Case ID: 9B11M112
Solution ID: 23761

Macys Department Store Repositioning Case Solution


From 2005-2006, Federated Department Stores converted some 15 regional department store chains in to a single national brand, Macys, with 810 stores within the US. Furthermore, the business re-situated the consolidated Macys inside the overall retail landscape to ensure that they are able to differentiate the completely new company in the rivals. These maneuvers were completed to counter lowering profits inside the traditional department store industry. Some retail experts suggested the consolidation of Macys, while interesting, was going to fail because the traditional department store was an obsolete entity however, other experts suggested that Macys strategy might contain the best way to succeed in the lowering industry. In 2008, the U.S. economy became a member of a fiscal recession, by 2011 it ongoing to become definitely not thriving. Did Macys need to change regions of its method to remain competitive? What will need to change?

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