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Re: The demise of Sears what is your opinions????


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Posted by wisbaker on November 29, 2014 at 16:49:17 from (173.26.84.185):

In Reply to: The demise of Sears what is your opinions???? posted by jocco on November 29, 2014 at 10:35:45:

Sears, an interesting concept, they built a business with brands. Some of their brands had excellent reputation, funny thing is they never made a darn thing. Their precious brands (Craftsmen, Diehard, Kenmore to name a few) were all outsourced. The value they added was the service. Retail changed with America, they morphed into a brick & mortar retailer and were successful for a while. Things changed and they decided to go to a financial services concept, bought brokerages and insurance companies and started to move away from their core business. Found out it wasn't all roses and unicorns in the financial services sector, sold stuff and retreated. Meanwhile they had been neglecting their retail operations, didn't find and exploit new markets or niches. Didn't see the upstarts from Arkansas coming up either. Sears used to be "Where America Shops" they took the business different ways, none successful, missed market opportunities like home centers, national used car sales, mega office stores, super centers. They just flat out missed to many opportunities to keep them on top. They cheapened their brands to try to compete in the process reducing the value of one of their greatest assets, sold off some of the brands letting others sell them. They got out of mail order just before it blossomed and totally missed the coming of online sales- something they had the logistical structure to support.

In short incompetent upper management didn't see opportunities in their sector they should of pounced on. They didn't fight to keep the employee contracts and leases in line and competitive with their competitors. They built a bureaucracy, the problem is bureaucracies are not conducive to customer service, they made financial decisions not to support hard line products and didn't transition well into the big box model their competition did.


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