Author Diane Hughes SEARS HISTORY Richard Sears was agent of the Minneapolis andSt. Louis railway station. He sold lumber and coal to local residents in his spare time. When he received a shipment of unwanted watches he purchased himself and began selling them at a good profit to other station agent up and down the line. In 1886 Sears began the R. W. Sears Watch Company. In 1887 he moved the business to Chicago and put an adin the local paper for a Watchman. Alvah C. Roebuck answered the add This was where the association of these two men began.
In 1893 they form the corporation of Sears, Roebuckand Co. A few years earlier wholesale price of barrel of flour was Listed at $3. 47 but the retail price was closerto $7. 00. This made the farmer angry and they formed a movement against the high prices and the “middleman”. Sears Roebuck and co. , were the answer to the framers’ problems. Thanks to volume buying,they offered a happy alternative to the high priced rural stores. Sears adopted the motto “Shop at Sears and save”. Because this was true for the farmers Sears prospered and grew.
Millinery, wagons, fishing tackle, stoves, furniture, china, musical instruments, saddles, Firearms, buggies, bicycles, baby carriages and glassware, in addition to watches and jewelry. Under Sears’s leadership, sales in 1893 topped $400,000. Two years later they exceeded Organizing the company so it could handle orders on an economical and efficient basis. That Was left to Chicago clothing manufacturer Julius Rosenwald, who bought into the company in The company’s reorganization resulted in Rosenwald becoming vice president.
Andleased throughout Chicago. Meanwhile construction was started on 40-acre, $5 million Mail order plant and office building on Chicago West Side which opens in 1906. At the time this Was the largest business building in the world? An office was open in Dallas, Texas in 1906 as Well and 5 years later began a mail order plant. Giving Sears a lower freight rate, faster deliver Sears and Roebuck and Co. began selling sold common and preferred stock on the open market Sear sold pre built Home andmotor buggies for a short while.
Sears did not open it first retail Stores in1925. The Christmas Cataloged was printed in 1933. In 1953 Sears launched its own credit Card. In 1973 Sear Moved into the Sear Tower the tallest buildsin the world. The slogan for the Company at this time was”Where AmericaShop”. In 1995 Sears accepts Visa, MasterCard and American Express credit cards. Sears moves its headquarters to Hoffman Estates, Ill. In 1993 the “Big Book” catalog is discontinued. Sear begins there computer presents with more than 5,000 Craftsman tools available online in 1997. The good life at a great price, guaranteed” ad campaign Debuts in 1998. Also in 1998 Sears Direct is launched, combining specialty catalogs, telemarketing, Direct mail and the Internet into one, customer-responsive function. A year later Sears launches Sears. com… At beginning of century Sears initiates the Customer Care Network, providing customers Witha single point of contact. Sears acquires Lands’ End, the largest specialty apparel catalog Company and seller of apparel on the Internet in the U. S. In March of 2005 Merger of Kmart and Sears As Sears Holdings.
Mission Statement · treat everyone fairly and value diversity; · be accountable for our actions; and · win as a team. Sears Organizational Strengths The Sears principle of decentralized retail administration is now the cornerstone of organization (Robert E. Wood as quoted in Worthy 1984: 119–120) Sears has several known brand goods, e. g. , Craftsman, Lands’ End, Kenmore and all of Their merchandise that carries their own brands, such as Lands’ End Oxford Express brand of shirts (Halligan, 2002). Sears has an extensive customer database. Prentice-Hall, 2003). This is due to the company’s key success factor of superior customer service. SEARS ORGANIZATIONAL WEAKNESS Sears has allowed their reputation and sales volume to plummet because they did not keep Too much diversification within the company; the focus was moved away from retail Hall, 2003). Many of the retail stores are in disrepair and not reflective of the needs of today’s consumer (Prentice-Hall, 2003). Operating expenses are higher than competitors (Prentice-Hall, 2003). SEARS OPPORTUNITIES
Bargaining Power of Buyers this could go both ways, for instance like the apparel and small home products would be more price sensitive, but things like in the automotive section could become more costly because of higher switching cost. Although, things could be a little different in terms of bargaining power from product to product, Sears still has an inside hand with relative bargaining power. They have been working with their suppliers so long that they have developed strong relationship that help them lower their prices by increasing their buying volume, which in turn lets them buy for less.
Bargaining Power with suppliers because of the many different products they sell it could be a little different from supplier to supplier. But again Sears has been working with its suppliers so long that it has gained barging power over them to allow them to insure low prices when it comes to their supplies. Sears Threats The retail industry is highly competitive with both old names, like Wal-Mart and Target, physical buildings (Prentice-Hall, 2003).
Departments, like women’s apparel are constantly under siege from other stores who capitalize on the notion of quality clothing and sales, such as Liz Claiborne (Prentice-Hall, 2003). capitalize on the notion of quality clothing and sales, such as Liz Claiborne (Prentice-Hall, 2003). More and more discount stores are opening, further driving sales in certain departments at Sears lower, such as all apparel departments (Prentice-Hall, 2003). Reference http://manonamission. blogspot. com/ Consumer Electronics – Sears, Roebuck and Co – Brief Article www. searsarchives. com www. searsholdings. com