J. C. Penney Corporation, Inc.
“SWOT is an acronym for the internal Strengths and Weaknesses of a firm
and the environmental Opportunities and Threats facing that firm. SWOT
analysis is a widely used technique through which managers create a quick
overview of a company’s strategic situation. The technique is based on the
assumption that an effective strategy derives from a sound “fit” between a firm’s
internal resources (strengths and weaknesses) and its external situation
(opportunities and threats). A good fit maximizes a firm’s strengths and
opportunities and minimizes its weaknesses and threats. Accurately applied, this
simple assumption has powerful implications for the design of a successful
strategy.”
J. C. Penney Corporation, Inc.
J.C. Penney Corporation (JC Penney) is one of the leading retailers in the
US. The company offers a range of family apparel, jewelry, shoes, accessories
and home furnishings products through a chain of department stores and ecommerce website, jcp.com. In addition, JC Penny is the largest general
merchandise catalog retailer in the US. The company primarily operates in the
US and is headquartered in Plano, Texas and employs 147,000 people.
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J. C. Penney Corporation, Inc.
Strengths, Weaknesses, Opportunities and Threats (SWOT)
Location of Factor
TYPE OF FACTOR
Favorable
Internal
Strengths
Unfavorable
Weaknesses
¾ Wide product and
¾ Strong decline in
service offerings
comparable store
through multiple retail
sales
channel
¾ CustomerFIRST
¾ Continuous product
recalls
initiative
¾ Balanced brand
portfolio
External
Opportunities
¾ Focus on expansion of
in-shop Sephora stores
¾ Launching new
exclusive and private
label brands
¾ Investment in online
format
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Threats
¾ Weak financial
projection for
FY2010
¾ Rising labor cost in
the US
¾ Moderate new
store openings