Essay Sears Holdings Analysis

10358 Words Oct 3rd, 2010 42 Pages
| Sears Holding Company | Individual Paper | | Gregory A. Squires | 10/15/2010 |

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Contents HISTORY 4 Vision Statement 10 Mission Statement 12 Key Leaders 16 Organizational Culture 20 Organizational Structure 23 NAICS/SIC Codes 26 General Environmental Forces 28 Porter’s Five-Forces Model 35 Key Competitors 40 Competitive Profile Matrix 43 General Discussion on Stakeholders 46 Top 70 Stakeholders 47 Nutt&Backoff Model 53 Finn stakeholder Model 55 Internal Assessment 57

HISTORY Sears was started by Richard W. Sears in 1886. While working as a North Redwood, Minnesota freight agent, a local jeweler gave him an unwanted shipment of pocket watches. He sold the watches to store owners
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Sears acquired the Dean Witter Reynolds Organization, Inc. and Coldwell Banker & Company in 1981. In 1982 Sears formed a world trading company. It Became Sears World Trade, who’s activities were reduced and transferred to Sears Merchandising Group in 1986. Also as part of reconstruction, the Sears Group reorganized around its apparel, home and automotive business closed many of its under-performing stores and catalog operation. By 1995, Sears sold Colwell along with other subsidiaries and used the proceeds to clear some of their debt. At this point, Sears returned to its retailing roots (Sears History, 2009). The biggest move by Sears was in 2004 when they merged with Kmart in an $11 billion deal. The new company created by this merger is called Sears Holdings and is based in Sears' hometown of Hoffman Estates, Ill. Kmart will continues to operate under its own name and will retain its offices in Troy, Mich. At the time the combined operation had $55 billion in annual revenue, 2,350 full-line and off-mall stores, and 1,100 specialty retail stores. The merger followed a deal by Kmart to sell 50 stores to Sears for $575 million. This move was made to keep up with their mutual competitors, the Wal-Mart juggernaut and Target. (staff, 2004). They separated the corporation into three separate business segments and this is how they operate today. There is Kmart, Sears Domestic and Sears Canada. Kmart is responsible for 35.7% of revenue and is a general merchandise and

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