BUSI 1200 - Joanna Andrews

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Company Presentation
 Lowe’s Home Improvement
 (LOW)
 Joanna Andrews
 November 12, 2012
BUSI 1200
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Agenda
• Overview
BUSI 1200
Strategy First
Agenda
• Overview
• Product
BUSI 1200
Strategy First
Agenda
• Overview
• Product
• Competition
BUSI 1200
Strategy First
Agenda
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BUSI 1200
Strategy First
Overview
Product
Competition
Performance
Agenda
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BUSI 1200
Strategy First
Overview
Product
Competition
Performance
Summary
Agenda
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BUSI 1200
Strategy First
Overview
Product
Competition
Performance
Summary
ABC Company
 Overview
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Overview
• History
• Founded: 1946 by Lucius Lowe
• Dream: To extinguish wholesalers - deal
only with manufacturers
• Original name: North Wilkesboro
Hardware Company (NC)
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History (Cont’d)
• Corporate facilities: Mooresville &
Wilkesboro, NC
 How are they doing? 2nd largest home
improvement retailer worldwide
 Operations in Canada & Mexico
 1,745 stores & 248,000 employees
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ABC Company
 Industry and Products
(15 Product Categories)
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Home Improvement Industry &
Product
Kobalt®
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Harbor Breeze®
allen+roth®
Task Force®
Home Improvement Industry &
Product (Cont’d)
 Core competencies:
 Diverse brand differentiation – private brands
 Gatehouse® (key locks, door knobs), Lowe’s Garden
Club Select™, etc.
 Customer focus
 Removal of wholesaler
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Lowe’s Commercial
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http://www.youtube.com/watch?v=jK6w1_D1GdE
ABC Company
 Competition
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Competition
• Competitors: The Home Depot,
Inc.; Ace Hardware Corporation;
The Sherwin-Williams Company
• Competitors products
• HD & Ace Hardware: Appliances,
décor, flooring, paint, bath, power
equipment; etc.
• SHW: Paint
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Competition (Cont’d) Strategy
 Customers #1 – DIY programs
 Low prices
 Children’s programs
 My Lowe’s Card; support
 Advanced IT
 Online shopping
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ABC Company
 Performance
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Performance
FORTUNE ® 100 company
Public sent 1961
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Performance (Cont’d) –
Competitor Comparison
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Social Responsibility &
Environmental Sustainability
 1,660 education projects
 2, 396 community improvement projects
 Community: Aided in creating a greenhouse for
the Sumter County Career Center in Sumter, S.C.
($10,000 grant)
 Education: Presented financial and creative aid to
middle school students in Charlotte N.C. to
renovate the student lounge (Lowe’s Heroes
Giving Coast to Coast)
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Social Responsibility
(Cont’d)
 Partnerships:
 Habitat for Humanity
 American Red Cross
 Rebuilding Together (home rehabilitation
program)
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ABC Company
 Summary
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SWOT Analysis
Strength:
- Private brands
- Brand differentiation
- Quality customer service
Weakness:
- Past class-action lawsuits about
pay system
- Number #2 in leading home
improvement arena
- Product recalls
Opportunities:
- Environmental sustainability plans
- Online shopping (My Lowes Card)
Threats:
- Economy
- Housing market
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Summary
• What are the company’s
prospects?
• Despite the company’s decreasing
positivity in its financial records and
number two position in the world-wide
and national home improvement chain, I
believe the company will spring forward
in the coming years. Its advantages in
customer service and popular private
brands gives the company an edge over
its competitors.
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ABC Company
 Questions?
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Sources
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http://media.lowes.com/about-lowes/
http://finance.yahoo.com/q/co?s=LOW+Competitors
http://www.homedepot.com/
http://www.acehardware.com/home/index.jsp
http://financials.morningstar.com/incomestatement/is.html?t=LOW&culture=en-US
http://finance.yahoo.com/q/co?s=LOW+Competitors
http://blogs.findlaw.com/courtside/2009/09/lowes-workersovertime-case-settled-for-295m.html
blogs.findlaw.com/courtside/2009/09/lowes-workers-overtimecase-settled-for-295m.html
http://www.youtube.com/watch?v=jK6w1_D1GdE
http://responsibility.lowes.com/environment/our-programs/ourmission/
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