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Lowe's Companies Is A Major Research Paper

The unpredictable economy in America was offset, however, by the company's employees who drove their Customer Focused scores to the highest levels ever ("Company view," 2010). It's Lowe's entrepreneurial spirit that will be crucial in overcoming these economic challenges. The company continues to develop proprietary product lines to not only take advantage of the continued demand for private labels, such as the Kobalt brand ("Lowe's," 2008) but also to differentiate itself from its competitors. Market expansion also hasn't just been limited to the traditional building of new stores. In 1999, the company expanded in the western U.S. By purchasing 40 Eagle Hardware & Garden stores (Jones, 2000). International expansion into Australia is planned through the company's joint venture with Woolworths ("Woolworths," 2009).

Recommendations:

Recommendations for Lowe's include using the company's strong brand name value to diversify themselves beyond simply being a low price leader in the home improvement industry. Competing primarily on price has led to the company resorting to excessive promotions that have severely reduced Lowe's gross margins. Instead, the company can become the industry leader in an area that is showing strong growth -- eco-friendly products and materials. As consumers are looking for environmentally responsible home improvement renovations, Lowe's can set itself apart from competitors like Home Depot by providing well-trained employees to provide eco-friendly solutions to their home improvement projects. This will be especially helpful to Lowe's margins as most consumers are willing to pay more for environmentally friendly products and materials.

This recommendation can help counter the primary threats Lowe's is facing as well. Regarding rising labor costs, although there is little the company...

In addition, although new housing starts may still be on the decline, this means home owners may be more interested in renovation projects for their existing homes. Environmentally responsible projects can not only help create value in existing homes, which is especially important in a faltering home market, but also help reduce costs for homeowners, including reduced energy costs and maintenance costs. This can further help ward against the reduced discretionary spending home owners are experiencing, due to the economic challenges the United States has faced over the last several years. By showing how certain eco-friendly projects are actually an investment that will reap monetary rewards by reducing costs for the home owner, more consumers will be willing to take on these projects, to save money in the long-term.
References

"Company overview: Lowe's Companies Inc." (2010). Datamonitor 360. Retrieved November 22, 2010.

"Company view: Lowe's Companies Inc." (2010). Datamonitor 360. Retrieved November 22, 2010.

Hellriegel, D., & Slocum, J.W. (2007). Organisational behavior ([11th ed.). South Melbourne, Vic.: Thomson.

"History: Lowe's Companies Inc." (2010). Datamonitor 360. Retrieved November 22, 2010.

Hoover, G. (2002). Hoover's handbook of American business 2003 . Austin, Tex.: Hoover's Business Press.

Jones, L. (7 Aug 2000). "Lowe's adding Utah stores, converting Eagle Hardware units." Enterprise/Salt Lake City, 30(5). p. 1-2.

"Lowe's Companies, Inc." (Fall 2008). Mergent's Dividend Achievers, 5(4). p. 166.

Mitchell, S. (11 Jan 2010). "Lowe's/Woolies venture in Australia to…

Sources used in this document:
References

"Company overview: Lowe's Companies Inc." (2010). Datamonitor 360. Retrieved November 22, 2010.

"Company view: Lowe's Companies Inc." (2010). Datamonitor 360. Retrieved November 22, 2010.

Hellriegel, D., & Slocum, J.W. (2007). Organisational behavior ([11th ed.). South Melbourne, Vic.: Thomson.

"History: Lowe's Companies Inc." (2010). Datamonitor 360. Retrieved November 22, 2010.
Overview. (2010). Retrieved November 28, 2010, from http://media.lowes.com/company+overview/,
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