For my course project I chose to compare Dollar Tree and Dollar General. Both of these companies are in the retail industry. These companies sell similar items. Both of these companies are very competitive in the industry they operate in. Let us begin by looking at the Dollar Tree.…
According to Dr. Parnell the Miles and Snow strategy typology “considers four strategic types: prospectors, defenders, analyzers and reactors” (2014, p.196). In applying the four strategic types on Dollar Tree’s method of business, Dollar Tree has commonalities of all four strategic types, but the company distinctly fits into the prospector and analyzer strategic types. Parnell states that prospectors “are typically focuses on corporate entrepreneurship, which is the creation of new business ventures within an existing firm” (2014, p. 196). In this aspect Dollar Tree has gained notoriety for being America’s ‘Dollar Store,’ in the same fashion that Band-Aid brand has become the name for all adhesive bandages. As a prospector Dollar Tree has…
Ron Johnson made some bad decisions that caused him to only last as the CEO of JCPenney for seventeen months (Kinicki & Williams, 2013). His bad decisions consisted of misreading what the shoppers wanted, no testing of ideas prior to execution, distancing himself from the essential consumers, misread the JCPenney brand (Tuttle, 2013).…
Dollar Tree offers flyers in the newspaper on a monthly basis, outside of that, there is minimal to no advertising. No advertisement has been implemented informing customers of online shopping availability. Many retailers use all forms of social media for advertising as well as television. All generations are on social media, many times they can be the first line of advertisement, especially if the company has a small advertising budget.All of the major discount retailers set themselves apart by partnering with a well-known brand. At Wal-Mart, you can find celebrity cookware and bedding, coupled with low prices. Target, you will find celebrity household brands and apparel. K-Mart you will find celebrity bedding such as Martha Stewart. They must set themselves apart even though they are a dollar store. Additionally, Dollar Tree should expand their product line and offer more convenience for their customers. They should incorporate a grocery line in stores close to residential areas. Specifically, poverty-stricken neighborhoods that may not have immediate or easy access to a market. Most important, courteous staff. It is imperative that any organization has helpful and courteous staff. Your staff can make or break your business. Reference:Parnell, J.…
Within business, performing environmental scans involving the comparison and measurement of external and internal business is extremely important as it helps in the strategy development process which has a direct influence on business success.…
DG serves a narrow market range and offers low prices. It strives to meet the needs of lower and lower-middle income consumers. The company can be classified as having a focused cost leadership strategy according to Porter's Generic Strategies…
The company’s advertising strategy has changed concurrent to consumers’ use of modern technologies to capture consumers’ attention and arouse their interest to finalize purchase. Traditional method included advertisements through local newspapers, magazines, transit ads, billboards, radio advertisements and…
Using a consequentialist perspective, I can understand to a certain degree why Sears implemented their new productivity incentive plans in all of their auto centers. This approach focuses on the results, or consequences, of the action or decision. Upper management’s primary goal was to increase profits as much as possible after years of declining sales and profits. In order to achieve this result, they decided to develop more of a commission based pay for everyone involved in the auto center in order to motivate employees to achieve higher sales. Using this new approach would likely result in positive results for all stakeholders involved other than the customers. Mechanics and service advisors would have the opportunity to make more money if they were able to make more sales, and with that the company would be able to achieve higher profits. The problem with this approach is that the customers were likely to end up worse off than before if the mechanics and service advisors decided to take advantage of them for their own good. People will ultimately do what is rewarded in the workplace in order to receive praise and the rewards that come with it regardless of how they got there. So mechanics started to lie about problems with the vehicles that came in and would perform unnecessary repairs for no reason other than to help meet their daily or weekly quotas. This was a consequence of management’s new incentive program they installed which said nothing of being ethical or doing what is right for the customer. They simply told their employees they wanted higher sales, and by saying nothing about how to achieve those sales they were basically inferring that anything goes.…
The first step to understanding a company is to examine its industry. There are four main areas to consider when analyzing an industry. These include:…
Dollar Tree was founded in 1953 by K. R. Perry, Macon Brock, Doug Perry, and Ray Compton in Virginia (Dollar Tree, n.d.). Dollar Tree seems to use strategic perspective that focuses on providing products to the mass market while competing by offering lower prices relative to those of its competitors (Parnell, 2014). Dollar Tree is a multi-mix product and single price point national chain store. Dollar Tree was built on offering a multi-mix product selection that includes local, regional, and national brands (Dollar Tree, n.d.). Keeping in line with Porter’s strategy typology low-cost strategy, Dollar Tree takes out all the frills and gain market shares by appealing to bargain hunters who shop discounts stores. Dollar Tree has experienced market…
Clint, you had a really good post this week. You had good points and research to support them; however, there were some things that I think were missed. For one thing, I actually disagree with you on the point of both companies marketing to women who are on budgets. Target does, in my opinion, appeal more to women who are on a budget, but JCPenny's products are more expensive and "High Class/Formal". Also, JCPenny is specifically a clothing store, but Target has a multitude of products other than clothes. Now back to the positive, you are right about the way Target and JCPenny advertise their products. Target focuses on marketing out to their buyers trying to convince them to buy in bulk or at least in large quantities. JCPenny markets their…
In this paper you will read about how Costco uses effective leaders within its company to empower their employees and create a working environment that is enjoyable. This paper will aim to answer three questions: 1.) How does the flexible leadership theory apply to Costco’s operations? 2.) What is the CEO’s role in all of this? 3.) Can this work in your organization? If not, why?…
* Focus on continual growth and improvement while providing a reasonable return to our investors.…
A. Wal-Mart realized through third party studies and internal research that the Chinese customer were significantly more cost-sensitive than those in other countries and that there existed a strong, established culture of frequently shopping around to find the absolute lowest prices. Through these studies, Wal-Mart also realized that customer satisfaction level greatly influenced customer loyalty in China. The greatest determinant of this satisfaction was made up of perceived value. The perceived value is composed of three sub factors: (1) Product price, (2) Relative price and (3) Promotion. The other factors for customer satisfaction in descending order of its importance are Image, Merchandize, Shopping environment, Service, Check-out process and Store policy. Wal-Mart thrived for offering quality merchandise at the lowest price and with best customer service possible. Wal-Mart also had a reputed image as a foreign supermarket chain in China. Due to all these favorable factors customers patronized Wal-Mart China stores.…
With the emergence of new Wal-Mart locations opening, many concerns have been brought to the attention of Wal-Mart executives. We have reviewed the many concerns of the town in which the new Wal-Mart is being proposed to being built. We also reviewed the concerns and benefits that the new Wal-Mart will have on small businesses and the local community. The concerns of the residents are something that needs to be taken seriously and we must address these concerns thoroughly. Also, we must address the concerns of the small businesses located in the area that the new Wal-Mart is being built. Once all the concerns have been addressed that the residents and small businesses have, we then provide a response to each group. We will show the many benefits that the new Wal-Mart will bring forth.…