Porter’s Five Forces Analysis of the US Drugstore Industry
Porter’s five forces model is used to assess the nature of competition and attractiveness of an industry.
Retail & Wholesale
Market Realist tracks the latest news on stock performance, acquisitions, and earnings in the retail and wholesale sectors.
Burlington Stores’ Market Positioning in 2015 and Beyond
Burlington Stores targets the value-conscious, middle-class consumer. The number of customers making purchases at the company’s stores is large.Company & Industry Overviews The Energy and Materials Sectors Pulled VEURX into the Red in 2015
The Vanguard European Stock Index Fund was the worst performer for 2015 among the ten funds in this review.
An Overview of the US Drugstore Industry
US drugstores typically generate revenues by selling prescription drugs, over-the-counter medications, health and beauty products, and general merchandise.
A Look at Walgreens Boots Alliance’s Retail Pharmacy USA Division
The Retail Pharmacy USA division is Walgreens Boots Alliance’s (WBA) largest revenue generator.
Walgreens Boots Alliance: Merger of Walgreens and Alliance Boots
Walgreens became a wholly owned subsidiary of Walgreens Boots Alliance after a merger.
Walgreens Boots Alliance: Segments and Geographic Footprint
Following the completion of the second-step transaction on December 31, 2014, Walgreens Boots Alliance reorganized its operations into three segments.
How Warehouse Clubs Have Transformed the Retail Sector
A National Bureau of Economic Research study has found that the evolution and growth of warehouse clubs have been the most significant influences on the retail sector over the last 15-20 years.
Signet Jewelers’ Ever Us Is Setting Trend for Jewelry Industry
Signet launched a new collection called Ever Us in October 2015. It’s meant to meet the need for jewelry that represents the bond between two people.
Hurdles in Kraft Heinz’s Growth: Weaknesses and Threats
Frequent recalls not only affect the consumer satisfaction and brand image of Kraft Heinz’s products but also increases the cost factor.
Understanding Burlington Stores’ Key Product Categories
Burlington Stores derives its revenue from the sale of value-priced apparel, coats, and family footwear, baby furniture, accessories, home décor, and gifts.
An Inside Out Look at Burlington’s Business Model
Burlington follows an EDLP model, which helps customers get up to 60–70% savings off prices of similar merchandise in department and specialty stores.
Sizing up Kohl’s Relative Valuation versus Its Peer Group
As of December 15, Kohl’s was trading at a forward PE multiple of 10.2x. Kohl’s is trading at a premium valuation compared to Macy’s and Dillard’s.
China’s Middle Class Growth Is an Important Driver for Apple
One of the most important growth drivers for Apple in China is the growing percentage of people in China’s upper middle class.
A Closer Look at the Highly Competitive Organic Food Industry
With the increasing focus on health and wellness, the organic food channel has grown at more than twice the pace of the conventional food channel.
A Porter’s Five Forces Analysis of Sprouts Farmers Market
Although Sprouts purchases from a large number of suppliers, the company is still dependent on these suppliers for a large part of their purchases.
A Closer Look at Sprouts Farmers Market’s Business Strategies
Sprouts has been expanding its private label menu by introducing new and innovative products. As of 3Q15, it offered more than 1,700 private-label items.
Sprouts Farmers Market’s Positioning in the US Supermarket Industry
Conventional supermarkets make up 65%, grocery and mass merchandisers make up 25%, and natural and gourmet make up 6% of the supermarket industry’s sales.
A Key Business Overview of Sprouts Farmers Market
Sprouts is a value player in the organic grocery sector, selling groceries at competitive prices from small-box stores averaging 28,000–30,000 square feet.
Analyzing Kohl’s Positioning Based on Porter’s Five Forces
Kohl’s sells private label merchandise as well as national brands. The company purchases merchandise from several domestic and foreign suppliers.
Analyzing Walmart – The World’s Largest Retailer
Walmart (WMT) is a mass merchandiser. It’s the world’s largest retailer. It has over 11,100 stores in ~27 countries. It has a market cap of over $275 billion.
Low Inventory Turnover Is a Concern at Tiffany & Co.
At the end of fiscal 2015, Tiffany had a total inventory of $2.4 billion and inventory turnover of 0.73x, implying potential low sales and excess inventory.
Analyzing Tiffany & Co.’s International Segments
Tiffany & Co. has presences to differing degrees in the Asia-Pacific, Japan, Europe, and Other regions.
Analyzing Tiffany’s Key Strategic Objectives
Tiffany’s key strategic objectives for growth include expanding marketing communications, opening stores in key markets, and enhancing in-store experience.
SUPERVALU’s Strengths, Weaknesses, Opportunities, and Threats
It’s important for investors to understand SUPERVALU’s current strengths and weaknesses as well as its potential opportunities and threats.
