Essay On The Retail Sector

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1. Retail Sector a. The retail industry is as old as human civilizations, and it’s worth noting the retail sector is much better geared to change than most sectors. Over the past couple of decades there has been a wide range of changes in the retailing business. The retail sector dates back to the early 1800’s when the first local corner store sold common household items and basic groceries. As its name states, the corner store was just that, stores strategically placed on corners on high foot traffic areas for easy access. As society started to grow so did the need for new consumer goods and how a consumer would reach those goods. Department stores became popular simply because they were able to offer an assortment of categories and a variety of items within those categories all under one roof. The first two cities to start developing large scale department stores were New York City, and Chicago. In New York in 1846, the first building was built offering a variety of goods at fixed prices that were shipped from Europe. Department stores moved away from the idea of bartering and all items sold were considered fixed. However, department stores did offer discounts and coupons as a way to get customers in the door. In 1862, the largest department store was built during this time in New York City. The department store was on a full city block with eight floors and nineteen departments of dress goods, furnishing materials, carpets, fine china, toys and sports equipment. All these items were arranged around a central glass-covered court. The glass windows quickly became a staple in the department stores design. The act of window shopping was introduced and quickly all department stores had floor to ceiling windows advertising the newes... ... middle of paper ... ...T Analysis JC Penny i. Strength 1. Products: JC Penny’s is known for their brand recognition 2. Place: established locations nation wide 3. Price: Focus on low cost 4. Promotion: rewards program ii. Weakness 1. Changing in business strategies 2. Lack of coupons iii. Opportunity 1. Exploring niche markets iv. Threat 1. Consumer spending habits c. One aspect JC Penny has done well at is established a strong brand awareness. 6. Recommendations I would recommend Kohl’s to continue to focus on their Omni-channel retailing. This market is rapidly evolving and consumers are becoming increasingly technologically savvy. Computers, mobile phones, tablets and other similar devices are progressively becoming a more important aspect of the shopping experience. Additionally, the Internet and other new technologies facilitate competitive entry and comparison shopping.
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