The Rise and Fall of the J. Peterman Company
On my point of view positioning statement of the J. Peterman Company could look like: “To romantic people from 35 to 55 who appreciate unique emotional feelings and who are intellectually and emotionally on a journey, J. Peterman Company is a provider of unique, romantic, authentic, excellent goods by catalog and Internet”. Core competence of the very company is again selling different goods that are associated with “authentic”, “unique”, “romantic”, “excellent”, “journey”, “wondrous” concepts, especially clothes, by catalog.
Another competence that differentiates the company from others is corporate culture within it. Many had criticized the culture where employees had too…show more content…
Simply, company started to sell everything that is commercially profitable, which is big mistake in the long term.
Rapid growth of the business always demands expanding staff and hiring new employees. Recruiting “right” and appropriate people is the difficult process and requires concentration. However, most of entrepreneurs, and J. Peterman in particular, does not pay much attention on human resources and the role of human resources in the growth of the company.
As the company grows, it should develop. I mean that service, product, distribution channels, everything should be under continuing development and new technologies should be used. On that stage of growth Peterman lost the opportunity to expand through Internet.
By the end of the 1996 Peterman started considering the expansion of business through retail. But at this time they were suffering from shortage of financial capital and again were in the process of looking for investors. In my point of view, it would be better to choose another way of expansion – E-commerce. Firstly, it would be cheaper and easier to implement; secondly, it has as much opportunity to attract customers as retail stores, that is, it’s also profitable.
Investors required staff with credentials. Taking into account only career background of the candidate can harm the company from within. Top manager should manage people, keep the working atmosphere productive, and do not let the corporate culture to be