Retail - McGraw-Hill Introduction to Business

Macy’s Will Close 125 Stores and Lay Off 2,000 Employees

February 6, 2020

As the country’s largest department store chain, Macy’s has hundreds of locations nationwide and earned more than $25 billion in sales in 2018 alone. Still, the last few years have not been easy for the retailer as more consumers turn to e-commerce outlets like Amazon for their shopping needs. Meanwhile, discount retailers like TJ Maxx and fast-fashion brands like H&M are also winning over shoppers with wide selections and great deals. After struggling to keep up with all of this Continue reading →

Retail, Pricing, Operations Management, Product Distribution, Human Resources, Layoffs, E-commerce

Chapter 1: Taking Risks and Making Profits, Chapter 9: Production and Operations Management, Chapter 11: Human Resource Management, Chapter 13: Marketing, Chapter 14: Product and Price, Chapter 15: Distribution, Bonus Chapter B: Technology and New Media

New York Grocery Chain Fairway Files for Bankruptcy

January 23, 2020

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In 1933 Nathan Glickberg opened a fruit and vegetable stand in Manhattan before eventually moving into a nearby storefront. His grandson Howie expanded the store in the 1970s, adding more groceries and specialty items as well as a new name: Fairway. In the years since, the store became a staple for many New Yorkers drawn by Fairway’s low prices and wide selection of quality products. Then in the early 2000s a private equity firm bought a controlling stake in the Continue reading →

Food & Drink, Forms of Ownership, Private Equity, Branding, Retail, Amazon, Marketing, Product Distribution, Ethics, Bankruptcy, New York

Chapter 1: Taking Risks and Making Profits, Chapter 4: Ethics and Social Responsibility, Chapter 5: Forms of Business Ownership, Chapter 13: Marketing, Chapter 14: Product and Price, Bonus Chapter A: Business Law

Americans Spent Big Online during the 2019 Holiday Season

January 7, 2020

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The holiday season is the most important time of the year by far for the nation’s retailers, with many earning as much as 40 percent of their annual sales during that period. Fortunately for them, 2019’s holiday sales increased by 3.4 percent compared to the previous year. Retailers are especially relieved since Thanksgiving arrived six days later than it did in 2018, which took away crucial time that companies could have used to drive sales.

To make up for Continue reading →

Promotions, Retail, Supply chains, Marketing, Transportation, Product Distribution, E-commerce, Shipping, Holidays

Chapter 1: Taking Risks and Making Profits, Chapter 4: Ethics and Social Responsibility, Chapter 9: Production and Operations Management, Chapter 13: Marketing, Chapter 15: Distribution, Chapter 16: Place and Promotion, Bonus Chapter B: Technology and New Media

Self-Ordering Kiosks at McDonald’s Lack Cash Capabilities

November 14, 2019

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Earlier this year, McDonald’s spent $300 million acquiring a data analysis and artificial intelligence startup called Dynamic Yield. Along with providing the fast food chain with tons of information about its operations, this new technology will also help the company upgrade its growing fleet of self-ordering kiosks. Customers can place orders on these large touchscreens rather than wait in line, which the company claims improves efficiency and increases sales. As a result, McDonald’s wants to place these machines in as Continue reading →

Cash, Food & Drink, Operations Management, Retail, Global, McDonald’s, Ethics, Regulation, Legal, Product Distribution

Chapter 1: Taking Risks and Making Profits, Chapter 3: Globalization, Chapter 4: Ethics and Social Responsibility, Chapter 9: Production and Operations Management, Chapter 14: Product and Price, Chapter 20: Money and Financial Institutions, Bonus Chapter A: Business Law, Bonus Chapter B: Technology and New Media

[VIDEO] How Toys ‘R’ Us Went Bankrupt

November 8, 2019

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In 2017 Toys ‘R’ Us filed for bankruptcy under the weight of billions of dollars in debt. Six months later all of the retailer’s stores had closed with their stock liquidated and staff let go without severance. This in-depth video chronicles the rise and fall of this former “category killer,” detailing how the retailer’s bankruptcy changed the toy industry as well as the lives of its former workers.

