profretail

What Happened to Gap Stores?

Part of GAP's problem is their design team which is weak and lacks a direction or consistent look. They would have done better to stick to updated classics and value rather than hoping on every new trend and trying to go after every new upstart. They should have sacrificed sales for profit.
Also, you have to take into account the numbers of the children's 4-16 business which is a declining market. The bubble of babies from 1988-96 impacted their kids business positively when they were the only game in town. Now their are less kids and their is more competition at the same time that they walked away from the 38-50 year old hip customer. They are lucky they are doing as well as they are.

Losing Patience with Target as Its Slide Continues

Jerico is on to something....but Target needs to get their price points under control and offer real value to go after this customer who is more sophisticated. So far, they are off "target" there. There price points are out of line with the value they are offering. There prices are going up in these branded areas....ie, Smith and Hawken, Converse in the last 12 months rather than keeping them in line with what's going on in the current environment. Also, they are cutting staff and after experiencing long lines in my two most recent shopping expeditions....which is what the upscale female customer makes to Target...the appeal of a more pleasant experience than Walmart is gone! Todd is right......they are in a fetal position and someone needs to act. Bill Ackman doesn't have a clue who the "target" customer is or what they are looking for. I am afraid management has forgotten as well. The are going to have to react quickly or risk losing the fickle upscale customer in the North East they have so recently gained in their latest expansion.

The Bailout Plan Still Has a Fatal Flaw

In addition, no one is addressing the redistribution of income that has occurred since 1980 when the top 1% of wage earners brought home 8% of annual compensation, now the top 1% brings home 20%of the annual compensation in the US. The other 99% of the US population has been FORCED to live off debt and the equity in their homes in order to survive the increase in the cost of living in the last 28 years. This cannot be ignored by the media or local, state or federal elected officials any longer if we are truly to recover and overcome the problems we face in all sectors of life and our economy. It's tough to face the inadequacies of our capitalist society and improve on it. This also has to be addressed in our universities and graduate schools.

Google Outlines Clean Energy Plan

I applaud Google's efforts to offer an idea into the debate on how to improve and meet our energy needs in a cleaner and more efficient manner. Change is what we need in this country and new ideas. There are too many people afraid to improve and innovate which is why we are in the situation we are in. Thank God for the "liberal airheads" who think out of the box....without them, we would be stuck with the greedy close minded "masters of the universe" and big oil that only want to rape this country and the environment for their own benefit! We've seen what results they offer and we've had enough.