Home Depot Strategy Analysis

After analyzing the companies it seems that the only different between them is their color schemes. This includes marketing, human resources, and promotion. They both roughly have the same amount influence on suppliers so it would be hard to get an advantage that way. The best way Home Depot could distinguish itself from Lowes is to find a way to be the go to place for products they both have problems selling.

Home Depot’s retail strategy is one of reasons for its fast growth and continued leadership in the home improvement retailer industry. Its focus on speed, efficiency, and quality has made it one of the largest retailers in the world. Home Depot focuses on being a leader in “product authority.” Walmart and Costco are leaders

The Home Depot (Ticker: HD) is the world’s largest home-improvement retailer along with being an American Fortune 50 company. The company operates 2,259 retail building supply/home improvement “warehouse” type stores all across the United States, Canada and Mexico. The Home Depot has over 340,000 team members and is based in Atlanta, Georgia. The average store size is just over 100,000 square feet along with an additional 24,000 square feet set aside for seasonal gardening.

The Home Depot mission statement reads as follows: “The Home Depot is in the home improvement business and our goal is to provide the highest level of service, the broadest selection of products and the most competitive prices. We are a values-driven company and our eight values include the following: excellent customer service, taking care of our people, giving back, doing the “right” things, creating shareholder value, respect for all people, entrepreneurial spirit, and building strong relationships.”

Home Depot is the fastest growing retailer in the U.S. by some accounts. It has a fascinating history of innovation and entrepreneurship. The company had some difficulties in the mid-2000s that some attribute to cultural clashes. However, during this period the company was able to take full advantage of the housing boom. Yet when the bubble burst, Home Depot was forced to claim substantial losses. Despite these loses Home Depot has weathered the storm fairly well and is in prime position to take advantage of an economic recovery; if it ever comes.

The Home Depot knows that they must stay on top of technology and management must be able to organize this function in a way that surpasses the competition, pleases the customers, and keep the employees satisfied.

I believe that Home Depot has done an excellent job at reaching its goals in the past ten years. They have been able to expand their market by aggressively opening several store locations and using a clustering strategy. In doing this they have become a market leader and they have also been able to keep their SG&A expenses down by eliminating redundant expenses by spreading them out between stores close in proximity to each other. Home Depot is facing a few problems in order to continue reaching its stated goal(s) of becoming a global leader and expanding their existing market. There are a few established business that are in direct competition with Home Depot such as Lowe's, their number one competitor, and other companies such as Eagle Hardware & Garden of Seattle, who has been preparing for the intense competition

If we look at Home Depot's business segments and the statistics on new home sales, we can see where the challenge is. According to the Commerce Department, sales of new homes grew by 6.6% in the month, setting the annual pace for 2010 to 307,000 total units sold. Although, there was an increase in September, this annual pace is the worst on new home sales since 1963, even when mortgage rates are at an all time low. This signifies why there would be disappointment from Home Depot. It is quite obvious that they will continue to struggle, at least through the 4th quarter of this year due to an industry dependent upon a strong real estate market.

Home Depot is one of the most recognizable brands in Home Improvement. It also holds the largest market value in its industry. In 2017 Home Depot’s market value was over 206 billion dollars, its closest competitor, Lowe’s, held only 69 billion in market value (Net Advantage, 2017). During the

In the early 2000’s Lowe’s was rapidly intensifying its presence nationwide. The company carried a varied assortment of home improvement products and catered to the needs of retail as well as commercial business customers. Lowe’s expanded their reach by acquiring a 41-store chain, Eagle Hardware and Garden, and engaging in a strategic alliance with HGTV to obtain a more profound existence in their market (Rouse, 2005). By 2004, Lowe’s operated almost 1,000 stores with plans to continue expansion across the nation (Rouse, 2005). The company has a core competency in helping customers meet their home improvement needs at a low price. In order to use this core competency to gain a competitive advantage, the company has focused on key

The procurement policy has changed to include higher product lines like Thomasville furniture and RIDGID tools known high-end items in the furniture and professional grade tools industry. In addition, Home Depot has collaborated with Martha Stewart Living offering a select brand of home improvement merchandise in certain types like paint, outdoor living, and home organization merchandise from Martha Stewart Living (Home Depot, 2013). By modifying strategies from internal industries such as example design stations that drive merchandise, the emphasis should be retaining the consumer through purchasing Home Depot’s products and guaranteeing that products remain available. Home Depot has changed their strategy and policy of purchasing to reflect the changes in the domestic market. Given is an outcome to raise demand for a service, fluctuating the demand curve to the right. By adding features to the provision or constructing it quicker or more dependable, Home

An industry of competition, and tight margins The Home Depot, and Lowe 's Company are still at it. Both of these companies stand now as the industry standard for the home improvement sector. The numbers that will be presented in this study show proof that both companies have extremely strong financial positions, and a long future in the home improvement industry. Competition is good for the retailer, but even better for the customer.

The Home Depot is an option for retail in the home improvement industry (homedepot.com, n.d.). Home Depot’s strategic perspective appears to one that has been successful although the organization has remained in close competition with the competitor, Lowes. Both organizations are essential for home owners in that one can easily acquire building materials of all kinds. Upon entering a Home Depot store one is exposed to the vastness of product offerings. This vastness could cause one to argue that this type of store is not specialty but I offer that the Home Depot is a specialty in that you can only purchase home building or home improvement items. These items are specific to Home Depot. There is a no frill style of display and several

However, in 1999, Lowe’s recorded very high sales growth alongside its expansion in preparation for the new millennium. From 1999 to 2001, Lowe’s began to assert itself as a worthy competitor for Home Depot, embodied in its significantly better margins and turnover ratios despite the recessionary economic environment. This improvement in ratios is indicative of positive change in the management of the

Home Depot is the world's largest home improvement retailer operating in 45 states, Canada, Chili and Puerto Rico. Home Depot stores aim to serve both do-it-yourselfers and professional contractors with home improvement superstores carrying between 40,000 and 50,000 different products. Home Depot has also been listed as one of Fortune's most admired specialty retailers for the past six years. In order for companies to succeed in the competitive current marketplace they must consider not only the bottom line and their investors but also their impacts on the community, their employees, and their customers. Home Depot was founded on the idea that treating employees well is an important responsibility. Home Depot believes employees that are