The History Behind. Penney 's Spans For Over A Hundred Years

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).

J.C. Penney is a retail outlet that operates in many locations globally. It deals with product lines such as clothing, footwear, beauty products, electronics, and jewelry. There are several changes that have taken place in the macro environment that promises to increase the fortunes of the company. The advertisement in technology is one single important factor that has increased the performance of the business (Ali, 2007). The company has an elaborate website through which it uses to tap the online market. In fact, thirty percent of the company’s revenue comes from the website.

J.Crew as an iconic brand targeting young working professional by focusing on preppy and classy look failed in identifying brand focus. Also, their business model is performing poorly in the fast-fashion industry compare to traditional competitors, with its high prices, diverging quality, and undesirable brand image. Hence, the brand perception by customers has changed and many of them prefer to purchase the discounted products rather than full-priced items.

In 1858, R.H. Macy founded R.H. Macy and Co. in New York City. From a dry goods store, he expanded his store occupy a total of 11 buildings which all offered different categories of merchandise. Here, R.H. Macy created what we now know as the department store (The History). Macy’s Inc. has grown and currently operates over 700 department stores under its various names (About Us). JC Penny Co. Inc. was founded in 1902 by James Cash Penny. JC Penny Co. Inc. was alike Macy’s Inc., however, they offered a catalog to better compete against department store like Montgomery Ward and Co. They currently operate around 1,100 stores worldwide (The Editors). The traditional department store format that Macy’s Inc. and JC Penny Co Inc. utilize has become

2) JC Penney's most immediate goal is to maintain its present customer base and to attract new clients. They can do so by introducing higher-scale brands to their stores in order to attract another category of customers, in other words, customers who are drawn to premium brands. Therefore, JC Penney's brand image will be enhanced; its reputation will be improved. Introducing premium products, and attracting customers who have higher purchasing power will bring in higher revenues to the company.

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

CEO Johnson’s time with JC Penney’s was short lived and only lasted 17 months. The three core processes of business that he ignored was People, Strategy, and Operations. From the people aspect, he missed several key details. Johnson just assumed that people thought JC Penney’s prices were too high, so he lowered them and quit having sells (Tuttle, 2013). He also drove customers that had been shopping there for years away. With too many changes happening at one time, loyal customers did not agree with the changes and started shopping elsewhere.

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 fiscal year is February-January. At the end of 2012, JCPenney’s reported $17.26 billion in sales/revenue down only 2.81% from the previous year. At the end of 2013, JCPenney’s reported $12.99 billion in sales/revenue, down almost 25% from the previous year. (Marketwatch) The factor? The new CEO Ron Johnson. Numbers do not lie. The transition in leadership in 2012 left the company in an even rockier state. Just after 17 months, Ron Johnson was released of his position as CEO and former CEO Mike Ullman was reappointed. J.C. Penney shares finished the regular trading session at $15.87 Monday. From when Johnson took the reins on November 1, 2011 the stock was cut in half, dropping 52.2%. (Schaefer) There were several reasons why Johnson

He was employed by a merchant, T.M Callahan, who owned the Golden Rule store in Colorado. Guy Johnson owned the other Golden Rule store in Wyoming. The names of the company chain reflected on Penny’s philosophy of life, the Golden Rule. Both of the stores consisted of work clothes, fabric, and sewing supplies. Penney’s work ethic caught the eye of the company’s owners and he was sent to go work in his Wyoming store in 1899. Knowing he had the chance to share in ownership, it motivated him, excited his imagination, and it also gave him the idea that one day he may have his own chain of stores based on the same principle of the partner owners who shared the profits. Penny was so dedicated and interested in his work, he lived in the attic above to store at first. He would open at 7:00 a.m and would close around 9:00 or 10:00 at

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.

The organizations chain of about 1,090 JC Penney department stores in the US and Puerto Rico has found itself squeezed between upscale competitors and major discounters. With approximately 155,000 associates nationwide, JC Penney created a winning together culture with a customer-focused team of engaged professionals who reflect the diverse communities we serve. We offer style and quality at smart prices, providing a selection of good/better/best merchandise that reflects the lifestyles of our customers. Spanning family apparel, home furnishings, fine jewelry, footwear, accessories and beauty, customers can choose from an array of merchandise available across our three integrated shopping channels: stores, jcp.com and catalog. JC Penney created the JC Penney Afterschool Fund, a charitable organization committed to

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.

At this specific time, the economy was coming out of Great Recession. JC Penney sales continued to decline like melted off ice cream falling off an ice cream cone. JCP’s should have stopped their bad marketing train years ago. Based off of personal experiences their merchandise was cheap, fall apart cheap up until the point where I repeatedly kicked myself for making such horrible purchases. I used to shop at JC Penney a lot, but the t-shirts didn’t survive washings; cheap China stuff people tend to shy away from.

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