NORDSTROM

Nordstrom: How to succeed by selling just one shoe?

Nordstrom: How to succeed by selling just one shoe?

Identifying the type of retailer that Nordstrom'sis classified as and the characteristics it shares with other retailers of this type

Nordstrom is an upscale department store chain in the United States, based by John W. Nordstrom and Carl F. Wallin. Initially a shoe retailer, the company today furthermore sells clothing, accessories, handbags, jewelry, cosmetics, fragrances, and in some locations, dwelling furnishings. The corporate headquarters and the flagship store are established in Downtown Seattle, Washington (Joe, 1988).

I would classify Nordstrom's as a specialty store due to the fact that their service grades are high, assortment is narrow, price would be moderate to high, and the gross margin is high. Also, a statement from the case study from Industry observer Lior Arussy calls Nordstrom's business strategy “greed through love”. Nordstrom's shares the identical characteristics as Neiman Marcus, Bloomingdale's, Macy's, Saks Fifth Avenue and Lord and Taylor's. While it is pricier to shop for clothes and dwelling decor at these stores; most designer labels verify to be of better quality, uniqueness, and durability (Spector, 1995).

Nordstrom's level of service on the continuum from full service to self service

Nordstrom's level of service would be on the continuum of full-service. When looking at the two department stores like Wal-Mart and Nordstrom's, it is much simpler to contrast differences than compare similarities. This is because they are at opposite finishes of the economic spectrum; Wal-Mart specializes in discounted prices, while Nordstrom focuses on quality at a higher price. Both companies enjoy much achievement, however. To attract customers that are more interested in each company's characteristics, their marketing strategies disagree from one another greatly. Wal-Mart offers numerous distinct products to match every likely require of their customers. From automobile fix services to groceries to a variety of products in between, it is a one-stop buying excursion for most of their customers. Wal-Mart jumps on the bandwagon when they glimpse an opportunity and appear to prosper because so (Joe, 1988).

The Nordstrom has developed an excellent reputation for customer service, despite the fact that it has 35,000 employees. The staff handbook contains only one direct "Use your best judgment in all situations". Employees are involved in the choosing the products traded at their stores, because the buying in the products has been decentralized.

Even though the new stores were subsidized, the communities did not advantage as much ...