Analysis business Problems

5/4/16

Business Analysis

Introduction

Currently the world is liberalized and the government has made it easy for private sectors to be in business. There are new innovative businesses ideas as the gaps in current market exist. For example, poor quality of products in the market may provide a business opportunity for new entrepreneurs to venture into the business concerning the commodity in question. Insufficient quantity of a commodity in the market also leads to a niche in the market; this makes the demand of the product to rise. Because of high demand, the prices also increase leading to unaffordable prices to the consumers. Therefore, a business should identify its weaknesses for its proper existence and reinforcement, given that the stability is change is gauged on an organizational and behavior perception. This study covers an analytical survey of the gap marketing in the business problem and evaluation at Nordstrom Company.

Nordstrom Company is outperforming in several ways, and this has caused its major reduction as well as the financial crisis that is experienced in the firm. For an effective communication on the strategies that should be taken for the effective remedy in delivering quality management skills, the company requires to restructure itself in terms of mobilizing the consumers and ensuring that the profit they were earning for the past decades, is doubled, or rather maintained, instead of it fluctuating.

Nordstrom had recorded a low income and profit in the recent past, due to the market competition that it was receiving from its competitors (Krolzig, 12). As compared to its sales in the recent past, for the earnings in the fourth quarter, the full-line as well as the outlets stores had decreased, which is a major concerned for the organization, and entire American economy. The crisis is literally a concerned to the industrialization of the services as well as goods which are to be transferred and processed within different measurements and incentives of trade.

The decrease in the stores were at 3% and the firm had then dipped, notably characterized as an element that would be effective in transforming the sales as well as profit maximization for the company. However, the inventory of the retailers had increased their sales by 12%, making it more difficult for the company to balance its profits and losses.

Consequently, the only way to help Nordstrom out of this situation is through its reliance to the sales promotion, which entails more brand ambassador’s recruitment for the advertisement procedure to have a notable change in the organization. As such, the reinforcement will inflict and create the opportunities for profit maximization as well as the deduction on the issues that are affecting the company, given that there are outperformances already considered.

The inventory for the brand promotions is the only effective way, since the consumers of the company are not clearing the shelves, anytime soon. The lesson learnt form the company’s setback is that no retailer is spared from the consumer drop out in the industry and marketing field (Kothari & Xu Li, 34). The production level is equivalent to the issues affecting the laws and regulations within the systems, as per underlying decisions that would be relevant for the organizations.

The consumers that focused on the labels of the designers, have now drew their attentions to other issues, including the understatement and decisions in purchasing the counterfeit goods, which are cheaper, and of course, trendy. As such, the implication for this approach is an equivalent opportunity for the market transitioning, which would basically be noted by the analytical survey that is underway.

Findings and Solution

According to Healy (23), Nordstrom is one of the major companies that the US depends on for the growth and development of its economy. However, the rates of pricing should be stabilized for the consumer to have fixed pricing criteria that enables accurate transitioning and outsourcing of the materials for purchase. In this light, the company had restructured its earnings in the quarter due to the conditions in the restock of the merchandise.

In conclusion, the marketing and business analytical survey may be challenging, especially when considering the effective motives of the same business. As such, keenly observing the marketing criteria for retailers and consumers, as well as the wholesaler, have an accurate advantage for reinforcing and establishing equal opportunities in the existence of the business. As such, adequacy in monitoring how the business operates is an equal chance for the affordability and maintenance of its consumers. Loyalty is one factor that the company cannot trade in, and as such, quality brands would be more lucrative of the loyalty of consumers.

Works Cited

Healy, Paul, and Krishna Palepu. Business Analysis Valuation: Using Financial Statements. Cengage Learning, 2012.

Krolzig, Hans-Martin. Markov-switching vector autoregressions: Modelling, statistical inference, and application to business cycle analysis. Vol. 454. Springer Science & Business Media, 2013.

Kothari, S. P., Xu Li, and James E. Short. "The effect of disclosures by management, analysts, and business press on cost of capital, return volatility, and analyst forecasts: A study using content analysis." The Accounting Review 84.5 (2009): 1639-1670.