Analysis of Current and Future Plans
Neiman Marcus Background and Overview
Neiman Marcus is a premier luxury retailer with distinctive merchandise and superior service. They opened in Dallas, Texas in 1908. Since 1908, Neiman Marcus has opened 40 additional stores. In 2010, the current count is 41 retail stores and 28 clearance centers called Last Call Neiman Marcus.
As you can see from the chart, Neiman Marcus sells very diverse items. The largest category is women’s apparel, followed by women’s shoes, handbags and accessories, men’s apparel and shoes, cosmetics and fragrances, designer and precious jewelry, home furnishings and décor and the smallest category is other items. Neiman Marcus’s Mission Statement: “Neiman Marcus Stores will be the premier luxury retailer recognized for merchandise leadership and superior customer service. We will offer the finest fashion and quality products in an exceptional environment." For the fiscal year 2010, Neiman Marcus had strong sales numbers. The total sales in the first quarter included the months of August, September, and October. The total sales were $ 869 million. The second quarter included the months of November, December, and January. The total sales were $ 1,102 million. The third quarter included the months February, March, and April. The total sales in the third quarter were $ 895 million. These figures include all 41 retail stores and the Neiman Marcus on-line website. According to the latest annual report from the U.S. Census Bureau the total amount of sales for the U.S. retail industry was $ 4.13 trillion. This report comes from the calendar year ending in December 2009. Neiman Marcus has three top competitors. They are Barneys New York, Nordstrom, and Saks Fifth Avenue. Even though there are many other luxury retailers, only the three listed above can compete with Neiman Marcus’s customer service and diversity of products.
Code of Ethics
The Neiman Marcus Group, Inc. placed a Code of Ethics and Conduct to all its sales associates. The following are only a few examples of the policies that were placed.
Protecting Customer Information
When it comes to customer information, Neiman Marcus is dedicated to protect their customer’s confidential information. The company places the responsibility of protecting customer information to each sales associate that comes in contact with that information. Not only is certain information protected by state and federal laws, it is also protected by the company’s own data security policies. Sales associates are prohibited from using a client’s personal information on personal PDA’s or any personal computer for future reference.
Conflicts Of Interest
Neiman Marcus’s Code of Ethics and Conduct describes situations in which sales associates should avoid. According to the Code of Conduct, associates should avoid any situations that their personal interests could conflict to those of the company. The sales associate should avoid lending money to its customers for them to buy from the company nor should he or she use the company’s information or a customer’s confidential information for personal gain. It is also stated that the “associates should not accept any gifts”. These rules are made to avoid any unethical transactions between its associates and its customers or other parties.
Discipline For Violations
Neiman Marcus has disciplinary guidelines for sales associates who authorize, condone, or participate in actions that violate not only the company’s policies but the law. This also applies to sales associates who encourage others to retaliate against whistleblowers. Sales associates who withhold information relating to a violation are also at risk of disciplinary action. Sales associates who also submit false reports of violations or suspected violations which are made in bad faith will also receive disciplinary action. Neiman Marcus also prohibits sales associates to share employee discounts....
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