JCPenney Case Study
JC Penney Case Analysis
Amy Knock
Corporate Strategy and Decision Making
January 23, 2015
Abstract
The JC Penney Company has undergone a transition from a value retailer to a streamlined, customer-driven retailer in order to set itself apart from its biggest competitors, Macy’s and Kohl’s. Previously, JCP was focused on general, storewide promotions. Currently, JCP has refined their image to reflect a standard set of prices and special savings.
JC Penney is one of the leading retailers in the U.S. The company offers a wide range of family apparel, jewelry, shoes, accessories and home furnishings products through a chain of department stores and e-commerce website. In addition, JC Penney is the largest general merchandise catalog retailer in the US. The company primarily operates in the U.S. and is headquartered in Plano, Texas and employs 147,000 people.
JC Penney’s Mission
JC Penney’s mission is to cater to young households seeking quality products at fair prices. JC Penney is the brand of modern appliances, decor and apparel with a classic feel, which allows families to make their traditions and style their own. The brand character is family focused, simple, reliable and timeless. The customer always comes first.
SWOT Analysis
Strength
Company offers wide products and services through multiple retail channels.
Compels private and national brands
Customer first initiative
Balanced Brand portfolio
Marketing Campaigns
Closing under- performing stores and exiting its catalog business
Weaknesses
Strong decline in comparable store sales
Decrease in popularity
Changing business strategies
Lack of coupons
Continuous product recall
Opportunities
Internet sales
Exploring niche markets
Attracting new customers
Complete overhaul of marketing strategies
Launching new exclusive and private label brands
Threats
Rising labor costs in the U.S.
Increasing competition in industry
Internet-customers comparing prices
Weak consumer spending
Moderate new store openings
Amy Knock
Corporate Strategy and Decision Making
January 23, 2015
Abstract
The JC Penney Company has undergone a transition from a value retailer to a streamlined, customer-driven retailer in order to set itself apart from its biggest competitors, Macy’s and Kohl’s. Previously, JCP was focused on general, storewide promotions. Currently, JCP has refined their image to reflect a standard set of prices and special savings.
JC Penney is one of the leading retailers in the U.S. The company offers a wide range of family apparel, jewelry, shoes, accessories and home furnishings products through a chain of department stores and e-commerce website. In addition, JC Penney is the largest general merchandise catalog retailer in the US. The company primarily operates in the U.S. and is headquartered in Plano, Texas and employs 147,000 people.
JC Penney’s Mission
JC Penney’s mission is to cater to young households seeking quality products at fair prices. JC Penney is the brand of modern appliances, decor and apparel with a classic feel, which allows families to make their traditions and style their own. The brand character is family focused, simple, reliable and timeless. The customer always comes first.
SWOT Analysis
Strength
Company offers wide products and services through multiple retail channels.
Compels private and national brands
Customer first initiative
Balanced Brand portfolio
Marketing Campaigns
Closing under- performing stores and exiting its catalog business
Weaknesses
Strong decline in comparable store sales
Decrease in popularity
Changing business strategies
Lack of coupons
Continuous product recall
Opportunities
Internet sales
Exploring niche markets
Attracting new customers
Complete overhaul of marketing strategies
Launching new exclusive and private label brands
Threats
Rising labor costs in the U.S.
Increasing competition in industry
Internet-customers comparing prices
Weak consumer spending
Moderate new store openings