Nordstrom’s Background Nordstrom was founded in 1901 as only a shoe retail store in Seattle. Today, Nordstrom is the leading fashion specialty retail market. They are located in 30 states across the nation with most of them positioned on the east and west coast of the United States. Nordstrom also has expanded into other channels of retail. Their variety of retail stores include 116 brick-and-mortar stores, an on-line store, and 105 off-price “Nordstrom Rack” stores. They also own multiple private retail channels, a private sale subsidiary ‘HuateLook’, two ‘Jeffery’ boutiques, one philanthropic ‘treasure&bond’ store, and a clearance store called “Last Chance.” HuateLook is an e-tailer that is based in Los Angeles and offers flash sales on
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Similar department stores, like Nordstrom, operate a similar ratio of full-price to off-price locations. Barneys manages 16 full-line stores and 13 Warehouse locations, Saks Fifth Avenue manages 38 full-line stores and 82 Off Fifth locations, and Neiman Marcus manages 41 full-line stores and 43 Last Call locations. What makes Nordstrom different is their scale of off-price locations. They own 300 Rack stores which simply means that they have a lot more off-pricing stores with more discounted merchandise …show more content…
However, I wouldn’t recommend expanding outside of the United States with their brick and mortar retail channels. I think they should focus on their on-line channels like Huatelook. This way, with e-tailing, Nordstrom will only need to focus on the logistics of shipping merchandise around the world. This is a great expansion staring point because Nordstrom would be able to measure the success of their products throughout different sections of the world. This means that in the future, according to popularity of merchandise or certain demographics of different countries, Nordstrom will be able position brick and mortar stores in the high traffic areas.
Through this case study, I was able to see how a company was able to find success in a rough time for the economy. Nordstrom was able to have success by expanding their business in a variety of types of retailing, with a lot of emphasis on their off-price retail chain. I believe that they could benefit their company if they would put a little more emphasis on the e-tailing sites because of the increasing use of technology. Overall, Nordstrom has a great business strategy had will continue to have
Similar department stores, like Nordstrom, operate a similar ratio of full-price to off-price locations. Barneys manages 16 full-line stores and 13 Warehouse locations, Saks Fifth Avenue manages 38 full-line stores and 82 Off Fifth locations, and Neiman Marcus manages 41 full-line stores and 43 Last Call locations. What makes Nordstrom different is their scale of off-price locations. They own 300 Rack stores which simply means that they have a lot more off-pricing stores with more discounted merchandise …show more content…
However, I wouldn’t recommend expanding outside of the United States with their brick and mortar retail channels. I think they should focus on their on-line channels like Huatelook. This way, with e-tailing, Nordstrom will only need to focus on the logistics of shipping merchandise around the world. This is a great expansion staring point because Nordstrom would be able to measure the success of their products throughout different sections of the world. This means that in the future, according to popularity of merchandise or certain demographics of different countries, Nordstrom will be able position brick and mortar stores in the high traffic areas.
Through this case study, I was able to see how a company was able to find success in a rough time for the economy. Nordstrom was able to have success by expanding their business in a variety of types of retailing, with a lot of emphasis on their off-price retail chain. I believe that they could benefit their company if they would put a little more emphasis on the e-tailing sites because of the increasing use of technology. Overall, Nordstrom has a great business strategy had will continue to have