Access over 20 million homework & study documents

The Decline Of Sears

Content type
User Generated
Subject
Management
School
Saudi electronic university
Type
Homework
Rating
Showing Page:
1/4
Running head: THE DECLINE OF SEARS 1
The Decline of Sears
Student's Name
Institutional Affiliation
Instructor's Name
Date

Sign up to view the full document!

lock_open Sign Up
Showing Page:
2/4
THE DECLINE OF SEARS 2
The Decline of Sears
1. What is the underlying problem in this case from Edward Lampert's perspective?
Sears Holding Corporation was the most iconic retailer in the United States under the
management of Edward Lampert but declined rapidly over the years. Lampert stated that the
company's downfall was attributed to changes in customer spendings which spread over the
years. Lampert also maintained that innovative business models and online competition
negatively affected whole foods in the stores (Kinicki & Williams, 2011). Another reason that
led to Sear's collapse was its unfair media coverage which dented the company's image to the
public, crippling its efforts to make progress.
Additionally, Lampert said that the growth of e-commerce adversely affected their retail
stores. E-commerce changed consumer behavior as potential customers preferred shopping
online rather than in retail shops (Kinicki &Williams, 2011). In other words, customers preferred
ordering goods and services via websites because it was reliable and convenient.
2. What are the key causes of Sears' decline?
Sears continued dominance declined in 2018 due to constant financial problems and
deterioration in sales and revenues. One of the factors that led to Sears' downfall is its lack of
continuous innovation (Kinicki &Williams 2011). Despite some of its previous inventions like
the catalog, retail stores, and the discovery credit card, enabling customers to access and
purchase goods at a reduced price, Sears' brilliant insights deteriorated, leading to its collapse.
When Sears' competitors such as Walmart and Amazon embraced the discount retailing
technique, they captured larger market shares, thereby shrinking Sears' customer base.
Another reason that led to Sears' decline is its inability to reinvest in the business. For
instance, Lampert, the CEO of Sears, stopped upgrading its stores, making them look worn-out

Sign up to view the full document!

lock_open Sign Up
Showing Page:
3/4

Sign up to view the full document!

lock_open Sign Up
End of Preview - Want to read all 4 pages?
Access Now
Unformatted Attachment Preview
Running head: THE DECLINE OF SEARS 1 The Decline of Sears Student's Name Institutional Affiliation Instructor's Name Date THE DECLINE OF SEARS 2 The Decline of Sears 1. What is the underlying problem in this case from Edward Lampert's perspective? Sears Holding Corporation was the most iconic retailer in the United States under the management of Edward Lampert but declined rapidly over the years. Lampert stated that the company's downfall was attributed to changes in customer spendings which spread over the years. Lampert also maintained that innovative business models and online competition negatively affected whole foods in the stores (Kinicki & Williams, 2011). Another reason that led to Sear's collapse was its unfair media coverage which dented the company's image to the public, crippling its efforts to make progress. Additionally, Lampert said that the growth of e-commerce adversely affected their retail stores. E-commerce changed consumer behavior as potential customers preferred shopping online rather than in retail shops (Kinicki &Williams, 2011). In other words, customers preferred ordering goods and services via websites because it was reliable and convenient. 2. ...
Purchase document to see full attachment
User generated content is uploaded by users for the purposes of learning and should be used following Studypool's honor code & terms of service.

Anonymous
Very useful material for studying!

Studypool
4.7
Trustpilot
4.5
Sitejabber
4.4