Company Analysis of Petsmart Corporation
Part 1- Overview, History and Current Structure
Petsmart, established in 1986, operates 1145 stores devoted to pet supplies throughout the USA and Canada, making it “the largest specialty retailer of services and solutions for the lifetime needs of pets.” (Petsmart, 2009) It is publicly traded under the abbreviation PETM. Petsmart offers pet training and adoption in all stores, and dog and cat boarding in select stores. Petsmart Charities is an independent 501c3 non-profit affiliated with the Petsmart stores.
Founders Jim and Janice Dougherty took a capital loan from Phillips Van Heusen Corporation, incorporating Pacfiic Coast Distributing in 1986. The first two stores were opened in Arizona under the name PetFood Warehouse. By 1988 there were seven stores, and the philosophy of contributing to the cause of animal welfare, and fostering pet adoption through charities and rescue, was present in each store. One year later, changing the name to PetSmart, the stores expanded to sell fish, as well as birds and small pets. The concept of a full service pet store became a reality upon opening their first full-service dog saloon as well as offering photos with Santa, which benefitted charities. In 1990 the corporation name was officially changed, and veterinarians were asked to come to the store in mobile clinics to provide vet care for customers.
In only six years, there were 50 stores open. In 1993, PetSmart corporation became publicly traded for $125 million dollars. In 1994, PetSmart charities was incorporated, to continue fostering the founder’s appreciation for animal welfare. PetSmart corporation actively buys regional competitors. Ten years after opening, PetSmart continues to expand, this time overseas to the Canada, England, Scotland, Wales and Northern Ireland. The company quickly learns and rebounds from financial trouble in 1997. By 2000, the company is in full rebound and doing very well again,...
References: Company Information. Retrieved September 3, 2009, from http://phx.corporate-ir.net/phoenix.zhtml?c=93506&p=irol-homeprofile.
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