busi 1200 strategy first company presentation lowe’s home improvement (low) joanna andrews ...
TRANSCRIPT
BUSI 1200Strategy First
Company Presentation
Lowe’s Home Improvement (LOW)
Joanna Andrews November 12, 2012
BUSI 1200Strategy First
Agenda
• Overview
BUSI 1200Strategy First
Agenda
• Overview• Product
BUSI 1200Strategy First
Agenda
• Overview• Product • Competition
BUSI 1200Strategy First
Agenda
• Overview• Product • Competition• Performance
BUSI 1200Strategy First
Agenda
• Overview• Product • Competition• Performance• Summary
BUSI 1200Strategy First
Agenda
• Overview• Product • Competition• Performance• Summary
BUSI 1200Strategy First
ABC Company
Overview
BUSI 1200Strategy First
Overview
• History• Founded: 1946 by Lucius Lowe• Dream: To extinguish wholesalers - deal only with manufacturers
• Original name: North Wilkesboro Hardware Company (NC)
BUSI 1200Strategy First
History (Cont’d)
• Corporate facilities: Mooresville & Wilkesboro, NC
How are they doing? 2nd largest home improvement retailer worldwide Operations in Canada & Mexico 1,745 stores & 248,000 employees
BUSI 1200Strategy First
ABC Company
Industry and Products(15 Product Categories)
BUSI 1200Strategy First
Home Improvement Industry & Product
Kobalt® allen+roth®
Harbor Breeze® Task Force®
BUSI 1200Strategy First
Home Improvement Industry & Product (Cont’d)
Core competencies: Diverse brand differentiation – private
brands Gatehouse® (key locks, door knobs),
Lowe’s Garden Club Select™, etc. Customer focus Removal of wholesaler
BUSI 1200Strategy First
Lowe’s Commercial
http://www.youtube.com/watch?v=jK6w1_D1GdE
BUSI 1200Strategy First
ABC Company
Competition
BUSI 1200Strategy First
Competition
• Competitors: The Home Depot, Inc.; Ace Hardware Corporation; The Sherwin-Williams Company
• Competitors products• HD & Ace Hardware: Appliances, décor, flooring, paint, bath, power equipment; etc.
• SHW: Paint
BUSI 1200Strategy First
Competition (Cont’d) - Strategy
Customers #1 – DIY programs Low prices Children’s programs My Lowe’s Card; support Advanced IT Online shopping
BUSI 1200Strategy First
ABC Company
Performance
BUSI 1200Strategy First
Performance
FORTUNE ® 100 companyPublic sent 1961
BUSI 1200Strategy First
Performance (Cont’d) – Competitor Comparison
BUSI 1200Strategy First
Social Responsibility & Environmental Sustainability
1,660 education projects 2, 396 community improvement
projects Community: Aided in creating a
greenhouse for the Sumter County Career Center in Sumter, S.C. ($10,000 grant)
Education: Presented financial and creative aid to middle school students in Charlotte N.C. to renovate the student lounge (Lowe’s Heroes Giving Coast to Coast)
BUSI 1200Strategy First
Social Responsibility (Cont’d)
Partnerships: Habitat for Humanity American Red Cross Rebuilding Together (home
rehabilitation program)
BUSI 1200Strategy First
ABC Company
Summary
BUSI 1200Strategy First
SWOT Analysis
Strength:- Private brands- Brand differentiation- Quality customer service
Weakness: - Past class-action lawsuits
about pay system- Number #2 in leading
home improvement arena- Product recalls
Opportunities:- Environmental sustainability
plans- Online shopping (My Lowes
Card)
Threats:- Economy- Housing market
BUSI 1200Strategy First
Summary
• What are the company’s prospects?• Despite the company’s decreasing positivity in its financial records and number two position in the world-wide and national home improvement chain, I believe the company will spring forward in the coming years. Its advantages in customer service and popular private brands gives the company an edge over its competitors.
BUSI 1200Strategy First
ABC Company
Questions?
BUSI 1200Strategy First
Sources
http://media.lowes.com/about-lowes/ http://finance.yahoo.com/q/co?s=LOW+Competitors http://www.homedepot.com/ http://www.acehardware.com/home/index.jsp http://financials.morningstar.com/income-statement/is.html?t=LOW&culture=en-US http://finance.yahoo.com/q/co?s=LOW+Competitors http://blogs.findlaw.com/courtside/2009/09/lowes-workers-overtime-case-settled-for-295m.html blogs.findlaw.com/courtside/2009/09/lowes-workers-overtime-case-settled-for-295m.html http://www.youtube.com/watch?v=jK6w1_D1GdE http://responsibility.lowes.com/environment/our-programs/our-mission/
BUSI 1200Strategy First