Tjx Competitor Analysis Essay
Competitor Analysis
Currently, TJX Competes with a wide spectrum of the competitor from a local pop and mom shops to multibillion-dollar companies such as Walmart and Target. On TJX 2016 annual report, they stated that the retail apparel and home fashion industry is very competitive, and they compete with local, regional, national and international departments, and retailers that sell apparel or home fashions merchandise. With that said we have identified four important competitor that competes directly with TJX nationally and internationally. Which they are Ross Stores, Target, Kohl’s, and JCPenney.
Competitive Profile Matrix
Based on our analysis of TJX and its top competitors through the Competitive Matrix, TJX accumulated a score of 3.1 which is the second-best among its competitors. The main factors that determined TJX competitiveness among its competitors are market share, price competitiveness, and vendor management. TJX has been able to outperform its competitors for the last 10 years, the graph below shows TJX stock growth compared to its competitors. Furthermore, the graph shows that TJX has been financially stable for the past 10 years and been showing consistent financial growth which rewards its shareholders and increases its return on investment.
Competitive Advantage …show more content…
Additionally TJX buys merchandise on an opportunistic basis, mostly buying inventory that is highly discounted due to manufacturer overruns and closeouts. Which allows them to buy these goods much cheaper than the tag price, and furthermore transfer these cost savings to its customer by charging them 20 to 40% cheaper than other departments store. This strategy allows TJX to attract more customers, and make potential customers choose TJX retail stores instead of regular outlets or department
Currently, TJX Competes with a wide spectrum of the competitor from a local pop and mom shops to multibillion-dollar companies such as Walmart and Target. On TJX 2016 annual report, they stated that the retail apparel and home fashion industry is very competitive, and they compete with local, regional, national and international departments, and retailers that sell apparel or home fashions merchandise. With that said we have identified four important competitor that competes directly with TJX nationally and internationally. Which they are Ross Stores, Target, Kohl’s, and JCPenney.
Competitive Profile Matrix
Based on our analysis of TJX and its top competitors through the Competitive Matrix, TJX accumulated a score of 3.1 which is the second-best among its competitors. The main factors that determined TJX competitiveness among its competitors are market share, price competitiveness, and vendor management. TJX has been able to outperform its competitors for the last 10 years, the graph below shows TJX stock growth compared to its competitors. Furthermore, the graph shows that TJX has been financially stable for the past 10 years and been showing consistent financial growth which rewards its shareholders and increases its return on investment.
Competitive Advantage …show more content…
Additionally TJX buys merchandise on an opportunistic basis, mostly buying inventory that is highly discounted due to manufacturer overruns and closeouts. Which allows them to buy these goods much cheaper than the tag price, and furthermore transfer these cost savings to its customer by charging them 20 to 40% cheaper than other departments store. This strategy allows TJX to attract more customers, and make potential customers choose TJX retail stores instead of regular outlets or department