J. C. Peny Store Case Study Statement

In the past, JCP had, on average, one price campaign every day. The stores were full of sale signs and retail rise was getting out of control. JCP partnered with numerous exclusive collaborations which was hoped to bring about an expansion for the firm. However, due to the economic slump, the oversaturation of the market, and an expected lack of quality in the goods from the consumer perspective, JCPenney’s success was degrading in contrast to its competitors. (Sloan, 2010).

HISTORY : In 1902, James Cash Penney, in partnership with two other associates, opened the Golden Rule Store in Kemmerer, Wyoming. At the time it was uncommon to charge the same price to each and every customer; however, Penney preached the slogan "one price charged to all," regardless of customers' social status. After buying out his partners (in 1907), Mr. Penney opened two more stores. At present, J.C. Penney has more then 1400 department stores in the United States, Puerto Rico and Mexico, making it one of the largest retailers in the world.

The industry we have chosen is the department store-retail industry. Within this industry, we have chosen the department stores of JCPenney and Macy’s. We find this industry, as well as these two companies, interesting from a strategic perspective. JCPenney has recently undergone a massive strategic restructuring in regards to its pricing, brand offerings, and store layout, pushing it away from the typical department store strategy of discounts and coupons. Its new strategy has become much closer to Wal-Mart’s strategy of every day low prices. Macy’s, on the other hand, has restructured with a push from the economic

This report presents data describing the differences amongst the two department stores, their fundamental visions, and comparative statistics. Macy’s or Dillard’s: Differences amongst these competitors There are several aspects you can analyze from each department store. Major pieces do set each one apart from the other. Brand names carried by Macy’s and Dillard’s from an average shoppers point of view can go completely unnoticed unless price is involved. For trend shoppers brand names can either make or break a retail store. It can easily determine if he or she will walk to Macy’s or Dillard’s because they already know the store does or does not carry that brand. This is consistent with each department throughout both stores and

The case about “The Club Wars” is a study about an establishment which is known by name Sam’s Club. This company was formed in 1976 which operates through an airport hangar converted into a price club in San Diego. By 2002 more than 1000 stores were opened and operated worldwide. These clubs offered their members the lowest possible price and the best merchandise purchasing experience. More companies were coming into the warehouse retail market in the late of 20th century, but two most dominating companies were Sam’s Club and Costco. The target of the companies was to offer the lowest possible prices of supply chain and best deals on the products to their members.

Historically, J. C. Penney’s strength had been communicating the relationship between quality and value, in a way that the customer could understand. J. C. Penney lost this connection when we

The intensity of rivalry and the threat of substitutes are strong components for J.C. Penney to consider as they continue to strive for increased revenue and market share. Their two primary competitors are Macy’s and Kohl’s, both of whom have fiercely competitive strategies to be strong retail operations. For instance, while Macy’s offers a multitude of promotional deals and is working hard to choose products based upon demographics and geographic segmentation, Kohl’s is attempting to reduce their inventory levels and improve their marketing strategies in order to become a stronger competitor in the department store segment of the retail industry. In order to compete with their competitors, J.C. Penney aims to focus on their previously successful promotions and home department segmentations by bringing in new reputable designers in order to attract a larger customer base. Due to the fact that the intensity of rivalry and threat of substitutes are both moderately strong in the retail department store industry, J.C. Penney ought to be diligent in their implementation of strategies in order to achieve success in the retail business.

As one of the major retailers in the United States, JCPenney has 1,104 department stores in 49 states and Puerto Rico as of February 2, 2013. The key success of its business is tremendously depending on the sales performance. However, the retail business is highly competitive, with low barriers to entry and low profit margin. Due to large sales plunge in 2012, the company is in financial trouble. The thorough analysis of JCPenney’s financial statements is vital to judge the future performance of its business.

JC Penney had to undergo and withstand several competitive issues to include changing of brand image, selling strategy and marketing strategy. JC Penney also had to account for Environmental Factors to include: a population that continued to age and also unemployment rates. JC Penney tried to influence customers by portraying an everlasting sale. No matter how hard JC Penney tried to market their products, if people didn’t

Of Porter's Five Competitive Forces, Johnson used the strategies threat of new entrants, threat of substitute products or services and rivalry among competitors. Like so many other companies, J.C. Penney was challenged with competition of the internet. The internet allows people to shop conveniently at all times, leaving traditional stores struggling to increase traffic. He had a vision of creating a more inviting space, a space different than Penney's competitors. More so, Johnson wanted to deviate from the department store model and offer something more along the lines of a boutique, thinking this too would peak customer interest (Mattioli, 2012).

JC Penney Co. Incorporated was founded in 1902 in Kemmerer, Wyoming by James Cash Penney and William Henry McManus. Today JC Penney offers a range of family apparel, jewelry, shoes, accessories, and home furnishing products through a chain of department stores and their company website. JC Penney, headquartered in Plano, TX, operates in the United States and Puerto Rico, with a total of 1,108 stores. JC Penney also offers its products through a catalog channel. Each channel serves the same type of customers and provides generally the same merchandise mix. JC Penney’s business is conducted through a single segment, but revenues are reported by product category. In addition to their product categories, the

In this paper I will discuss Macy’s Incorporated by analyzing their business level strategies to determine which I think is the most important to their long term success and if I think it is a good choice. I will analyze their corporate level strategies to determine which I think is the most important and whether or not I believe it is a good choice. I will analyze the competitive environment to determine the corporations’ most significant competitor and compare the two companies’ strategies at each level and evaluate which company I think is most likely to succeed in the long term. Once the

The recognized giants in today’s discount retail market are Wal-Mart, Sears, Roebuck and Company, and Target, and this paper compares Wal-Mart and Target. As the competition stiffens to capture market niches, these two organizations are heading for a showdown. This work demonstrates distinctive differences in company culture, promotion within the organization, lofty goal setting, and leadership styles between these two organizations. Although this paper shows a definite competitive advantage for the Wal-Mart organization, it will also demonstrate that Target

American Apparel, is an American multi-national clothing manufacturer, distributor and retailer since 1988based in Los Angeles, California. Dov Charney, a Canadian business man was a founder and former CEO of the company. He was involved in nearly every part of the business process from design and manufacturing to marketing. The Ernst & Young named Charney Entrepreneur of the Year in 2004. He was also termed "Man of the Year" by various fashion

Due to multiple external and internal factors, pricing strategy has become one of the main focuses for a ranging scale of businesses. For some small companies, cost leadership from low quality materials and less overheads allow low prices, resulting in competitiveness and survival of their business, in comparison to larger businesses who are able to charge more as they may have better quality products and large finances to allow above the line promotion. Furthermore, their approaches to the market place will differ; businesses who aim to charge less, will market their products at people who can demographically afford the products and understand their goods/service are price and income elastic. In a dissimilar fashion, organisations who look to charge higher, approach marketplaces with strong brands for their loyal customers with the belief the high prices are acceptable. Regarding Jeff Bezos’ quote, the statement ended with “we will be the second”. The Amazon billionaire acknowledges the importance of meeting pricing strategy for consumer needs and desires. Thus, with a clear focus of keeping prices low, Amazon select suitable operations such as being an e-tailer and marketing techniques to stay successful. This essay will critically analyse the comparisons between the different scales of businesses and to which the way they strategically operate, approach the market and the factors that enforce this.