I didn't have time to post the last night, therefore I'm posting this late as this occurred yesterday (Sat 9/8/12).
I finally watched a video on the internet that my co-workers told me about a few months ago. It is JCP's Launch Event Presentation to the investors. Ron Johnson and Michael Francis presented JCP's new strategy on January 25, 2012 in New York City. Ellen DeGeneres and Martha Stewart also spoke briefly. J.C. Penney Corporation is a chain of American mid-range department stores based in Plano TX. The company operates approximately 1,107 department stores in all 50 U.S. states and Puerto Rico. Most JCPenney stores are located in suburban shopping malls. In addition to selling conventional merchandise, JCPenney stores often house several leased departments such as Sephora, Seattle's Best Coffee, optical centers, portrait studios, and jewelry repair.
I enjoyed the 93 minutes presentation and the strategy sounded great, however, it is not doing great since that day. The week after this presentation (on February 1, 2012), JCPenney began a new pricing method, with "Every Day" prices on most days reflecting what used to be sale prices, "Monthly Value" for certain items every month in place of sales, and "Best Price" the first and third Fridays of each month, tied to paydays. Prices would also not end in 9 or 7, instead using whole figures when pricing items. In April 2012, the company announced plans to trim its workforce, laying off nearly 13% of its home office staff in Dallas, and closing a call center in Pittsburgh. In June 2012, the company announced that Michael Francis, the company's president, was leaving the company, after only 8 months on the job. In July 2012, the company announced that it was laying off 350 more workers at its headquarters. In August 2012, JCPenney began rolling out a Shops strategy in stores. The shops are described as stores-within-a-store, planning to eventually roll out 100 shops in 683 stores. The first shops include Levi's, The Original Arizona Jean Co. and i jeans by Buffalo. That month, the company posted a 2nd quarter comparable-store loss of 22%, with internet sales dropping 33%. At an analyst meeting in New York the same day, CEO Ron Johnson said, "I’m completely convinced that our transformation is on track." JCPenney's stock rose 5.9% on Johnson's comments at the analyst meeting, the largest single-day stock increase since late January 2012. The "secret" prototype store is located on the 3rd floor of the store at Valley View Center in Dallas, which has been closed to the public.
What did you do today?
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