Canadian Tire Executive Summary

This industry, although more attractive than the lumber industry, has its own inherent flaws . The Canadian retail hardware and home improvement industry can be characterized by high degree of rivalry, mainly due to a large number of players competing over products of low differentiation and incurring high fixed costs. Furthermore, due to low switching costs, high information, and price sensitivity, buyers are not loyal and have high bargaining power relative to retailers. Additionally, the medium threat and power of large new entrants and suppliers adds to the industry's unattractiveness.

This allows Home Depot to better utilize resources by targeting demographic categories that are likely to be interested in home improvement or contracting services. Home Depot advertises a low price guarantee, including beating competitors’ prices by 10% (The Home Depot, 2016). Home Depot’s current marketing slogan is “More Saving, More Doing”. Home Depot markets to both the inexperienced homeowner as well as contractors for its products and services. The company’s marketing strategy, slogan, and price match guarantee all fit the current corporate strategy of growth through increasing sales at existing retail locations and online to both contractors and homeowners. As an organization within an industry where low price is likely necessary due to lack of differentiation, Home Depot’s marketing strategy focused on low price is necessary. The low-cost without focus strategy at the business level is also aligned with this marketing focus. Since Home Depot is looking to gain customers in the broader market, focusing on both do-it-yourself customers and contractors is

Tire City, Inc. is a rapidly growing retail distributor of automotive tires. Although they have 10 shops located throughout the Northeast region, the bulk of TCI’s inventory is managed at a central warehouse. During the last three years, sales have been growing at a compound annual rate in excess of 20%. With such a great reflection of their excellent service and customer satisfaction in their net income, TCI’s central warehouse is “bulging at the seams”. TCI has decided to expand its warehouse facilities to accommodate future growth, and has requested a five year loan. We, MidBank, previously financed a project for TCI in 1991, which is currently being repaid in equal annual installments. TCI plans to

The competitive advantage for Canadian Tire stems from the dependency on its dealers and how they interact with their local economy and community. As the dealers are at the front line in garnering profits and attracting and retaining customers, it is critical that they adjust the supplies and stocks accordingly to the needs of their community. The competitive advantage for the Canadian Tire brand relies on three key elements that the dealers possess in order to support a growing and profitable business. According to the Canadian Tire Annual Report (2010), the brand depends on the “business instincts, [the dealer’s] connection and commitment to their communities and their local market insights to ensure [they’re] offering relevant products at competitive prices” (p. 29).

I know I have not seen you in too long, but that is over. I am now the President. As you know, 12 days ago, was the surrender at Appomattox Courthouse. If you know not, Confederate Army General, Robert E. Lee surrendered his 28,000 troops to Union Lt. General, Ulysses S Grant after the last battle of the war in the morning. Then, one week ago, John Wilkes Booth murdered Abraham Lincoln at Ford’s Theatre. Since I was his Vice President, and he died, I am now the President. I am glad that the war is over and the bloodshed is done. The Surrender at Appomattox filled me with joy. As for the Lincoln assassination, I have mixed views. I have deep sorrows and condolences for Lincoln and his family, for I liked the man and he respected me well. I am also

Columbia Plastics division of Fraser Company, the major manufacturer of skylights in the Pacific Northwest, is facing a severe competition from Vancouver Light which has just announced a further price cut of 10%. Alice Howell, president of the Columbia Plastics is unsure of which options to implement – 1) cut the prices at a level that just cover the costs, or 2) continue the current pricing policy and lose market leadership. Fraser is facing the erosion of its market share.

Pricing is a significant aspect of the value proposition for any purchase. According to the Price Tag Confidential Video by CBC Marketplace, there is a huge amount of difference in the price that consumers pay in Canada as compared with the United States. Different examples were given such as a low dose aspirin costs $13.96 CAD in Canada whereas in the United States the price is $5.96 USD i.e. 132% more. Another example given was that of a transmission safety switch which costs $389.32 CAD in Canada whereas in the United States the price is $203.89 USD i.e. 47% more. The prices of other products such as tires, running shoes, conditioner, printer, etc. were given in the video to illustrate the price gaps between these countries.

