Norstorm

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

Nordstrom’s is classified as a department store. They are one of the largest U.S. department store chains, along with Macy’s, JC Penny’s, and Sears. As with the other department stores, each of Nordstrom’s departments are treated as separate buying centers. Each group operates independent from each other, being headed by a buyer who is responsible for the types and quality of merchandise sold, as well as any promotions that may be used. “The company has also benefited from a new computerized inventory system that gives buyers and salespeople the necessary data to make smarter decisions about

a. Macy’s, Inc. is a retail organization operating retail stores and Internet websites under two brands (Macy’s and Bloomingdale’s) that sell a wide range of merchandise, including men’s, women’s and children’s apparel and accessories, cosmetics, home furnishings and other consumer goods. Macy's’ competitors include other middle priced-ranged department stores including Nordstrom, Bed Bath & Beyond, Belk, Bon Ton, Burlington Coat Factory, Dillard’s, Gap, J.C. Penney, Kohl’s, Limited, Lord & Taylor, Neiman Marcus, Nordstrom, Saks, Sears, Target, TJ Maxx and Wal-Mart. p. 4, 10-K

2.) In today’s evolving customers, a majority of customers changed their shopping habits. More shoppers research purchases on line and comparison shop. Macy’s must appeal to the new way of shopping and strive to meet the needs of their customer.

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

Through the 70’s the company continued to grow. In 1974 annual sales hit $130 million. By 1980 Nordstrom was the third largest specialty retailer in the country. Sales hit $407 million and in the next few years, sales continued to rise. Nordstrom’s success was due to many factors. Shoes accounted for about 18 percent of total sales. In addition Nordstrom consistently maintained huge inventories and selection, which were usually twice the size of other department stores. Anchor malls seek the company, as a cornerstone of downtown renovation projects or as an added jewel for high end shopping customers. By being able to expand not only by adding locations, but also by expanding merchandise sold, Nordstrom became a dominant force in the industry and strengthened their market share position.

3. Describe Family Dollar’s competitive advantages and disadvantages with respect to competition from conventional supermarkets and box stores.

Nordstrom incorporated is chain of department stores that has several different branches under its brand. Nordstrom is a high-end department store that has a large stock variety of goods, similar to Saks Fifth Avenue. Another branch of the company, Nordstrom Rack, is the clearance version of Nordstrom. Nordstrom Rack sells the remainder of goods that did not sell before the new styles came out, because of this the Rack sells their items at a discounted price. This is a good distribution channel benefit because they can still profit from leftover inventory. The layout of the two stores are very different. Nordstrom has a open organized store with different departments (makeup, shoes, handbags, etc.) Nordstrom rack is more of a congested store

Threat: Forces shaping the Nordstrom’s strategy is that it is operating in highly competitive environment, where apparel sold by it is not only competing with large organized departmental chains but, also from small independent boutiques in the U.S. As a result competition has become very stiff in retail

Nordstrom is classified as an Upscale Independent Department Store Chain and is noted as one of the largest department stores of its type. Nordstrom is founded in 1901 by two partners, John W. Nordstrom and Carl F. Wallin. It’s headquarter is in Seattle, Washington area. Nordstrom carries a wide variety of merchandise and specialty goods, which includes apparel, shoes, jewelry, cosmetics, fragrances, handbags, accessories, and in some locations, home furnishings. Nordstrom is dealing with competition on many different levels. It is competing with higher end stores such as Neiman Marcus and Saks Fifth Avenue. In addition, it is also competing with second tier stores such as Macy’s, Dillard’s,

Recognizing any success Nordstrom enjoys basic quality of their relationships with customers, employees, vendors and communities. Striving to be a socially responsible company and know that the trust of the customers is to have is not to be taken

Nordstrom falls under the department store category of retailing usually selling upscale durable products. Stores that mirror Nordstrom are Sears, JCPenny, Dillards and Macy’s. These department stores carry a variety of goods from apparel, cosmetics, housewares, electronics and furniture. Each department having its own buying center that’s run by a department head that is in charge of ordering merchandise, running product promotions and managing department employees. Nordstrom is able to

Macy's is one of the premier retailer franchises within the United States. To begin, Macy's Inc. is one of the nation's largest and well known department store chains. Started over 150 years ago, Macy's has continually generated excellent returns for its shareholders and employees. Currently, in the midst of a global recession, Macy's has generated huge profits with same store sales increasing 5.3% year to date. In 2012 same store sales increased 4.6% in the month of February alone (Macy's Inc., 2012). In fact, throughout the duration of 2012, Macy's is projecting even larger profits for its underlying business operations. Even though Macy's has experienced success with both its assortments and brand, its competitors haven't faired so well. Sears, due in part to part to a lackluster holiday season, has been forced to close nearly 120 locations to generate excess liquidity in an effort to shore up its balance sheet (Isadora, 2011).Other competitors who cater specifically to the middle class consumer have also lost significant amounts of market share as consumers trade down due to the economy. Macy's, with its ride array of assortments and products continues to grow as it attempts to capture market share from failing competitors. Macy's is also unique as it operates in a unique market demographic. It is upscale, but not to the extent of Saks Fifth Avenue or a Nordstrom. It is also not as low scale as a JC Penny

The current business model in most stores is similar. Stores rely on low prices, high quality products, efficient service at the checkout. They put more and more on branded products, improved in terms of quality, which translates into prices. Proof of this are the ads that not only underline the already low prices but high quality. Discrepancies in the accounts for purchases starting to show between networks when the cart will go in addition to products purchased almost every day, including those purchased less frequently. The different types of shops compete with each other mainly in articles necessities, those most often bought by the largest number of customers. There is no longer any difference where you go for bread, butter and milk, because they pay more or less the same.