy, died on Thursday. He was 94.

His family said Mr. Lazarus, who lived in Manhattan, died of respiratory failure at Mount Sinai Hospital in New York.

Mr. Lazarus’s death comes one week after Toys “R” Us announced that it would start liquidating its stores in the United States. Loaded down by debt and unable to attract new investment, the chain could no longer compete with more nimble toy sellers like Amazon and Walmart, and last September it filed for bankruptcy.

In the months since, company executives were unable to convince lenders that they had a viable plan to turn around the flagging business, and a dismal holiday sales season signaled that Toys “R’’ Us was nearing the end. The closings announced last week could result in more than 30,000 employees’ losing their jobs.