Sears: Another Rough Holiday Season

Sears: Another Rough Holiday Season
Well, I posted in December and mentioned I was impressed with Sears' holiday marketing campaign. With a dip in holiday sales and the "release" of CEO Aylwin Lewis, it's clear that it didn't do the trick. Of course, Sears is hardly the only retailer that had a rough holiday season, but same store sales have been falling for some time now.

So, first off, was the campaign a failure? I don't necessarily think so. Unfortunately, marketing--by itself--cannot save a retailer. It has to be backed by a differentiated offering and superior customer experience. I think Sears did some things well this holiday season, but they still aren't capitalizing on their strongest brands while some stores need upgrading.

I think the "Can Sears be Saved" article in Forbes offers a pretty good analysis. Maybe the "Wish Book" campaign can still do this--it's just a case of better highlighting the brands. Then again, it might be easier to reposition the respective brands as category leaders by really focusing on them and making Sears the true background story--not that Sears needs another change in marketing strategy.

Assuming Lampert is serious about retail, it should be interesting to observe. They still have a powerful enough portfolio of brands to make a comeback, but the longer they take to get serious, the harder it's going to be.

Source: brettdalybusiness.blogspot.com

Carpet Cleaning Tips for Homes With Kids and Pets Posted By : Jim Thornton
When you live in a home with kids, pets and their subsequent messes, the carpets quite often will start to look old and dirty long before their due. Kids and pets can wreak havoc on your carpeting but with the right maintenance you can overcome any damage. Following some very easy carpet cleaning tips will help your carpet return to that like new appearance and maintain it for many years to come.
Source: www.articlesphere.com

Is Wal-Mart Weakening?
This article raises the question. And, in the eyes of investors, it's probably true. But, it's simply because Wal-Mart is struggling to grow at the amazing rate in which they did in the past. They're also experiencing some bumps because their customers are the most price sensitive, so they're most impacted by high gas prices.

With this all said, they'll be as strong as ever for those businesses competing against them. And, they'll surely look for ways to expand and increase their growth rate. Wal-Mart has a mediocre history in diversifying outside of the Wal-Mart brand--even Sam's Club isn't a home run--so it'll be interesting to see what their next move is.

Source: brettdalybusiness.blogspot.com

White House, Baucus in deal with drug industry on seniors' Medicare
CBC Jun 21 2009 3:46PM GMT
Source: c.moreover.com

Can Sears Rebound?
Sears has seen its same store sales and overall profit decrease recently. Since Edwart Lampert has taken over as chairman, some have wondered whether his emphasis on margins over store investment would ultimately hurt the chain. While the picture isn't nearly as bleak as it is for his other chain KMart, where the store experience is just terrible due to virtually no store investment and a lack of employees, improving the customer experience at Sears is critical.

I still wonder if his ultimate plan is to maximize upon the real estate value he holds through the two chains. For example, here in the Rochester area, Eastview Mall is a popular high-end mall. So I could see a new-to-the-area chain looking to buy out the Sears space, and then Sears would move across the street to the KMart space, as KMart isn't a good match for the market. If that were the case, it still makes investing in Sears stores very important.

On the bright side, I'm impressed with their holiday Wish Book campaign. The ads focus on the emotional side over just products by telling stories, and they seem to be using direct mail and newspapers to send out numerous "Wish Books" that reinforce the message and provide product information. It's the best campaign I've seen from Sears in years, and from visiting two stores recently, they seem to be trying to fulfill the promise. So, maybe they're starting to get it again.

Source: brettdalybusiness.blogspot.com

Wyatt survey shows drop in older workers' confidence in retirement security
CCH Business & Corporate Compliance Jun 21 2009 1:59PM GMT
Source: c.moreover.com

Pharmacy Law: Pharmacist Alleges Age Discrimination in Hiring
Pharmacy Times Jun 21 2009 3:30PM GMT
Source: c.moreover.com

The Weak Dollar & the Deficit: A Recipe for Disaster?
The New York Times recently published an interesting editorial regarding the weak American dollar. Interest rates are becoming particularly difficult to forecast of late, and the erratic market activity isn't helping. Governmental spending has led to a massive deficit in recent years. The obvious to way to fix the problem is through boosting savings, which would of course require the current administration to end certain tax cuts and reign in spending. So, instead, they've let the dollar slide.

On the bright side, a weaker dollar results in more affordable American imports. But, it's critical for that weaker dollar to be teamed with a positive savings rate. Unfortunately, that's not the case. As long as the United States is forced to look abroad to fund its debts, there's the risk that they'll require a higher interest rate thanks to the weaker dollar and the added risk that comes with it. A higher interest rate could be a crushing blow to the domestic economy. It would cripple business and consumer spending.

So, in a nutshell, as long as our deficit is significant, there's the risk creditors will require more interest to continue to fund our spending. Consequently, the Federal Reserve won't have much say when it comes to interest rates. That's just how it goes when you spend more than you have--you lose the perks that come with responsible spending. Clearly, it's vital not to roll the dice like this, so hopefully we'll see a shift in policy in the near future.

Source: brettdalybusiness.blogspot.com

Boeing's Outsourcing Strategy with the 787
I've been reading Boeing Versus Airbus, and Boeing's new outsourcing strategy with the 787 caught my eye. This new strategy has shifted a good amount of the manufacturing work to Japan, China, and Europe. In fact, Airbus' parent company is building the aft pressure bulkhead. The reasons for each outsourcing decision varies, from market access, to capital access, to cost reduction. Boeing is outsourcing over 70% of the airframe--that gives you an idea of the extent of this new strategy.

In the near-term, this is probably a good move. It'll keep their costs stable (or reduce them), it'll provide them with leverage when negotiating with unions, and it'll give them access to additional expertise. But, will it benefit them in the long run? Or will it enable a new Airbus to come about in China and/or Japan? It's difficult to say, but that's the risk when it comes to outsourcing core competencies. It should give them a real cost advantage against Airbus over the next few years, but others may come about and undercut both companies down the road.

Source: brettdalybusiness.blogspot.com

Why You Should Use A Professional Electrician Posted By : Harry Young
Most people are sensible when it comes to working with electricity: they call in a professional or someone who is qualified. Carrying out electricity work isn't like plumbing work. Anyone with basic DIY skills can change a tap. If you do it wrong, you'll get wet. Botch an electricity job and you can die.
Source: www.articlesphere.com