...Strategic Plan STR/581 Strategic Plan James Cash Penney started JCPenney, now known as JCP, 110 years ago. Penney aspired to be a lawyer for his family was not really well-off. His father was a Baptist minister and a farmer. He never had an opportunity to start in law school due to educational expenses that his family cannot afford. He worked in a local dry goods store where he became an assistant manager in Golden Rule Store. He had the chance to acquire one-third of the venture. In five years time, that was 1907, Penney acquired that of his partners (Soylent Communications, 2012). He had a vision to establish an entity that treats people the way he wants to be treated and this is what people commonly hear as “fair and square”. His very first retail business was named Golden Rule as based on his philosophy in life coming from the words of Confucius: “treat others as you want to be treated”. JCPenney was successful in his business for long years. His venture has the capacity to be an industry leader in innovation, pricing, and marketing strategy. Way before internet was invented, JCPenney offered catalogs to showcase their products. And now, they have jcp.com and their facebook page in which they do their promotions, marketing and sales (Toy, 2012). JCPenney had difficult times in keeping a close competition with Macy’s and Dillard’s Department Store especially when there were costs hikes when sales were down. The company adopted measures to deal with its problem. There...
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...JC PENNEY STRATEGIC MARKETING PLAN 2012: PRODUCT STRATEGY A Paper Submitted to the Graduate Faculty of the North Dakota State University of Agriculture and Applied Science By Alisha Liane Ostlund In Partial Fulfillment for the Degree of MASTER OF SCIENCE Major Department: Apparel, Design, and Hospitality Management April 2012 Fargo, North Dakota North Dakota State University Graduate School Title JC Penney Strategic Marketing Plan 2012: Product Strategy By Alisha Liane Ostlund The Supervisory Committee certifies that this disquisition complies with North Dakota State University’s regulations and meets the accepted standards for the degree of MASTER OF SCIENCE SUPERVISORY COMMITTEE: Linda Manikowske Chair Holly Bastow-Shoop Jaeha Lee Gerry Macintosh Approved: 04-24-2012 Date Holly Bastow-Shoop Department Chair ABSTRACT The JCPenney Company has undergone a transition from a value retailer to a streamlined, customer-driven retailer in order to set itself apart from its biggest competitors, Macy’s and Kohl’s. Previously, JCP was focused on general, storewide promotions. Currently, JCP has retooled their image to reflect a standard set of prices and special savings. In this exploratory look at JCP’s merchandising strategy, both previous and new methods are examined and additional steps to improve the returns on merchandising investments are offered. During this study, a detailed examination of JCP’s internal and external environments has been conducted, and an analysis...
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...Strategy Recommendation Pre-Writing Lutricia Hunter Capella University ABSTRACT A strategy recommendation is a business plan that is use to make a business more profitable and efficient. A business uses strategy recommendations to create goals and strategies for the company. Strategy recommendations help a business to better understand what a customer wants. The presented assignment I will discuss the strategy recommendation for JcPenney. This assignment will identify the specific business that I will use for the recommendation, the reason why I chose that particular business, and two academic resources from the Capella University’s Library. A strategy recommendation is a business plan that is use to make a business more profitable and efficient. A business uses strategy recommendations to create goals and strategies for the company. Strategy recommendations help a business to better understand what a customer wants. The presented assignment will discuss the strategy recommendation for JC Penney. This assignment will identify the specific business that I will use for the recommendation, the reason why I chose that particular business, and two academic resources from the Capella University’s Library. Identity of the Specific Business That I Will Use For Strategy Recommendation The business that I will be using for my strategy recommendation is JC Penney. JcPenney was created in Kemmerer, WY in 1902 by James Cash Penney. Penney called his first store the “Golden...
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...JC PENNEY STRATEGIC MARKETING PLAN 2012: PRODUCT STRATEGY A Paper Submitted to the Graduate Faculty of the North Dakota State University of Agriculture and Applied Science By Alisha Liane Ostlund In Partial Fulfillment for the Degree of MASTER OF SCIENCE Major Department: Apparel, Design, and Hospitality Management April 2012 Fargo, North Dakota North Dakota State University Graduate School Title JC Penney Strategic Marketing Plan 2012: Product Strategy By Alisha Liane Ostlund The Supervisory Committee certifies that this disquisition complies with North Dakota State University’s regulations and meets the accepted standards for the degree of MASTER OF SCIENCE SUPERVISORY COMMITTEE: Linda Manikowske Chair Holly Bastow-Shoop Jaeha Lee Gerry Macintosh Approved: 04-24-2012 Date Holly Bastow-Shoop Department Chair ABSTRACT The JCPenney Company has undergone a transition from a value retailer to a streamlined, customer-driven retailer in order to set itself apart from its biggest competitors, Macy’s and Kohl’s. Previously, JCP was focused on general, storewide promotions. Currently, JCP has retooled their image to reflect a standard set of prices and special savings. In this exploratory look at JCP’s merchandising strategy, both previous and new methods are examined and additional steps to improve the returns on merchandising investments are offered. During this study, a detailed examination of JCP’s internal and external environments...
