Daniel J. Cohen-Collazo McCulloch Economic 6th 21 September 2017 What are some of the biggest home improvement companies out there today? Lowes, Bed Bath And Beyond, Ace Hardware, and we can keep on going down the list. But there is no better home improvement store then Home Depot. Between their stocks increasing every day to the base of this organization. Our financial firm should invest in Home Depot because they are one of the most reliable sources of any hardware supply to home improvements. Home Depot was created in 1978 by a group of man. These men were Arthur Blank, Bernard Marcus, Kenneth Langone, and Pat Farrah in a small place in Atlanta, Georgia. They would have never thought that this small company idea would turn into a multi-billion …show more content…
How does this company utilize each of this? In total Home Depot has 2,247 stores and each state can range from having 33 stores to 232. So they make pretty good use of the property and the land that they own so they can establish their store where it is needed the most.Now for their labor Home Depot has employed around 408,000 employees each getting paid around $9.49 hourly to $41k per year depending on your position in the company. Now for another aspect of FOP is human capital. For example, Bob Nardelli is a former Senior executive of Home Depot took on the challenge partly through personal leadership, but mixing encouragement with an ultimatum and fostering desired cultural norms like accountability through his own behavior. But he also adopted and adapted a range of tools designed to change the company’s culture, many of them initiated, coordinated, and implemented. This is the type of human capital traits this company is looking for. Another major FOP is physical capital some examples are their trucks that deliver new appliances to the store. Another is Lifting machines that are used to lift heavy loads onto high shelves that us humans aren't capable of doing. I can go down the list like dollies, frator ships that bring loads from other parts of the world to the US, etc… The
After researching Home Depots financials I would invest money in Home Depot by purchasing stock. In my research there was a lot of talk about how popular home improvement is and how many people prefer the do-it-yourself aspect. While I am sure Home Depots numbers have been better, before the recession, I do not for see Home Depot going under anytime soon. I think it is a stable company that will be in business for many years to come.
HubPages. (n.d.). The Home Depot Inc.: A Home Improvement Retailing Business, Industry, and Economic Trends Analysis. HubPages. Retrieved January 19, 2014, from http://dreadefoe.hubpages.com/hub/The-Home-Depot-Inc-A-Business-and-Industry-Analysis
The Home Depot is recognized as being the leader in the home improvement retail industry by combining the economies of scale inherent in a warehouse format with a level of customer service unparalleled among warehouse-style retailers. ("Home Depot to", 1999)
Home Depot is currently the largest home improvement retailer in the world. Co-Founded by Bernie Marcus and Arthur blank in 1978 and later went public in 1981. (Exibit* - Stock Performance). Home Depot currently sells products in more than 2,200 stores in North America reaching out to customers both through brick and motor stores as well as its online stores.
Lowe’s is leading the way by example. Lowe’s believes that creating long-term partnerships is a win-win situation for both sides of the deal. Lowe’s is the second largest home appliance retailer in the country, by working hand in hand for twenty-six years with Whirlpool, the largest marketer and manufacturer of home appliances. Whirlpool and Lowe’s have worked together to become unmatched in bringing their customers a high quality product and a very low competitive price. Through a tremendous logistical effort Whirlpool and Lowe’s have created a one of a kind Innovation Tour. A semi-trailer transforms itself into a functioning kitchen to show customers cutting edge appliances that will be available at Lowe’s in the future from Whirlpool and Kitchen Aid. As Lowe’s motto states, Lowe’s truly is “Improving Home Improvement”. (http://www.businesswire.com/)
Home Depot operates in the home improvement retail industry that comprises of retailer that sell appliances, lumber, building material, kitten fittings and other home improvement products aimed at improving existing structures. Companies functioning in the home improvement industry buy products from retailer and manufacturer based all over the world, and then put those products for sale on the market to three types of buyers, generally characterized as: do-it-for-me, do-it-yourself, and professional customers. The home improvement retail industry is well established industry and is highly attractive and there is high level of price competition among the key players of the industry as the products lines are all the same.
Working in a Store Support Center, rather than a corporate headquarters, their leadership team knows that the most important people in the fabric of the company are the store associates and store leadership teams. Frank Blake was appointed as the Chief Executive Officer of Home Depot in January 2007 (Sellers, P.). He joined Home Depot in 2002 as executive vice president of Business Development and Corporate Operations and was responsible for real estate, store construction, credit services, strategic business development, growth initiatives, call centers and the Home Services business.
Since the home improvement market is highly competitive, Lowe’s needs to apply the best strategies to deal with Home Depot’s rivalry. This rivalry is as a result of the identical nature of the products handles by the two companies. The company should structure its distribution framework to pull down costs as the firm adjusts to changes in demand. The company should set a 6-month budget for research and development projects. To outperform Home Depot, Lowe’s should seek to expand its in-store services as well as the international operations.
Home Depot is the brainchild of Bernard Marcus and Arthur Blank and came about after both men lost their job in the home improvement industry in 1978 (Parnell, 2014). Home Depot has acquired several smaller home improvement stores in both the U.S. and abroad through the years which enabled it to position itself as the world’s largest home improvement chain (Parnell, 2014). Home Depot focuses on the do-it-yourself segment of the market and sells sells tools, construction products and services. Marketing is a strong point for the company. They are able to maintain a competitive advantage by keeping themselves available to their customers at all times. Home Depot has been using both online and offline marketing efforts. The internet has become a very useful tool for the company and part of the reason that they are leading the market in DIY stores. Home Depot currently provides DIY videos on YouTube and Vine that cover current topics that consumers are likely to be interested in. They also have social media pages on Facebook and Twitter, where they have a huge following. They provide online communities where actual employees answer consumer’s questions and provide assistance on
Content 1.Preface 2.Introduction 3.Problem definition 4.Summary 5.Conclusion 6. Chapter 1: External analysis of Home Depot Inc. 7. Chapter 2: Internal analysis of Home Depot Inc. 8. Chapter 3: Strategic forces. 9.
The founders of The Home Depot, Bernie Marcus and Arthur Blank, set the foundation of their company on eight core values that are transferable to any business. Their tools for success included:
Frank Blake, who followed Robert Nardelli, decided to bring back Home Depot's inverted pyramid, with customers at the top and "CEO" at the bottom (Tobin 2010). Blake’s goal was to listen more to employees and customers.
Home Depot was founded in 1978 by Bernie Marcus and Arthur Blank in Atlanta, Georgia. With their store, Marcus and Blank revolutionized the do-it-yourself home improvement market in the United States. Home Depot began as a very basic store, operated in a large, no-frills warehouse. Home Depot carries over 35,000 products, with national brand names along with the Home Depot brand. At the start, Home Depot was able to offer exceptional customer service with knowledgeable employees who could guide customers through home renovation projects. Since its opening, Home Depot has experienced incredible growth, and today is North America's second largest retailer, and the largest home improvement retailer. Internationally, Home Depot has expanded into Canada, Mexico, and is beginning to operate stores in China. Home Depot's competition includes Sears, Ace Hardware and Lowes (the main competitor).
In addition, human resource management has to be business savvy and think of themselves as strategic partners in the 21st century. Multi-generational workforce.... ... middle of paper ... ...
Home Depot, well-known by its big, bright orange box logo, is a retailor of numerous popular brands of construction and home improvement products. Reach the Top® manufactures a popular brand of ladders and scaffolding already sold by Home Depot, and...