Custom «Home Depot» Essay Paper Sample

Home Depot

Home Depot is an American retail organization charged to deal in home related appliances and services in the global range. The Home Deport Company still remains to be a good business investment even in the future economic market. Despite the troubling economy, Home Deports has well laid down strategies to ensure survival now and in the future. There are vast expanses undertaken by the Depot management to ensure healthy competition in the global market.

There are many reasons why the company is well positioned for competition in the future. The company has some of the most-recognized brands in terms of home improvement. In addition, it has a renewed center on its main values with exceptional provision of customer experience. The company has made logistical advancement   to deliver the right products to the right depot stores at the right time. These are some of the strategies that positively position the company at a better competitive ground. Due to the stanch momentums of operation, the company has stable cash flow strategies leading to the public commitment and financial leverage. Additionally, the 3Q results retrieved from the Depot shows the ability of the company to compete in the global market.

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Throughout the United States of America, there are up to 2,248 format stores dealing in Home Depot products. The main areas covered by these format stores include Colombia district, Guam, Puerto Rico and the islands of Virgin. In addition to the United States, other format stores are located in the 10 Canadian provinces, China and Mexico. The administrative headquarters of Home Depot stores is located in the Greater Atlanta support centre in Cobb Country. Based on the recent revenue reports, it is realized that The Home Deport is the leading retail in improvements throughout US. In terms of magnitude, home depot forms the forth general position in ranking.

Home depot is a public retail industry in found in various parts of the US. The depot stores deal in Home appliances, tools, building materials, flooring, paints, plumbing and garden supplies. Additionally, this retail industry serves four major areas covering US, Canada, China and Mexico. In terms of management, the key people in administration include CEO and the chairman. Currently, the position of CEO is assumed by Frank Blake who took over after Robert Nardelli’s resignation. By January 2011, the organization was reported to have employed 321, 000 workers.

Research Objectives

  • To find out the fate of the Home Depot in the next 5 years
  • To conceptualize the basic management strategies utilized in the Home deport
  •  To understand some of the main problems affecting Home Depot stores
  • To investigate on the exclusive brands included in the Home Depot.
  • To understand the basic operations in the individual branches of every Home Deport.

The major brands realized in depot include Chem- Dry, GE model heaters and HDX. Chem- dry is basically used in the cleaning of carpets, upholstery, tiles as well as grout services. In addition, Home depot deals in the work force related tools such as storage cabinets, shelving, work lights, extension cords, and paints brushes. Supplementary models of interest dealt with in the home deports include Ryobi power related tools, Homelite and Hampton Bay. By February 2012, a new depot brand called HDX was launched so as to assist in improving the quality of the depot’s products.

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With the increasing number of international branches, the Home Deport stores have become well strategized to improve performance modalities. Firstly, the organization is well exposed to gather basic commercial information from the global sector. This basic information would assist the Deports access better ideologies pertaining to the customers’ tastes.  These international branches are strategically positioned so as to provide easy market assessment. The clients therefore find it easy to obtain whatever the goods they feel interested in without any struggles whatsoever.  Another factor of importance in relation to the future performance of the stores entails physical interaction with the customers.  Customers finds it easy to walk to the Home depots and air out their problems in relation the nature of service desired, the variety of goods they would need as well as the mode of packaging they desire.

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The introduction of electronic commercial facilities in Home Depots makes the stores attract more incentives than before. The introduction of e-shopping makes the organization well exposed to more clients than before. In the resent past, the organization only offered physical shopping facilities. In respect to the new form of sopping, the organization is well able to expand its market catchment area as far cover countries where no physical stores exist. In respect to competition, the Home Depots offer the best services which make it stand better chances of winning customers’ favor.

Another strategy used by the organization to help achieve market survival is related to the vast range of brands used in the organization. The provision of offering variety of products makes the Customers find it easier to do their purchases in just one shop. Based on the customers desires to always save time when out for shopping, they normally adopt the trend of selectively attending stalls which offer wide variety of goods. The Home Deports would eventually survive in the future despite its competitors in the global market.

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The incorporation of new marketing strategies engaged in the organization would eventually increase the market catchment of the stores. In addition, the new marketing slogan employed by the organization offers higher chances of improving the Depots’ performance.

Based on the information provided about the sales levels realized in the stores in the resent years, it is evident that the sales rates would increase in the depot. In the 2005, the total amount of sales mounted to US$91.8 billion. In relation to the 2009 sales recorded amounting to $71.288 showing a general trend of sales determent. In relation to this fall in the sales level of products traded by the stores, it was realized that CEO Nardelli had poor management skills. The replacement of Nardelli by Frank Blake, who formerly served as the vice chairman gives the business hopes for improving sales level in future. Based on the financial records retrieved from 2011 financial year, the total revenue, total assets, total equity, operating income and net income amounted to US$67.997 billion, US$40.12 billion, US$18.889 billion, US$5.839 billion and US$3.338 billion respectively.

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The improvements of marketing strategies alongside the slogan change from “you can do it to help” to “more savings, comes from more doing”, a lot of improvement is expected to rock the marketing field. As a result of improved management strategies, the Home depot is well placed to improve its operations which would offer the best ways of attracting the potential customers to venture into more purchases.

In respect to the basic improvements incorporated in the business management, Home Depots is well exposed to higher chances of improved performance. Some of the main strengths of the Depots are factored around the international market control.  This is solely achieved through the incorporation of the Depots in vast number of countries. In addition, incorporation of the company’s website has made it quite perfect for the Stores to advertise its products vividly. The Home Depots marketing and sales strategies employed under the new slogan places the future framework of the organization at a superb point. It can then sum up that proper implementation of the business goals shape the best post of commercial advisements. Finally, incorporation of international branches and e-commerce are the two main pillars founded to support the organization. These have proven valid in the past hence remain strategic even for the better performance of the business in future.

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