Business Level Strategy: The Home Depot's Business Strategy

The Home Depot is the world 's largest home improvement retailer and ranks among the ten largest retailers in the United States. The Home Depot 's business strategy is to offer a broad assortment of high-quality merchandise at low "Day-In, Day-Out" warehouse prices and provide exceptional customer service through highly-trained and knowledgeable associates. The Home Depot culture, which is a significant strength of the Company, emphasizes a decentralized approach to management, and it encourages entrepreneurial innovation and high levels of commitment, teamwork, and enthusiasm by its associates. In the midst of an unprecedented expansion, doubling the number of stores, the need for highly effective assistant store managers, who are able to provide leadership and coaching to store associates, is essential. The Home Depot turned to Outward Bound Professional to provide vital skills to these managers in the management of their most critical resource.

Business Level Strategy In the 1990’s, Home Depot followed a differentiation business model. It focused on distinguishing itself from the competitors with knowledgeable, helpful employees,

Shifting to a regional distribution network will help achieve these goals and allow all channels of the organization, including vendors, corporate, and distribution centers to speak clearly to each other. The success of implemented initiatives could offer structurally higher margins, surpassing prior peak levels. However, diseconomies of scale occur when a business grows so large that the costs per unit increase. Diseconomies of scale occur for several reasons, but all as a result of the difficulties of managing a larger workforce. But as we know, the Home Depot is doing well in terms of managing its