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K-MART

K-MART. Selma Erick Chávez Eduardo Reyes Juan Jorge Palma . Kmart is an American retail store specialized in the low income segment , offering its products normally at discount prices .

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K-MART

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  1. K-MART Selma Erick Chávez Eduardo Reyes Juan Jorge Palma

  2. Kmartisan American retail store specialized in thelowincomesegment, offeringitsproductsnormally at discountprices. • Wasfounded in 1899 in Detroit, whereitstarted a successfulgrowthtofinallybecomeone of themostimportantstores in alltheUnitedStates. • As of year 1990, Kmartreported sales of $32 billion and a net income of $756mm with a net margin of 2.35%.

  3. Net income

  4. SWOT Analysis

  5. Principal Competitors: Sales/sq. Ft. 318 dls. 374 dls. 233 dls. 242 dls.

  6. We want to reposition the company image; we want to provide K-mart a new life. Although K-mart was an important company the last century, we need to change a major part of it. • We are preparing the release of a new super market, Organi-K, needless to say all products are going to be organic with the most competitive prices in the market, so all the middle-income families that care about their health, and live in the cities or in the suburbs can shop there.

  7. Organi-K

  8. Implementing a B2B strategy, with better contracts that give more confidence to our suppliers –long term contracts- and make a win-win situation. • We are looking to improve the relationship with suppliers to get more flexibility on the payments. This will help the companyto lower costs and have always-fresh-to-go merchandise in our stores.

  9. BasedonthePareto’slaw, wenoticethatwith a 20% of thestoresconcentrated in urbanareas, thecompany can generate 80% of itsrevenues. ThiswillhelpKmarttoimproveserviceand productsoffered in this 20% and alsotorenewthisstorestogive a betterimagetothecompany,

  10. Our implementation plan for every aspect will be cost effective and efficient. It will be comprehensive and it will attack every aspect that needs to be changed in the organization. • In spite that our competition offers advisory services, you will have to sign two different contracts if you want to have human resources (PWC) and financial analysis.

  11. Some of them are specialized in accounting advisory, such as audit committees, financial statements or tax services (KPMG) Or consultant team is integrated by psychologist, risk managements and economic experts; Because of this, we offer the best option to implement the reorganizational plan.

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