Nordstrom Thesis Statement

Nordstrom (NYSE: JWN) was founded in 1901 by John W. Nordstrom and Carl F. Wallin in Seattle, Washington[1]. Over the next two decades, Wallin & Nordstrom grew and they opened a second location in Seattles University District[1]. As the company expanded into the largest independent shoe chain in the United States, Nordstrom began to explore additional product lines by expanding into clothing[1]. Today, Nordstrom has annual revenues exceeding 14 billion dollars per year and operates three hundred and fifty seven stores in forty states. Although Nordstrom has experienced incredible success since their inception, the organization has realized declining sales in their retail stores. In order to combat a change in

(External view) Kohl’s has an effective communication to employees and customers. Also, it has strong management team and market share leadership.

The company’s products are not selling in the market even after making several changes and reforms in the operation process i.e. experiencing difficulty in gaining traction in the market.

Kohl’s is a family-focused, value-oriented department store and website. Kohl’s mission: “To be the leading family-focused, value-oriented specialty department store offering quality exclusive and national brand merchandise to the customer in an environment that is convenient, friendly, and exciting.”1 In fact, the last fifteen years Kohl’s has remained true to their mission of operating as a family oriented department store featuring quality, name brand merchandise at an excellent value to its customers.2 By opening other stores throughout the U.S. during years 2000–2010 Kohl’s sales grew by leaps and bounds. Kohl’s strategy again, was simple and true to its core mission: affordable clothing, great customer service, easy to navigate stores

Since Nordstrom opened, the company has achieved critical acclaim for outstanding customer service and inventory selection. Sales have always been on the rise with the exception of a slight dip after the economic recession, but were quickly regained with the expansion of Nordstrom Rack stores. To exemplify this, the company report is divided into four

The store quickly gained a loyal following due to their amazing customer service and quality. In 1923 they opened their second store. In 1928 John Nordstrom retired and sold his shares of the company to his son’s Elmer and Everett. Wallin retired a year later and also sold his shares to the Nordstrom sons. In 1933 a third son Lloyd joined the team. The Nordstrom brothers purchased Best Apparel, a Seattle based clothing store in 1963. Three years later Nordstrom purchased a Portland fashion retail store and added a shoe store to create Nordstrom Best. Men’s clothing and children’s wear were added in 1966, and within two years two new stores opened in Washington. In 1968 the three brothers decided to retire and hand the company over to a third Nordstrom generation. In 1973 Nordstrom sales passed the $100 million mark, the company was recognized as the largest volume west coast fashion specialty store, and the name was formally changed to Nordstrom inc. In 1975 the company had expanded into Alaska, and the first Nordstrom Rack was opened in Seattle. By 1978 the company had moved into the competitive California market. In 1988 Nordstrom had made a move to the East coast with the opening of their new store in Virginia, and have continued opening Nordstrom and Nordstrom Rack stores ever since.

Nordstrom’s is classified as one of the biggest U.S. department stores. Along with Sears, Macy’s, and JC Penny’s, Nordstrom manages each department in their stores as an individual buying center. Every group functions separately from one another, and is administered by a buyer who is in charge of all varieties and styles of merchandise sold. Promotions that can be used in the stores are included, as well. “The company has also benefited from a new computerized inventory system that gives buyers and salespeople the necessary data to make smarter decisions about what is needed in the stores—and what isn’t.” (Lamb, Hair, McDaniel 569). This new and improved system allows the department store to market a greater amount of full priced items, which ultimately increase sales. The buyer is also able to easily determine what items to obtain and exhibit in the store by using this system.

important to their decision about where to make a purchase. Based on all these statistics, why do firms not use

In 1901, Nordtrom, Inc, was founded by John W. Nordstrom and Carl F. Wallin who are Swedish immigrants. As the very beginning, it was a very small shoe store in Seattle, washington, howeve it has grown into a fashion specialty chain with global reach (Nordstrom, 2015). As of July 2015, the company operates 209 stores throughout 38 states in the United State and Canada. According to the company reports, the total net income of Nordtrom has been increasing in the past few years. According to Loeb, the net sales and total assets of Nordstrom improved at 8.5 and 4.8%. in addition, the net sales of the company reached $13,110 million and the net earning was $720 million in 2014 (2014). In order to make shopping become more convenient, the company provides its’ customers high-end clothing, shoes, accessories for women, men and kids. As of July 2015, Nordstrom has total 118 full-line stores, 183 Nordstrom Racks stores, two Jeffrey boutiques and one clearance store. In addition, the company also provides its customers through online at Nordstrom.com, Nordstromrack.com and Hautelook.com, a private sale site. Therefore it also helps the company make more sales from remote customers. Moreover, the company has expanded their business into a credit segment. By having its own cards, the company can increase its revenue by financial changes. According to Hoovers, Nordstrom provides its customers Nordstrom Visa cards including credit cards, debit cards

Nordstrom is a publicly traded corporation specializing in the merchandise of apparel, shoes, accessories, and cosmetics for women, men, and children. The company operates through two segments: Retail and Credit. The Retail segment includes 117 “Nordstrom” branded full-line stores, Nordstrom.com, 167 off-price Nordstrom Rack stores, Nordstromrack.com and HauteLook, and other retail channels including five Trunk Club showrooms and TrunkClub.com, two Jeffrey boutiques and one clearance store that operates under the name “Last Chance.” The Credit segment comprises of its own national banking segment that offers Nordstrom VISA cards, a VISA debit card and a private label card that can only be used in its Nordstrom stores and website.

Nordstrom, created in 1901 by John W. Nordstrom as a small shoe store in Seattle, Washington, is a major department store located in the United States and Canada. At Nordstrom you can find apparel, home goods, shoes, and accessories for your daily lives. Nordstrom has over 300 stores located in 40 states and has become one of the top department stores through their innovative tactics, great customer service, welcoming store environment, and their wide range of brands and products.

Right form the start, the business philosophy was “based on exceptional customer service, selection, quality and value” (Nordstrom Employee, 2006). Focusing on this philosophy helped Nordstrom develop a competitive advantage in the shoe market. Due to their success, the company opened a new store in 1923.

Nordstrom Inc., started as a small shoe store in Seattle, Washington in 1901. Since that time it has become one of the leading and successful shoe and apparel retailers in operation today. After reviewing different information regarding Nordstrom Inc. espoused values and enacted values, it is apparent that they are in alignment. Espoused values are the core values of the company. The history and organizational beliefs, developed into policy for the company. The goal of the espoused values is to create standard of behavior for the company. The enacted values are norms exhibited by employees (Answers, 2013). If the espoused and enacted values are misaligned problems could occur within the

Nordstrom empowers its employees to set their sights high and blaze their own trails. This is a place where the employees’ future success and growth are truly a result of their own efforts and achievements. They strongly believe in promoting from within, because this offers employees a unique opportunity to learn the company’s business from the ground up. Hard work, loyalty, competitive spirit and commitment to the customer are important factors employees need in order to grow within the company.

We don’t rely on promotions, be it one-day sales, coupons, or “friends of friends” sales. We think our regular pricing has to have integrity.” Fifth is presentation, where the stores image is determined. Nordstrom is known for its relaxed upscale image. Sixth is personnel or customer service, where employees assist customers with their shopping experience. Nordstrom’s personnel are outstanding while they may not serve customers champagne they definitely will go out of their way to assist customers. I think that their personnel have to be the reason behind their success. Whether the story about the customer buying one shoe or the customer returning tires are true or not, gives the current and potential customers a sense of comfort and good customer service beats prices any day.