Kmart : The Largest Nationwide Retailers

Kmart remains one of the largest retail stores in America that must be recognized with strong financial statement and balance sheet.

The article “Is Kmart closing? Sears says no” by Paul Monica is about the recent rumors of the Kmart stores closing down. With Sears stock down 35% many would’ve thought they’d cut the Kmart franchise. However, Eddie Lambert, the Sears CEO, states, “there are no plans and there have never been any plans to close the Kmart format” (Monica 1). This came as a surprise as most have noticed the disappearance of Sears and Kmart’s due to poor sales. Monica believes keeping the Kmart’s open may be a bad idea since we’re surrounded by Amazon and Walmart sales.

Rite Aid is one of the largest retail drugstore chains in the United States. They have the third highest number of stores and revenues as of 2015. Rite AID is headquartered in Camp Hill, Pennsylvania and was incorporated in 1968. Rite Aid stores sale prescription drugs and a wide variety of other merchandise, like make-up, snack foods, and birthday cards. In 2015 Rite AIDS prescription drug sales accounted for 68.8 percent of there total sales. There primary financial goal for both 2014 and 2015 is “to continue growing same store sales while expanding EBITDA margins, both of which are critical to achieving long-term financial success. By growing same store sales, we can take full advantage of our recent cost control improvements, including the refinancing transactions we completed in fiscal 2014” (Rite Aid 2014, pg.4). Rite Aid is commented to improving there financial standing so that there business can continue to grow.

Kroger, a grocery store that is slowing evolving into a Walmart or Target was started up by Barney Kroger. Barney used his life savings that consisted of $372 to open the very first Kroger store in downtown Cincinnati. Barney lived by his motto “Be particular. Never sell anything you would not want yourself “. Kroger has an established business ethics and they also have core values set in place. To help support their employees they also have an established labor union along with other strongly supported policies. Kroger was able to achieve its growth by merging with other successful companies.

Kmart is an example of retail industry That establishment, That have neglected to build up good role separated approach to contend in the enclosure business sector truly not at all like and Target (Leinwand and Mainardi

In today 's economy you have the issue of Internet commerce which is taking up many of these stores sales and putting them out of business just by Kmart (Foster, L.,2015). However, with Walmart and target being online and being able to shop online it attracts people from other cities therefore and his help them remain a great powerhouse in the retail Industry which interns keep their revenue fairly high. Due to Walmart’s rapidly high expansion it is said that they are a thought for 40 to 50% of the decline a smaller store such as Kmart (Foster, L., 2015). It is due to the fact that the way Kmart is set up it makes it difficult for them to be able to compete against their well-known competitors. Due to globalization there are many things in society that have been affected by it. Such as rising gas prices and in regards leads to the closing of one of the longest standing stores as well as the workforce in the community.

A job I had was being a cashier at Kmart. The theories that can be applied to this job are functionalism, conflict theory, and symbolic interaction.

Department stores Targets, Kohls, and Kmart provides the consumer with a large selection of merchandise for all ages and genders these stores use a multichannel strategy which describes how these corporations incorporate their business’s offline and online channels, this technique is also known as brick and mortar (Brown, DeHayes, Hoffer, Martin, & Perkins, 2012). The marketing scheme is to let the customer decide how they want to make a purchase a product through the store, the website which provides more information about the products, a call can be placed to a customer service representative or forms that are included in catalogs can be filled out and mailed into the store. Online shopping allows for comparison shopping to see which store

Walmart operated more stores than Kmart and had sales nearly ten times that of Kmart, as shown below.

The merger between Kmart and Sears clearly enhanced both of the companies’ mutual progressive goals. Sears invested many assets in the formation of Sears Grand stores, larger off store malls, and in the process bought many of the Kmart locations which were going out of business. Therefore the merger helped this process so that it would enable the further growth of Sears at a quicker pace as well as enhance the productivity and save the Kmart Corporation. This was clearly a strong decision made by the executives in combining forces so that the marketability of both companies would increase. Along with this, the shareholders could make a tremendous profit with this alliance. Prior to the merger, if the independent companies were not steadily increasing their revenue shareholders would lose money from their investments. The combination of both of the corporations would improve shareholder investment returns and thus facilitate the growth of the Sears Holding Corporation. The more investors receive higher returns, the greater investments into the company thus fostering its overall growth. The proprietary brands, selling the aforementioned products, under both companies would be able to reach the target demographic groups with greater ease. The real estate holdings of individual Kmart or individual Sears stores, now under the umbrella of the Sears Holding

Management is a key to success, and Kmart needs proper management to help create a positive image that attracts more customers. Kmart’s disorderly management and bankruptcy caused many customers to shop with other retailers. According to Carr, Wal-Mart and Kmart were the same size in 1990. Since then, Kmart has grown far slower than its rival or the industry. Once one of the largest discount retailers, Kmart filed for the biggest Chapter 11 bankruptcy for discount retailing in the United States (2002). Struggling to find the right type of management has been one of Kmart’s problems that ultimately helped lead the company to its downfall. Kmart is constantly changing CEO’s, and thus focuses. Kmart has had four

Sears Holding Corporation operates as a retailer in the United States. Sears was founded in 1899 and headquartered in Hoffman Estates, Illinois. It operates Kmart and Sears Domestic. The Kmart segment of Sears Holding Corporation is a retail store that offers and wide range of products. Some of Kmart’s product lines, which include consumer electronics, seasonal merchandise, toys, apparel and food and consumables. Some of Sears Domestic product

Kmart firm is a subsidiary of Sears Holdings Corporation. It is one of the top US discount sellers. It trades name-brand and private-label products for example, Joe boxer. The firm mostly targets low class and middle-class families. It does this by selling their products at a relatively low price. The company has about 1,150 outlets. 270 of these trades home appliances and about 840 outlets trade pharmacies. However, in the recent past, its holding company has closed some of its outlets due to poor performance.

Walmart is a Retail company founded in July 2 of 1962 by Sam Walton at the city Rogers, Arkansas in the USA. According to the Fortune Global 500 (Fortune, 2014), it’s the company with the biggest total revenue in the world and it is a family-owned business managed by the Walton family.

Lampert purchased Kmart stock while still in bankruptcy and painstakingly emerged from bankruptcy on May 6, 2003. Immediately after emerging from bankruptcy, Lampert begin the renaming and restructuring of the Kmart organization, closing some 300 stores and laying off some 30,000 employees. Lampert renamed the organization Kmart Holding Corporation and immediately begin trading on the NASDAQ stock exchange on June 10, 2003.