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...Retail Giants: JCPenney vs. Target Kelly Greenwood October 2, 2011 Columbia College JCPenney: History In business since April 1902, when James Cash Penney opened “The Golden Rule, a dry good and clothing store in Kemmerer, Wyoming. Although the name of the store was changed to JCPenney, in 1907, the company’s “Golden Rule” philosophy (do unto others as you would have them do unto you) remains unchanged. In 1927, JCPenney was listed on the NY Stock Exchange. Currently, JCPenney operates 1,108 department stores thoughout the U.S. and Puerto Rico, providing 112 million square feet of selling space. JCPenney offers private, exclusive and national brands. Its private brands are “developed, designed and sourced in-house, generating nearly 50 percent of the Company’s annual revenue.” (JCPenney, 2011) JCPenney has partnered with Sephora, Call It Spring™, MNG by Mango® and Modern Bride® to create a boutique style shopping experience within the JCPenney store. JCPenney “sells family apparel and footwear, accessories, fine and fashion jewelry, beauty products and home furnishings. It also provides various services, such as styling salon, optical, portrait photography, and custom decorating.” (Yahoo Finance, 2011) It hosts one of the largest apparel and home furnishings e-commerce sites, posting revenues in excess of $1.5 billion in 2010. JCPenney posted approximately $17.8 billion in total revenues in 2010. “JCPenney has a balance of both mall-based and off-mall stores. Productivity...
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...Mary Frances Paxton in Caldwell County, Missouri (Elizabeth, 2010). Mr. Penney got his start in retail business on April 14, 1902 by becoming one-third partners in a New Golden Rule Store. His partners were Thomas M. Callahan and W.Guy Johnson (Elizabeth, 2010).Mr. Penney partners sold their interest in three Wyoming stores in 1907. Four years later, January 17, 1913 the J.C. Penney was incorporated. It started out with 34 stores and 20 shareholders (Elizabeth, 2010). The shareholders were store managers, former partners, Mr. Penney as the president and major shareholder. JC Penney became a public traded listed company on the New York Stock Exchange in 1927 (Encyclopedia Britannica, Inc, 2012).The headquarter is located in Plano, TX, and operates in the United States and Puerto Rico, with more than 1,100 stores and counting. JCPenney merchandises include Women’s, Kid’s, Home, Shoes, Men’s Clothing, and Bed & Bath. My role is an organization consultant. I will provide new idea to JCPenney on how they can become more profitable to consumers again. To improve sales and their image, JC Penny close their catalog business, outlet stores, exit the drug store business, and closed under-performing stores (Booten, 2011). With this reformation, many people were laid off. Problem Statement JCPenny had set the top company priority as making sales for the quarter. With downsizing, JCPenney changed their image and logos. Figure 1 display the logos for JC Penney over the years. The problem...
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...Financial Analysis of Jc Penny A brief overview of the rebrand Financial Analysis of Jc Penny A brief overview of the rebrand History J.C. Penney Company, Inc has about 1,100 stores in all 50 states. J.C. Penney Company, Inc. (JCPenney) is the second largest department store in the United States behind Sears Roebuck. JCPenneys’ name came from James Cash Penney who started his first retail store in 1902 in Kemmerer, Wyoming, a small mining town when his was 26 years old called Golden Rule. Even though the local banker cautioned Penney against opening a "cash only" store, since three other previous investor attempts failed, Penney still proceeded. In Penney's 1st year, the store successfully made $28,898 in sales. By 1913, Penney changed the company’s name to J.C. Penney Company, Inc. and moved the corporate headquarters to New York City to be closer to manufacturers and suppliers. Private label brands were a major reason for the success of the company; JC Penney could determine the price and used this to increase his profit margin. Some private label examples include Belle Isle, Ramona, and Honor Brand. In 1929 the company was listed on the New York Stock Exchange. When the Great Depression hit, the company cut back its inventory and purchased goods at lower prices so it could pass the savings on to customers. The company's profits even increased during the Depression and the number of stores grew to 1,496. During World War II, Materials and merchandise were scarce...
