Answer-1

SAKS Fifth Avenue is said to be a luxury oriented Specialty store, which is purely American. SAKS Fifth Avenue is owned as well as a managed by SAKS Fifth Avenue Enterprises (SFAE), which is SAKS Incorporated subsidiary. SAKS Fifth Avenue can be termed as a high-end luxury oriented store, which is located at the Upper East Side. SAKS Fifth Avenue is said to have its main head quarter as well as the flagship store in New York City. This store can be termed as a business successor, which was earlier developed by Andrew SAKS in the year of 1867 and then it was later that it was incorporated in the city of new York in the year of 1902. Andrew passed away in the year of 1912 and it was in 1923 that Fimel Brothers formed a merger with Gimbel in order to become an autonomous subsidiary and have its own operations. It was in the year of 1924 and precisely September 15 that Bernard Gimbel and Horace SAKS initiated the actual SAKS Fifth Avenue in the city of New York. It opened its second branch after Bernard Gimbel passed away the very same year in Palm Beach Florida soon after which another resort opened in the Southampton New York in the year of 1928. Later the expansion did not end there it also opened in Chicago, Miami Beach, and Beverly Hills. After 1930's, SAKS in totality had 10 branches across America which also constituted resort locations such as Newport, Sun Valley as well as Mount Stowe. SAKS also expanded to Detroit and Pittsburgh in the forties followed by more expansions in San Francisco and Dallas. Currently it has 46 stores in America followed with 15000 employees working under it (www.SAKSfifthavenue.com).

Answer-2

SAKS is said to be moving into the growth phase in an aggressive as well as in an opportunistic manner. It has accelerated by utilizing the diversification strategy. Utilizing the diversification strategy has ensured the fact that it has higher profitability as well in terms of higher sales volume by having a presence in new markets as well as introducing new products. The main strategic actions that SAKS has taken are:

1. Initiation of New stores in new cities and locations

2. Using the replacement strategy that is initiating replacement stores in the markets that are existing

3. The initiation of resort stores, which previously were not, utilized the competitors.

4. The initiation of Clearance centers

5. Initiation of Specialty Stores

6. Having Store oriented renovations to make it more appealing to the target market as well as stand out from the competitor

6. Increasing portfolio in terms of the catalogue business

7. Making an attempt to move across borders and having an international presence

8. Increasing and boosting by pushing the merchandize

9. Continuously deleveraging the balance sheet of the company to ensure that the financial structure is enhanced.

10. SAKS Fifth Avenue has said to invest $250 million in the new stores that it has introduced with further renovations as well as infrastructure oriented improvements. It further seeks to further ...