Questions:

How did the bankruptcy of Toys ‘R’ Us affect its Continue reading →

Americans Spend $490 Million on Pet Costumes for Halloween

October 31, 2019

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For this year’s Halloween festivities, Americans will spend an estimated $8.8 billion on items like candy, decorations, and costumes designed for all walks of life. Along with shelling out $3.2 billion on outfits meant for kids and adults, consumers will also spend $490 million on costumes for their pets. According to a recent survey, 51 percent of dog owners plan to dress up their pups for the holiday, spending an average of about $20.

Retail experts say the popularity Continue reading →

Retail, Halloween, Seasonal, Marketing, Social Media

Chapter 1: Taking Risks and Making Profits, Chapter 13: Marketing, Chapter 14: Product and Price, Chapter 16: Place and Promotion, Bonus Chapter B: Technology and New Media

Deepening Discounts Cut into Retailers’ Profits

October 22, 2019

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The last couple of years have not been kind to brick-and-mortar retailers: since 2017 more than 50 companies have gone bankrupt and 21,000 locations have closed across the country. Instead of heading out to stores, many modern consumers now depend on Amazon for their shopping needs. Along with providing convenience, the e-commerce giant also offers everyday low prices as well as major sales events like Prime Day. In response, many traditional retailers have started offering deep discounts in an effort Continue reading →

Retail, Pricing, Amazon, Marketing, Product Distribution, E-commerce, Markdowns, Promotions

Chapter 1: Taking Risks and Making Profits, Chapter 13: Marketing, Chapter 14: Product and Price, Chapter 15: Distribution, Chapter 16: Place and Promotion, Bonus Chapter B: Technology and New Media

Food Delivery Startups Expand into Groceries

October 4, 2019

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In recent years food delivery startups like Postmates and Doordash have grown into multi-billion dollar operations by bringing takeout from all sorts of places directly to customers’ doors. But these companies don’t just service restaurants: people can also order everyday items from Walgreens or 7-Eleven and receive them hours later. Of course, consumers are more familiar with Postmates and Doordash as takeout services, not grocery delivery companies.

As a result, both startups are brokering deals with retailers and supermarkets Continue reading →

E-commerce, Food & Drink, Product Development, Retail, Transportation, Entrepreneurship, Product Distribution, Delivery

Chapter 1: Taking Risks and Making Profits, Chapter 6: Entrepreneurship, Chapter 9: Production and Operations Management, Chapter 13: Marketing, Chapter 14: Product and Price, Chapter 15: Distribution, Bonus Chapter B: Technology and New Media

Forever 21 Files for Bankruptcy

October 1, 2019

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In the early 2000s, fast fashion brands like Zara and Forever 21 exploded in popularity by providing the latest trends at cut-rate prices. But while the former continues to thrive, this week Forever 21 announced that it would declare bankruptcy after years of declining sales. Along with closing up to 178 stores in the U.S., the retailer will also cease operations in more than 40 countries. Hundreds of domestic locations, as well as Forever 21’s website, will remain open. “What Continue reading →

Clothing, Retail, Fashion, Global, Product Distribution, Bankruptcy, E-commerce, Forever 21

Chapter 1: Taking Risks and Making Profits, Chapter 3: Globalization, Chapter 13: Marketing, Chapter 14: Product and Price, Chapter 15: Distribution, Bonus Chapter A: Business Law, Bonus Chapter B: Technology and New Media

Used Apparel Offers New Opportunities for Clothing Retailers

September 3, 2019

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In the days before e-commerce, department stores like Macy’s and J.C. Penney were the ultimate shopping destinations for millions of consumers. But with Amazon now dominating much of the retail world, these companies can no longer attract the same crowds as they did in their glory days. While Macy’s recently fell far short of its second quarter sales estimates, J. C. Penney has lost a total of $101 million so far in 2019.

In order to make up for Continue reading →

Product Distribution, Macy's, E-commerce, J. C. Penney, Product Development, Retail, Sustainability, Resale

Chapter 1: Taking Risks and Making Profits, Chapter 4: Ethics and Social Responsibility, Chapter 13: Marketing, Chapter 14: Product and Price, Chapter 15: Distribution, Bonus Chapter B: Technology and New Media