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...In searching the web I came across a few articles that spoke to the JC Penny Company Inc. somewhat recent change in business strategy and the effects it has had with their customer base and business overall. In February of 2012, JC Penny launched an entirely new pricing strategy for their department stores where they were going to introduce a new technique titled “Fair and Square” pricing. This approach would basically do away with seasonal/impromptu sales along with the use of coupons. Instead their pricing on products in the stores and online were going to be at an everyday low price. In conjunction with this strategy, the retailer was going to introduce new brands to their retail store fronts (i.e. “Martha Stewart and l'amour nanette lepore”) which include a store within a store concept further distinguishing and separating the products/brands within their stores. Further detail can be referenced via the following link:http://ir.jcpenney.com/phoenix.zhtml?c=70528&p=irolnewsCompanyArticle&ID=1652614&highlight. Although these changes seemed positive and progressive at first, once implemented it had quite an adverse effect on their business overall and as a result sales have continued to suffer going into early 2013. In fact, when fourth quarter sales information was released, it showed JC Penny department sales being down 32% year over year. (Blodget, 2013. Para. 2). It was apparent that there was a disconnect between the company’s newly implemented changes/vision, and...
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...Diversity in Workplace: A study on Multinational Clothing Retail Brands Diversity in Workplace: A study on Multinational Clothing Retail Brands Course: BUS 520 Management & Organizational Behavior Section: 3 Prepared For: Dr. Muhammad Shariat Ullah North South University Prepared by: Sarah Binte Mohiuddin ID # 1512983660 Md. Farhan Khan ID # 1512984660 Tasnim Siddiqa ID # 1430824060 Md. Salauddin ID # 1513300660 Date of Submission: 03rd August, 2015 LETTER OF TRANSMITTAL 03rd August, 2015 To Dr. Muhammad Shariat Ullah Associate Professor, Department of Management, University of Dhaka Subject: Submission of Project Report. Dear Sir, It is our great honor to submit our project report on “Diversity in Workplace: A study on Multinational Clothing Retail Brands.” In this endeavor, this report seeks to identify and analyze the diversity and its effects among employees in two clothing brands. The report contains statistical analysis and some findings and recommendations. It would be our enormous pleasure if you find this report useful and informative to have an apparent perspective on the issue. Thank you, 1. Sarah Binte Mohiuddin 2. Md. Farhan Khan 3. Nazifa Tasnim Siddiqa 4. Md. Salauddin ACKNOWLEDGEMENT ...
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...background information about retail customers and competitors that you will need to understand the world of retailing and then develop and effectively implement a retail strategy. Types of Retailers CHAPTER THREE Multichannel Retailing CHAPTER FOUR Customer Buying Behavior Introduction to the World of Retailing Retailing Strategy Chapter 1 describes the functions that retailers perform and the variety of decisions they make to satisfy customers’ needs in rapidly changing, highly competitive retail environments. The remaining chapters in this section give you further background information to understand the world of retailing. Chapter 2 describes the different types of retailers. Chapter 3 examines how retailers use multiple selling channels— stores, the Internet, catalogs—to reach their customers. Merchandise Management Store Management Chapter 4 discusses the factors consumers consider when choosing retail outlets and buying merchandise. The chapters in Section II focus on the strategic decisions that retailers make. The chapters in Sections III and IV explore tactical decisions involving merchandise and store management. Introduction to the World of Retailing EXECUTIVE BRIEFING Maxine Clark, Chief Executive Bear, Build-A-Bear Workshop became President of Payless Shoe Stores, then a division of May Department Store with over 4,500 stores and $2 billion plus in annual sales at the time. In early 1997, I decided to launch a retail concept I had been...
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...Financial Analysis FIN 534 Financial Management February 2015 In the history of retail department stores in the United States, very few companies have had the success and notoriety that J.C. Penney Company has made throughout our lives. With the exception of Sears Roebuck and Company and Macy’s, J.C. Penney is one of the more well-known companies of all time in the retail business. J.C Penney, formerly known as Penneys, is a chain of department stores that are based in Plano, Texas. The first store opened in 1902 in Kemmerer, Wyoming by a local entrepreneur, James Cash Penney. In 1912, the company had expanded to 34 stores mainly located in the Rocky Mountain States. The original name of the stores was The Golden Rule Store until the company was incorporated under the name of J.C. Penney Company in 1913. In 1914, the company moved its headquarters to New York City to help with the simplification of financing, transportation and the simplifying of buying goods and merchandise (J.C.Penney). One important milestone for the company was the opening of their 500th store in 1924 in Hamilton, Missouri, James Cash Penney’s hometown. The year 1940 was also an important moment in retail history when Sam Walton began working for J.C. Penney in Des Moines, Iowa. Mr. Walton later went on to become one of the biggest entrepreneur’s in modern retail history with his Wal-Mart franchise. The company now has over 1100 department stores throughout the United States and also Puerto Rico (J...