Hurdles in Clorox’s Growth: Weaknesses and Threats
Advertising and promotional events from Unilever and PG’s home cleaners and a rise in the popularity of store brands pose threats to Clorox.
A Must-Know Business Overview of Tiffany & Co.
Tiffany & Co. is a holding company that operates through its subsidiary companies. The most notable is Tiffany & Company, a jeweler and specialty retailer.
Why It’s Hard to Compete with Clorox
Due to Clorox’s diverse product portfolio and the competitive nature of the consumer products market, it’s difficult for a new company to compete with similar products.oducts.
Evaluating Signet Jeweler’s Marketing Strategies and Initiatives
Signet Jewelers’ well-known, exclusive brands aim to influence consumers in their buying decisions. Sterling Jewelers thus provides 32% branded assortments.
Analyzing Whole Foods’ Return on Investments
Whole Foods’ net margin was among the highest in its peer group in fiscal 2015. The 12-month trailing net margin for Whole Foods stood at 3.5%.
Whole Foods’ Low Sales Growth versus Impressive Margins
Whole Foods’ sales for fiscal 2015 earned $15.3 billion—a 8.4% rise over the previous fiscal year, and a 9.6% average rise over the past three fiscal years.
Analyzing Whole Foods’ Store Performance and Profitability
Whole Foods has only trailed Costco in per-foot sales metrics. Costco averaged more than $1100 between fiscal 2011 and fiscal 2015.
Signet Jewelers’ Aim to Improve Vertical Integration and Supply Chain
Signet aims to advance its vertical integration, including the sourcing and manufacturing of rough diamonds, which should help improve its supply chain.
Gauging Whole Foods’ Positioning in the US Organic Food Industry
Organic products are no longer available solely at farmers’ markets and specialty stores but are now available at local and traditional grocery stores.
Why Same-Store Sales Surged for Home Depot and Lowe’s
Home Depot’s same-store sales grew 5.1% overall, marking the 18th straight quarter of positive comps for the retailer.
Evaluating Whole Foods’ Marketing and Purchasing Strategies
Whole Foods spends less on advertising and marketing than conventional supermarkets, relying on word-of-mouth recommendations and customer testimonials.
Introducing Whole Foods: America’s Organic Food Market
With 433 stores across the US, Canada, and the UK as of September 2015, Whole Foods has long been considered a synonym for organic and healthy food.
A Snapshot of Signet Jewelers’ Divisions and Product Offerings
Signet Jewelers operates under three divisions: the Sterling Jewelers division, the Zale division, and the UK Jewelry division.
Huge Growth Potential in the Global e-Commerce Market
The global e-commerce market is expected to grow at a CAGR (compound annual growth rate) of 17 from $1.3 trillion in 2014 to $2.5 trillion by the end of 2018.
SWOT Analysis: Looking at Kroger’s Strengths and Weaknesses
We will do a SWOT analysis for Kroger (KR) and look at the strengths, weaknesses, opportunities, and threats for the company.
SWOT Analysis: Upcoming Opportunities for Kroger
Kroger (KR) is a well-established player in the natural foods market. The company offers over 15,000 natural and organic food items.
Kroger’s Fiscal 2015 Revenue at an All-Time High
Kroger’s (KR) revenue reached an all-time high of $108 billion in fiscal 2015, which ended January 31, 2015, up by 10.3% from fiscal 2014.
A Look at Ross Stores’ Superior Inventory Management Skills
Ross Stores’ inventory management system is supported by its strong supplier relationships and the strategic location of its buying offices.
Efficient Supply Chain: Vital to Managing a Vast Store Network
Efficient supply chain management is vital to a retailers’ day-to-day operations. A good distribution network optimizes product freshness, reduces waste, and lowers costs.
An Analysis of the US Grocery Market
In 2013, grocery stores accounted for 90% of the country’s food and beverage store sales, while supermarkets accounted for 95% of the total grocery store sales.
A Look at Supermarkets: Kroger’s Primary Business Segment
The Kroger Co. (KR) is the largest supermarket chain in the US by revenue, operating 2,625 supermarkets at the end of fiscal 2015, which ended January 31, 2015.
Kroger’s Store Formats and Product Offerings
Kroger operates in several store formats, offering its customers the option to shop in its stores in-person or online for delivery or pickup.
Analyzing Coty’s Level of Competition
High-end companies like Coty rely on repeat customers and mainly compete on the basis of product quality and product differentiation.
Ross Stores’ Same-Store Sales Growth: A Consistent Track Record
2Q15 marked the 26th consecutive quarter of positive same-store sales growth for Ross Stores. Its last fall in same-store sales growth was in the 4Q08.
Key Components of Ross Stores’ Sales Mix
In fiscal 2014, women’s apparel accounted for 29% of Ross Stores’ sales of $11 billion. Home accents is also a key category at 24% of total sales.