Nordstrom Case Study

725 Words2 Pages

A firm 's competitive advantage is achieved through offering customers a greater value, either by way of lower prices or by providing greater benefits and service that justifies a higher price. Nordstrom strengthens its competitive advantage and generic strategy through cost leadership and differentiation in order to differentiate themselves from other high end retailers. Nordstrom has consistently maintained a unique reputation from their establishment in 1901 to the today. Since developing a strong competitive advantage from inception, Nordstrom has been able to adapt to changing environments and market conditions to maintain their success. Nordstrom has set the bench mark in the retail sector through customer service and product quality. …show more content…

Nordstrom possesses a distinct and reputable image that effectively differentiates them from their competitors. Nordstrom is known throughout the retail sector as the leader in customer service. Nordstrom regards their customers as extended family and treats them as such. In addition, Nordstrom utilizes devoted sales associates for serving customers in an array of fashions. They possess the most liberal return policy that is highly regarded among customers. Also, sales associates will call in orders for merchandize not on hand free of charge. Recently, Nordstrom has …show more content…

Nordstrom’s product offerings are not only of the best quality available, but are also presented in a fashion appealing to customers. The reputation Nordstrom has built in the industry has sustained their success for over a century. Nordstrom’s further expects to enhance their company philosophy in the future by implementing additional differentiation tactics that will continue their market dominance in highly volatile economy. In order to maintain their status in the retail industry, Nordstrom plans to implement additional competitive advantage differentiation strategies. Nordstrom must effectively respond to changes in the retail industry. To further enhance customer service, Nordstrom has focused on direct retailing through their online shopping experience. They strive to offer the most effective multi-channel relationship with their customers by offering the same in store benefits through online and catalog shopping.
Nordstrom is exhausting substantial investment in their online business to reflect their uncanny in-store customer service. In comparison, Nordstrom is also utilizing

Show More
Related

  • Macy's Executive Summary

    233 Words  | 1 Pages

    Macy’s intended to deliver enhanced shopping experiences to its consumers through dynamic department stores and online sites. In this regard, the company developed a North Star strategy that allows it to improve its sales growth and to develop its existing core activities. The company’s consumer research monitors, analyze and anticipate their needs and wants based on the changing market trends. This allows it to strengthen its customer base and also helps it in identifying new markets and customers. Macy’s also identifies different styles and designs based on various occasions and events that allow it to capture the changing preferences of its customers. The company also celebrates various iconic events to interact with its customers which

    Read More

  • Kohl's Marketing Environments: The Macro Environment

    1628 Words  | 4 Pages

    This nationally recognized mass merchandiser that stood as Kohl’s other leading adversary in the market has everyday low prices that were able to compete with Kohl’s promotional events. Wal-Mart also outdid their competition when it came to number of store locations around the country. The weaknesses of this reputable company come to light when shoppers are looking to buy clothes and are not presented with nearly the selection that the department store can offer. Also, their service is not considered to be as helpful as the department stores that can input more expertise when trying on

    Read More

  • Research paper on Nordstrom

    2960 Words  | 6 Pages

    Nordstrom is one of the top retailers in the United States. With a solid brand image and a sound financial situation, Nordstrom is relentless in their expansion in the US, and are beginning to expand into international markets. Nordstrom takes pleasure in providing state of the art client support and having experienced sales people. In order to hold their position as the most successful high-end retailer in the United States, Nordstrom must continue to figure out ways to improve their brand image and customer satisfaction. Nordstrom’s current business working strategy is successful but I believe there are a few ideal solutions that the organization could apply to further enhance the organization. Due to the aggressive characteristics of the fashion retail store market, it is crucial that Nordstrom preserves an aggressive advantage providing the highest level of customer support as possible.

    Read More

  • Case Study Of Abercrombie And Fitch Case

    1462 Words  | 3 Pages

    Facts of the Case: In 2008, Samantha Elauf applied for a job at Abercrombie & Fitch, Inc., who as part of their “Look Policy” prohibit the use of caps. Elauf, as part of her religious practice, wore a headscarf to the interview. She was interviewed by assistant manager Heather Cooke, who gave her a score that qualified her to be hired. Cooke, however, was worried that Elauf’s headscarf was against the store’s policy and called her district manager Randall Johnson. She informed Johnson of her belief that Elauf wore her headscarf because of her religion, and Johnson replied that headwear whether it was religious or not violated the “Look Policy” of the store. Elauf with the help of the EEOC sued Abercrombie on the grounds of religious discrimination. The U.S Equal Employment Opportunity Commission (EEOC) is an agency established by the government of the United States that imposes federal laws that make it

    Read More

  • What Is The Difference Between Kohl's Pricing Strategy And Retail Strategy

    699 Words  | 2 Pages

    Kohl’s also boasts a loyal customer base and strong brand equity. These strengths are critical to offset their weaknesses. Flaws include an imbalance on sales for men’s products and a lacking online presence. (Kohl's Corporation, n.d.) Another way that Kohl’s is actively counterbalancing their negatives is by capitalizing on opportunities. Kohl’s has found that their beauty sections are an immense source of opportunity. As a result, the company is expanding those departments in an effort to capture those sales that would otherwise go elsewhere. (Wahba, 2014) Finally, Kohl’s keeps the knowledge of their threats at the forefront of their decision-making. They understand that their coupon system can be abused and cause profit losses. They also recognize that price wars in their industry can also be very damaging. As a result, they are working towards more secure methods of offering savings and strategically making efforts to remain the leader for price setting. (Wahba,

