Ms Haron – GCSE Business - 20/01/16 P4 - Cover workKen C. Hicks, Chairman and Chief Executive Officer of Foot Locker, the New York-based specialty athletic retailer, announced an updated strategic plan and set of operating initiatives intended to raise the Company’s long-term financial performance for the period 2012 -2016.

“Given that we are only two years along in a five-year plan, we have more progress to make on the current initiatives we established to achieve our vision of being the leading global retailer of athletically inspired footwear and apparel. However, because we have already achieved several of our initial financial

goals, and because we have identified significant new opportunities that we believe can drive our business to even higher levels of performance, our team has updated our strategic priorities and actions, as well as our long-term financial objectives.”

Specifically, the Company’s new strategic priorities are: Create a clear customer focus to drive performance in its core athletic banners Sales of $7.5 billion Sales per Gross Square Foot of $500 Make its stores and internet sites more exciting, relevant places to shop and buy Deliver exceptional growth in high-potential business segments Aggressively pursue brand expansion opportunities Increase the productivity of all of its assets Return on Invested Capital of 14 percent Build on its Industry Leading Retail Team Mr. Hicks concluded, “The entire team at Foot Locker, Inc. deserves a tremendous amount of credit for all they have accomplished in such a short amount of time. One of the strengths of our team is its clear focus on the future, and meeting these new financial objectives will require us to reach well beyond what the Company has ever achieved as Foot Locker, Inc. Given the strength of the Company and the opportunities we see ahead of us, we believe we are well-positioned to succeed.”

Task 1 - Next to the objectives above, write F if it is financial and NF if it is Non-Financial.

Now we have covered Objectives, we are moving on to unit 1.4. In this unit we will learn about...• Customer focus/Satisfaction• The marketing mix• Limited liability• Legal & tax issues • On-time delivery• Customer satisfaction• Recruiting, training & motivating staff

Task 2 - Complete the blanks in the text below

Ms Haron – GCSE Business - 20/01/16 P4 - Cover work

Task 3 – Write the rules for good customer service in the correct column

Task 4 – Answer the following 3 MCQs.1. Which two of the following are the best examples of effective customer service? Select two answers.A Selling large quantities to customersB Fulfilling customer orders accuratelyC Holding a Christmas sale to dispose of stockD Dealing promptly with customer complaintsE Having no repeat purchases

2. Hay’s is a small pizza business offering either take-away pizza from its shop or a pizza delivery service. Select one answer.A otherwise stocks would be too lowB it creates more jobsC it helps improve cash flowD it leads to customer satisfaction

3. Witton Industrial Ceramics is a business that manufactures and sells pottery. Repeat purchases from customers are most likely to be important to the success of Witton Industrial Ceramics because they increase:

A fixed costsB pricesC sales turnoverD venture capital

Select one answer

Task 5 – Answer the questions on the case study:

Ms Haron – GCSE Business - 20/01/16 P4 - Cover work

Answer the following questions in your exercise book:1. Explain the importance of dealing with complaints to the success of Libby’s business. (6 marks)

1 mark – define what customer service is 1 mark – use an example from the text how Libby is giving good customer service2 x 2 marks – state one reason dealing with complaints is important and explain it.

2. How does repeat business contribute to the success of Libby’s business? (3 marks)3. Explain how either Tesco, JD, Nike or Apple meet, anticipate, identify and exceed customer needs? (4 marks)

Task 6 – Answer the extension questions1. Extension 1 – Explain how poor customer focus impacts on business (at least a paragraph)2. Extension 2 – Write a list of companies known for good/poor customer service. E.g. Good = Waitrose Bad = Ryanair