Sears Case Study Solution

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Sears has an internal issue that is forcing experience and talent to seek employment with other organizations. Their current leadership including the CEO is under investigation on whether Sears and/or its officers and directors violated state or federal securities laws. This was due to the $400 million loan from ESL Investments, which is owned by CEO Edward Lampert (Kahn, 2015). The CEO is also an area of concern. Sears has a multitude of assets, since he has taken the office of CEO many of those assets have been liquidated and very little have been invested into the recovery of Sears. He has no clear direction or strategy to lead Sears, increase growth or market share. It has also been suggested they he is the reason for the high turnover of the top executives (Bhasin,
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It also helps to determine which units have an abundance of resources and which needs resources. It also helps to identify what area should be eliminated and which should be cultivated. Sears Holdings has three divisions, Kmart, Sears, and Sears Canada. This matrix identified Kmart and Sears as Question Marks. This means that these areas need to be cultivated and they need resources to improve sales and increase market growth. It further showed that Sears Canada is under performing and needs to be liquidated, however although Sears Canada is under performing I believe with the right resources and attention the division could recover.
The Space Matrix The space matrix or Strategic Position and Action Evaluation Matrix tool used to assist in the creation of alternate strategies. This evaluation of sears determined that Sears Holdings is only competing “fairly” and not taking advantage of opportunities. The company needs to update stores and appeal to the younger generation to increase their competitive

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