JC Penny Case Study
4. Impact
a. What has been the impact of their new strategy on their stock prices? JC Penny has cost a lot of money to make its strategy work and the increasing costs of the company have let down their stock prices. The retailer reported a second-quarter loss of $147 million and sales slide 23% to $3 billion according to data compiled by Bloomberg. So the retailer and stores have been losing sales and consumers, so the losing on their profits has been letting down their stock prices as well. JCP also faces lower profit margins in the due to rising commodity costs which will increase its clothing costs. They spend a lot of money refreshing their stores and putting commercials on the TV to attract consumers, but that also add a lot of costs
a. What has been the impact of their new strategy on their stock prices? JC Penny has cost a lot of money to make its strategy work and the increasing costs of the company have let down their stock prices. The retailer reported a second-quarter loss of $147 million and sales slide 23% to $3 billion according to data compiled by Bloomberg. So the retailer and stores have been losing sales and consumers, so the losing on their profits has been letting down their stock prices as well. JCP also faces lower profit margins in the due to rising commodity costs which will increase its clothing costs. They spend a lot of money refreshing their stores and putting commercials on the TV to attract consumers, but that also add a lot of costs