Home Depot 's target market is individual homeowners/small contractors. Even though the traditional ideology is that cost leadership and product differentiation business strategies are mutually exclusive, Home Depot was successful at using a combination strategy. First, Home Depot optimized the cost leadership strategy by offering low and competitive prices to its customers by emphasizing higher sales volumes with lower margins, while instituting a high inventory turnover. Home Depot successfully offered a warehouse product strategy to the individual consumer for the first time. Previously, this type of price discounting was only available to professional contractors who earned product price

AutoZone has been in operation for more than 30 years as a retailer of aftermarket auto parts and accessories. The company was originally launched in 1979 by Joseph “Pitt” Hyde in Forrest City, Arkansas under the name of Auto Shack (AutoZone, Inc., 2016). Hyde modeled the company after Wal-Mart where he worked for seven years on the board of directors. Although the companies name has changed, the same core values of quality merchandise, discounted prices, and good customer service apply to AutoZone. Over the years AutoZone has grown to be the leading retailer and distributor of aftermarket auto parts in the US including Puerto, Mexico, and Brazil. These parts include replacement parts and accessories for cars, trucks, and vans. Employees practice

Amanda Stanton found love on Bachelor in Paradise and is now engaged to Josh Murray. That being said, Amanda is now in for the fight of her life as her ex is fighting her over custody of her two daughters and the amount of child support that he is paying. Radar Online shared what her ex-husband, Nick Buonfiglio, filed in court just four days ago. Whatever the outcome, this is going to be hard on Amanda Stanton. Nick feels like the new lifestyle that Amanda is living is causing harm to her children.

In the late 1990’s and early 2000’s several accidents were reported of Ford Explorers equipped with Firestone tires rolling over as a consequence of tires’ failures. By the end of 2000 the death toll was estimated at more than 250, and some

These number will be used for predicting future financial statements later in this case study.

In order to determine which option to choose, Goodyear weighed the advantages and disadvantages of each. The advantage of having a ‘premium’ tire is being able to charge more, thus generating higher profits. On the other hand, consumer perception at the time was that buying tires is a ‘grudge purchase’ and they were not willing to pay the extra money for features they didn’t want. Goodyear’s tires had always been marketed toward the average consumer who wanted a good tire at a good price. The possibility of losing those loyal customers was high. The second option of which distribution channel to go through also has its advantages and disadvantages. The advantage of moving to a large wholesaler, rather than just independent tire dealers, was greater exposure and possibly higher profits. However, Goodyear’s past revenue mainly came from loyal independent dealers, and it could be devastating to business if Goodyear lost that loyal base. In addition to the cost, independent tire dealers didn’t feel Aquatred’s ‘premium’ features warranted the high cost or that it would appeal to their customers.

In a day of, “I want it now and I’m willing to pay for it,” a shopping center has to offer a variety of stores, and also have several options. The shoe shopper will go to the place with 5 shoe stores before they go to the place with only 1. They may not realize that of the 5 available shoe stores; only 1 is in their price range, but satisfying a wider variety of consumers will help the mall broaden the shopper’s experience. But it is important to remember that shoppers are price sensitive, so not only do you need a variety of stores offering a variety of products, but you also need to be able to provide a variety of price points so you don’t limit your shopper demographics.

The world is in a crisis. Traditional energy sources such as oil, coal, and natural gas are dwindling at an alarming rate. Governments are struggling to purchase those resources in enough volume to feed their citizens. It is becoming abundantly clear that something needs to be done to meet, and eventually surpass current energy demands. One of the resources that is essentially unlimited is a resource called Tidal Energy. Tidal Energy has been estimated that it can create 2110 terrawatt-hours in the United States (7) alone. That is an astonishing amount of energy.