Home Depot is the second largest retailer in the world, but like every other company there are issues that can make even this business more productive. The home products market is very competitive around the world and The Home Depot has taken advantage of much of the American market while leaving the international market largely untouched. This analysis will diagnose the company's situation, determine what issues need to be addressed with a SWOT analysis, use the five factor model to probe the identified issues, and then give recommendations for changes that can be made.
Diagnosis
The Home Depot has experienced soft sales since 2006 (Wagner, 2010). One of the reasons for this is that the entire market was seeing a decline in sales especially after the market downturn in 2008, but The Home Depot had more serious problems. In 2008 the company reported fourth quarter losses of $54 million (Wagner, 2010), and they have not completely recovered those numbers in the meantime. The company has tried several different strategies to recover such as cutting over 7,000 employees in 2009, but the soft growth continues. It is easy to blame the problems that have occurred because of the market downturn, but there seem to be more serious problems with the company than just a loss of sales over the past four years.
In researching the company, it is easy to see that they have had a substantial uptick in complaints over the past five years (Consumer Affairs, 2011). The breadth of the charges of poor customer service have been growing because people are dissatisfied with the service that they are receiving, and the fact that customers seem to think that the associates are impersonal. The major issue seems to be that the company is using contractors that have not been properly vetted for the jobs that they are supposed to be performing. Complaints to Consumer Affairs range from simply forgetting tools at the site and not cleaning up, to major installation problems that cause the customer further expense since they have to get another professional to repair the damage done by Home Depot installers. The financial situation of many retailers have gotten much better (including The Home Depot's major U.S. competitor, Lowe's), but The Home Depot has continued to face financial issues and a loss of business because they have consistently poor customer service numbers.
Problems and Issues
One of the best ways for an analyst to look at the problems a company has is to first conduct...
Furthermore, the Home Depot employs many community members providing them with a livelihood enabling them to earn a living. Additionally, the special activities of the Home Depot in the community in which they are located results in benefits realized by community members in various areas such as housing, workshops, clinics, and other specialized services of the Home Depot. The slogan used by the Home Depot of "you can do
Home Depot is a retailer of home improvement supplies, and Lowe's is its biggest rival. Both are very large companies, and they have a lot of similarities. Both companies competes only in this one industry, focused on big box retailing of home improvements and home finishings. These are considered to be category killers, in that once they enter a market few other firms can exist in that market selling the
Home Depot Mission statement / goal of company/vision The Home Depot, Inc. has established itself above and beyond its competitors by employing a development approach of building up its core capabilities by providing each consumer a distinctive encounter via shop modernization, having a number of exclusive products, offering top quality service representatives, and specialized information technologies. Subsidiaries associated with Home Depot, Inc. offer specialized solutions to equally the individual property owner along
Home Depot is the largest home improvement retailer in the world and one of the biggest retailers. It has consistently grown over the past decades, since its start at the end of the 1970s, and has expanded into Canada, Mexico and China. It has diversified its network of suppliers and continues to offer a large array of products to its clients. Competition remains significant, both with the presence of Lowe's on
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Talent Practices at the Home Depot Home Depot Questions Discuss how the leadership at Home Depot intended to use its organizational talent to gain a competitive advantage in the Do it Yourself industry. Home Depot has revenues of over $90 billion, is the number one home improvement retailer globally, and is the second largest retailer overall. It was founded in 1979 and is now international (www.homedepot.com). The way they have chosen to use
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