Sunday, November 17, 2019
Case Analysis, Turnaround of JC Penny Assignment
Case Analysis, Turnaround of JC Penny - Assignment Example With the rapidly changing customer lifestyle and preference, the retailer can look into modifying its offerings like including more low-priced items in its merchandise. JCPenney can also take advantage of globalization by opening new stores in rapidly developing economies. 1. Pursue relationship marketing. Relationship marketing is now becoming essential in recognition of the lifetime value that repeat transactions from a single customer can bring. Relationship marketing will help JCPenney by cultivating customer loyalty, lowering transaction costs, and more targeted marketing. However, this new strategy will be bringing in more costs; will necessitate the introduction of a new corporate culture; and training of human resource. 3. Improve pricing. Since customers are searching for trendy yet high value products, JCPenney should improve its pricing. Improved pricing will attract more customers, heighten demand, and gain their loyalty. However, price cuts might harm the company by reducing margins and erode company's image. This case analysis recommends that the best strategy that JCPenney can pursue is relationship marketing. The company can implement this through its database of customers.