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...Since the creation of humans, business has been established. For example, People around the world have long been selling merchandise in exchange for gold, and they have long been driving to stores to purchase goods. With the technological evolution, this practice has changed. Today, people don’t even have to go to the store to buy what they want because they have the possibility of having the market virtually present in the comfort of their own home. In regard to this, any business that expands its market online will basically profit in expansion moving from a local to a global market. In this case, the income will be largely intensified. Home Dress’n X is a company that specializes in selling clothes, shoes, home accents, bed and bath products, and luggage. It opened its doors in 1982, selling its merchandise with bargain prices. Nowadays, it is well-known among the S&P, Fortune 500, and Nasdaq 100. Although Home Dress’n X has high ranges in the brick-and-mortar market, its website shows otherwise in the virtual market. The store has been very successful due its great prices as opposed to its competitors. However, when taking a look at the Home Dress’n X website, one can visibly see not much marketing there. Additionally, the website, as opposed to the store, is very dull and not enough diversity is shown. For instance, the store has a variety of merchandise, some brand names, and new trends. The merchandise are arranged according to sexes, sizes, genres, and new arrivals...
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... Penney’s strategy is to do with away constant “sales” and have every day lower prices. I also feel that Penney’s will favor the promotion of brand names and doing away with in-house labels. 2. Yes I think Penney’s has a good strategy for growth. The new CEO Ron Johnson is providing direction and encouraging new ideas. By using the “apple” model for Penney’s he is incorporating new ideas. Mr. Johnson is trying to develop a competitive advantage by changing the way Penney’s does business. His ideas are innovative and are being responsive to customers. Finally by offering brand names he is promoting quality over cheaper in-house labels. 3. Ron Johnson has established the mission and vision with his vision on how Penney’s needs to change to become competitive. He has established the grand strategy by assessing Penney’s current performance and lays out the game plan on how the mission will be accomplished. Mr. Johnson has clearly formulated his strategy by analyzing Penney’s internal problems along with the problems they have are facing from their competitors. Penney’s is currently n the strategy implementation part of the process this will take much investment but cost cutting and the elimination of sales have been “engineered” to pay for it. It appears to me that with Mr. Johnson’s leadership Penney’s is following the five steps of strategic-management process. 5. I feel Penney’s is trying to follow Porter’s Cost-Leadership Strategy: Keeping...
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...Inc. is one of America's leading retailers, operates over 1,100 department stores throughout the United States and Puerto Rico, as well as one of the largest apparel and home furnishing sites on the Internet, jcp.com. Serving more than half of America’s families each year, the JC Penney brand offers a wide array of private, exclusive and national brands which reflect the Company’s vision to be America’s shopping destination for discovering great styles at compelling prices. Traded as “JCP” on the New York Stock Exchange, the $17.8 billion retailer is transforming its organization to support its Long Range Plan strategies to build a sustainable, profitable enterprise that serves its customers, engages it associates and rewards its shareholders (JC Penney, 20111 JC Penney Corporation’s Internet Marketing Strategies and Competitive Advantages JC Penney used a catalog strategy to better serve customer preferences. The retailer completely migrated from “Big Books”...
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...J.C. Penney’s Real Problem: The Shrinking Middle Class * Rita McGrath April 12, 2013 Ron Johnson’s office seat has barely cooled off following his departure as business observers everywhere dissect what went so dreadfully wrong at J.C. Penney. The former Apple executive was too Silicon Valley for the Plano, Texas, retailer. He was arrogant. He didn’t test his ideas, maintaining the Apple mantra that customers don’t know what they want until you show it to them. He approved marketing campaigns that told loyal Penney’s shoppers that “you deserve to look better,” basically telling them that they looked less than glamorous wearing the brand they had trusted and been comfortable with for years. He hoarded information so that individual store merchandisers didn’t know how various lines were performing. He mocked J.C. Penney’s ways of doing things. He abandoned the discounting customers had come to expect from retailers. And he, and most of the team he recruited, were commuter leaders, jetting back to California after cramming in marathon work sessions at headquarters. These factors certainly couldn’t have helped. I think, however, there’s one major reason behind J.C. Penney’s sudden swoon that not enough commentators are picking up on. There’s one big reason JCP would never be “Bloomingdale’s for the mass market,” as Johnson wanted it to be, and that’s because the mass market is gone. Because the middle class is gone, or at least rapidly going. This reflects a troubling development...
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