Kmart Research Paper

1223 Words5 Pages
K-Mart: The Most Hated Company in America Introduction Company History Over one hundred years ago, an entrepreneur named Sebastian Spering Kresge opens his first retail store in 1899. The store was named Five-and-Dime and was located in downtown Detroit. The store was named Five-and-Dime because everything in the store was priced at either five cents or ten cents. This low price gained him a lot of customers and a lot of publicity. With this new found publicity, in 1912, he opened 85 more stores with annual sales of $10 million. As time went on, the prices have changed to $1 or less, but the business philosophy has remained the same. Around this time, the retail environment was getting very competitive, and the company needed to make some changes to keep up. In 1959, Kresge hired Harry B. Cunningham to become the president of the company. Under Cunningham leadership, the first Kmart store was opened in 1962 in Garden City, Michigan. In 1966, sales in 162 Kmart stores and Kresge stores topped the $1 billion mark and in 1968, the S. S. Kresge aired its first T.V. commercial. In 1976, Kresge made history by opening 271 Kmart stores in 1 year and becoming the first ever retailer to launch 17 million square feet of sales space in a single year. By 1977, nearly 95% of the S. S. Kresge sales were generated by Kmart so the company officially decided to change its name to Kmart Corporations. In 1991, Kmart opened the first supercenter in Medina, Ohio offering a full-service grocery area. In 1996, a complete redesign of Kmart was launched, changing its name to Big Kmart [or BigK] and in 1999, Kmart launch a new internet presence, named [now known as]. In 2002, Kmart filed for Chapter 11 bankruptcy protection. (Corpor... ... middle of paper ... ...e cooperation. Conaway immediately made major changes to Kmart financial performance to head south. He announced that 72 unproductive stores would be closed. This forced store managers to perform to the best of their abilities raising sales everywhere. Conaway also brought back the “Blue Light Always” that had been shelved since 1991 also bringing in more customers. (Kmart Corporation History) S.W.O.T Analysis Conclusion Resource "Corporate History." Sears Holdings Corporation. N.p., n.d. Web. 11 Apr. 2014. McIntyre, Douglas. A, Most Hated Companies in America: 24/7 Wall St. 11 Jan. 2014 Curtin, Lucus, Top Ten Most Hated Companies in America. Such Almost High School, 13 Jan. 2014 Mirabella, Loraine, Wal-Mart Learned From Kmart. SUN-STAFF. 2 Jan 2002 "Kmart Corporation History." History of Kmart Corporation – FundingUniverse. Funding Universe, n.d. Web. 15 Mar. 2014.

More about Kmart Research Paper

Open Document