Research Paper On Macy's

Innovations are all over this world. Everything from the cash register, to the credit card that we use to buy the things that we desire the most. In this paper it will show how the innovation used can make one company were successful, then on the other hand how the other company chose not to keep up with innovation, which caused a decrease in sales.

To achieve my goal in this paper, I have sectioned it into two parts. Each sections has sub-sections to show the innovations that were used, or not used. I have provided examples of which what was taken place for the company to become either successful or not as successful. The two companies that I am going to talk about in this paper is Macy’s and Kmart. It will explain how Macy’s was started and what steps they took to become successful, also what innovations they put into place.

Macy’s first opened in 1858, that was first started as a small fancy dry goods store. Macy’s was the first to introduce

the tea bags, Idaho baked potato, and color bath towels. Who knew that it would expand to be one of the largest retailers in the world.
The world of technology is advancing everyday with the use of a smart phone and credit card, e-payments have climbed to top of innovations chain. An e-payment is the subset of an e-commerce transaction to include electronic payment for buying and selling goods and services offered through the Internet.
The first company with the use of e-payment was PayPal.

PayPal was created in December of 1998. It was created to transform money for people and businesses through technology. “Macy’s has a long history of business innovations. They are constantly building on the foundation, finding new talent, technology and marketing to surprise.” They strive for new innovations because they want to surprise customers, creating a pleasant experience every time. For example some of the innovations that Macy’s invests in are using tablet computers in selected store. After a couple years of retailers started broadening their options to payments in 2015. Macy’s has now offered the option to pay with PayPal off of a personal smartphone. With the innovation of the smartphone it now makes this an option to offer at Macy’s.There have been results that revealed that many cities have big-box retail such as Macy’s, have typically adopted various regulations such as design and technology. At the end of 2015 Macy’s Net Sales were 28.11

billion.
“K Mart's brand meaning has lost its relevance”.
It seems impossible to believe but Sam Walton once had Kmart envy. Sam Walton was the founder of Wal-Mart, which opened the same year as Kmart, in 1962. “Kmart was an example of how to do everything right.” said Howard Davidowitz. Kmarts success was short lived. “Today the creator of Blue Light special is on red alert, shutting down dozens of stores.” (Schultz). Kmart has had many opportunities to make it an amazing chain, but they failed to step it up. For example failure to upgrade the stores was a big problem. If Kart would of made that innovation it might had a fighting chance. “There is no love from people for Kmart,” said Doolittle. McMillian is a retired founder of McMillan Doolittle retail consulting firm in Chicago.

A major problem is that they lack to have something different about them, from all of the other retail stores in the world. Some solutions that I would give Kmart are that if they have an opportunity to update with technology and the store then they should do it. An innovation idea that Kmart should use is that they should update all of the older computers and make a new reward system. What could happen is they create an app that stores all of the customers information on their smart phone and when it is time to check out the cashier scans the phone for the reward app. With this idea they could also expand it even further and have it where customers could use the phone to pay and their receipt would be emailed to them with the data from the app.