The Home DepotHistory • Founded • First Stores Opened • The Vision • Values • Corporate and Financial Overview
Founded and incorporated in 1978 • Bernie Marcus and Arthur Blank
First 2 stores open AtlantaGeorgia, June22, 1979
The Home Depots Vision • Vision of one-stop shopping for the do-it-yourselfer • The Home Depot has a philosophy of customer service—“whatever it takes”—means cultivating a relationship with customers rather than merely just making a sale.
Values Taking care of associatesGiving back to the communityDoing the right thingExcellent customer careCreating shareholder valueBuilding strong relationshipsRespect for all people
Corporate and Financial Overview • Headquarters in Atlanta Georgia • CEO, and chairman is Frank Blake • 2200 retail stores including 1977 in the U.S. and the territories of Puerto Rico, US Virgin Islands, Guam and 180 stores in Canada • More than 300,000 assoc.
Financial Results (Q3 2013) • Revenue $19.5 billion, up 7.4% from (Q312) • Earnings $1.4 billion, compared to $947 million in (Q312)
Global Presence • 85% of Home Depot’s stores are located in the U.S. • 180 stores located in Canada • 100 stores in Mexico
International Strategy • Official statement by Francis S. Blake, the Chairman and CEO at Home Depot from the company’s Annual Report for FY2013 • International • “We believe our business is well positioned as the U.S. housing market continues on a path to recovery.”
International Strategy • Current Chinese home improvement market value of $78 billion and forecasted to be $99 billion by 2017. • U.S. home improvement growth rate by 2017 is predicted to be 1.7% • Chinese home improvement growth rate by 2017 is predicted to be 4.9%
Environmental Responsibility Eco Options Program • http://www.ecooptions.homedepot.com/ • In 2012 alone, The Home Depot’s partnership with WaterSense saved consumers 35.5 billion gallons of water and nearly $260 million in water utility costs. • Total purchases made at The Home Depot in 2012 of ENERGY STAR qualified products saved our customers over $700 million in annual utility costs, reducing kilowatt hours usage by over 6 billion
Issues • Many legal proceedings • South Coast Air Quality Management • Unfair business practices and false advertisement