company's relationships with major chain stores that Phil had developed in the years after he took over…
Q2: Why are the TJ designer and sales/supply chain manager having trouble working with the TJ brand?…
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).…
As of 2005 research demonstrates that Wal-Mart was unstoppable and created strife for small local businesses and destroyed many small businesses. Wal-Mart is an unstoppable force and revenues of $247 billion with a growth of 15% a year. Wal-Mart is known to drive companies like Kmart to bankruptcy. Enter Costco that is the competitor that has shaken Wal-Mart’s reigning posture and caused a stir in businesses processes. Costco’s is approximately 30% the size of Wal-Mart and Costco competes against Sam’s approach to bulk sales. Sam’s has had quit the strife among battling for a top position. During the past 20 years Sam’s has had more than 5 CEO’s and has incorporated many strategies in order to try to gain control of top business command. All these ploys have been smothered by Costco’s array of visual space and prestigious options. Consider some figures. Sam's Club has 71% more U.S. stores than Costco (532 to 312), yet for the year ended Aug. 31, Costco had 5% more sales ($34.4 billion vs. an estimated $32.9 billion). The average Costco store generates nearly double the revenue of a Sam's Club ($112 million vs. $63 million), (Helyar,…
Given increasing competitiveness in their marketplace, JCPenney and Macy’s have both recently changed their strategies in order to increase penetration and profitability. As they currently stand, Macy’s strategy when quantified, is the most effective of the two. Both companies are part of the department store-retail industry and sell goods ranging from men, women, and children’s clothing, cosmetics, jewelry, all the way to home…
Recently, though, JC Penney has suffered. The recent great recession hit them rather hard and their sales and profits suffered. In order to regain market share and redefine the company the Board of Directors brought aboard Ron Johnson, head of Apple’s retail stores and former Target executive. Johnson was tasked with rebranding the 110 year old retailer and making it more competitive against their rivals such as Kohl’s, Macy’s, and Target. Johnson’s strategies were focused on an ambitious goal; to make JC Penney America’s favorite store.…
At some levels comparison between leading companies in the industry such as Sam’s club and Bj’s has been made. The major problem that we faced during that process was that Sam’s club considered as subsidiary of Wall mart, which made comparison less sensitive.…
AN ANALYSIS OF JC PENNY’S AND HOW IT RELATES TO COMPETITION WITHIN THE RETAILING INDUSTRY…
Porter’s five forces suggest that overall the discount-variety store is not a very attractive industry for newcomers, due to prohibitive forces like access to distribution channels, threat of substitutes and rivalry…
JC Penney is a mid range department store, founded in 1902 by James Cash Penny and William Henry McManus as “the Golden Rule”, becoming JC Penney in 1913. J.C. Penney is the second largest department store retailer (trailing Sears, Roebuck and Co.) and the largest catalog merchant in the United States, with licensing agreements for its products throughout the world. The company’s home base is located in Plano, TX .JC Penney operates 1,067 department stores in 49 the United States and Puerto Rico. J. C. Penney also operates catalog sales merchant offices nationwide in many small markets, comprising a portion of the largest general merchandise catalog business in the United States.…
References: 1. Mallinger, M. and G. Rossy. 2007. The Trader Joe’s Experience. Graziadio Business Report, 10(2). http://gbr.pepperdine.edu/072/tj.html…
As we discussed above, the important role of the JCPenny new marketing strategy is the new pricing model, which give the lower everyday price and month-long values to the consumers. So their new pricing position is focusing on better price-value relationship. Also, they hold promotion on the first and third Fridays of each month, which is the new name for clearance, or the lowest price you'll ever see for a particular item. Secondly, brands are actually the products to department stores like JCPenny. The improvement of brands is refer to improve their products, as Wahlstrom described, J.C. Penney has put its focus on fewer, “more relevant” brands, and less on private brands that are “less efficient,” such as Arizona and Worthington. These will provide consumer with quality instead of quantity. The final P is referring place, as we mention at the beginning, JCPenny is refreshing its new stores, which may give consumers more convenient…
In corporate America, there are four different market structures: pure competition, pure monopolistic, oligopoly, and monopoly. J.C. Penney falls under the pure competition market structure which is defined as many sellers supplying identical products (Douglas, 2012, Ch. 7). J.C. Penney humble beginnings started as a dry foods store and branched out over the years as a successful chain department store competing against other stores such as Sears, Macy 's, and Dillard.…
Upon entering the business world, Ross Johnson portrayed the role of a very efficient and respectable entrepreneur. As stated in the early chapters of Barbarians at the Gate, “He would recite all the steps he had taken to get the stock up: the profit gains, the pristine balance sheet, the stock buy backs, and Premier” (111). He as also noted to be “America’s Toughest Marketing Man” (114). Johnson at the very beginning of his career started out with a big bang. He was very efficient and persistent in gaining success. He drove his points of interest rigidly and made sure he delivered a successful result every time. However as he began to make his way up to the top in RJR Nabisco, his attitude and performance changed tremendously. Of course, when Johnson first started out, he tried to maintain a certain image as a very prominent employee. He would make sure everything was done perfectly, double checking everything. It is expected that once you get settled into working with a company, your performance would be more relax and…
Founded in 1902 by James Cash Penney, J. C. Penney Corporation, Inc. (JCP) is a chain of mid-range department stores based in Plano Texas. JCP currently has 1,060 department stores in 49 U.S. States in operation. JCP stores sell conventional merchandise as well as leased departments. Some examples of leased departments are Sephora, optical centers, portrait studios, and jewelry repair. Before 1966, most of its stores were located in downtown areas. As shopping malls became more popular in the latter half of the 20th century, J. C. Penney began relocating and developing stores in malls as other companies had done. In more recent years, the company began opening some standalone stores. The company has been an Internet retailer since 1998. It…