    Read More

  • Nordstrom Case

    982 Words  | 2 Pages

    Nordstrom segments are broken down into preference segments. There are three segments that Nordstrom has containing the following: homogeneous, diffused, and clustered. Homogeneous is a market with no natural segments. Diffused is a market with evenly distributed preferences with no concentration. Finally, a clustered market when natural segments exist and may be effectively targeted. Nordstrom’s segments focus on inside

    Read More

  • Macy's Case Study

    1443 Words  | 3 Pages

    My company of choice for this report is Macy 's. 'The Magic of Macy 's ', as the company advertises it, has inspired me to shop there, take advantage of their incomparable discounts and great online shopping experience. Macy 's, Inc. is one of the largest department store chains in the United States of America. Macy 's manages stores under the Macy 's and Bloomingdale 's brands. I enjoy shopping at both of the company 's store brands, Macy 's and Bloomingdales. Bloomingdales provides a more personalized experience

    Read More

  • Wal-Mart's Competitive Environment

    1679 Words  | 4 Pages

    In general merchandise retailing, Wal-Mart’s primary competitors are Target and Kmart. Retail superstores such as Circuit City and Bed, Bath, and Beyond, also provide retail competition. A survey found that the majority of respondents favored Wal-Mart over stores like Target and Kmart. Respondents claimed Wal-Mart offered lower prices, better variety and selection, and good quality. The needs of consumers is an important economic feature in all competitive environments. What attributes (price, variety, quality, etc.) prompt buyers to choose one retailer over another is very important in the competitive landscape.

    Read More

  • Kmart Case Study

    1083 Words  | 3 Pages

    Some core competencies that must be exploited are: Brand Kmart is an existing well-known and trusted national brand in USA Kmart has private label and designer clothing that is well endorsed Infrastructure Kmart has a large number of well-located, low-cost, leased stores in urban far away from competitors through out the country ( Appendix B ). Staffing Confidence by the market in Kmart is created by the achievements of its staff and management. With the turn-around strategy in place, new blood has been put into the top management structures. In any renewal there will be retrenchment as unprofitable stores are closed. This can be used as an opportunity to retain and move high performing staff to where they are needed and to get rid of non-performing staff. Anderson the chairperson of Kmart is well supported by Wall Street and the board of Directors. These new staff members enter the company with needed skills to address problems in certain areas that previously were poorly managed such as inventory control and merchandising. Store locations, layout and Performance Stores conveniently located away from competitors like Wal-mart and Target therefore less to compete for customers face-to-face. There are 250 non-performing stores who have already been identified as being more cost effective to close than continue with running costs. Expertise exists in-house for the planning of store layout and appearance to meet different customer segments. This concentration of effort will enable focus on key areas Technology Kmart has already invested in good retailing systems. The system can be use to control inventory, supplier payments, track customer buying and monitor income versus profit margins across all stores. Research and Development The planning department is well established and in cross-functional to provide various perspective. The planning department to ensure that strategies at all levels are executed can further use the access to past data and knowledge of changes in buying patterns. Financial Backing JP Morgan Chase has agreed to support Kmart to avert the current threat of closure due to bankruptcy.

    Read More

  • Comparing HEB And Wal Mart

    1019 Words  | 3 Pages

    First, when shopping, a big factor that will impact a customer 's experience is the customer service. Whether it’s from a simple “hello”, or an employee going out

    Read More

  • Retailing Strategy: Nordstrom's Retail Positioning Strategy

    807 Words  | 2 Pages

    First, Nordstrom is unique through its excelling customer service. As a full-service retailer, Nordstrom assists customers in every phase of the shopping process. Because they carry more specialty goods, customers will need and want more assistance leading to increased value of customer service. One of their policies is that they will accept any merchandise that people bring back without asking any questions. As a result, people feel more confident about purchasing products from there, since they can buy something with the comfort and knowledge that Nordstrom has an excellent return

    Read More

  • Walmart Part 3 Case Study

    2338 Words  | 5 Pages

    How does managerial planning for Project Impact take place at different levels within the organization?

    Read More

  • Walmart Case Study

    1305 Words  | 3 Pages

    Sam Walton, who first purchased a branch of the Ben Franklin Stores from the Butler Brothers, founded Wal-Mart. When he took over this franchise, his marketing strategy was the same and remains the same: selling products at low prices. By selling products at low prices, he is able to get higher-volume sales at a lower-profit margin. To make the lowest prices possible, he found suppliers that charged a lower price than the other stores nearby. This continues to be a primary strategy that induced Wal-Mart to currently being the largest retailer in the world. In effort to maintain their status as one of world’s most valuable companies, Wal-Mart has been exploiting employees and impoverished nations, ruining competition, and placing pressure on the U.S. government.

    Read More

  • Strategic Analysis Of Nordstrom's Strategic Human Resource Management

    967 Words  | 2 Pages

    With Nordstrom, everything starts with the hiring process. Their hiring strategy is to recruit sales employees who are motivated, but also nice (Spector

    Read More

  • Cost And Consumer Value: The Benefits Of Customer Value

    2044 Words  | 5 Pages

    We always make sure that when they come to our stores they experience the best shopping and that they find what they want to buy and we have a reason for them to buy. We make sure that our merchandising is up to standards and it motivates the customers to shop in our stores.

    Read More

More about Nordstrom Case Study

Open Document