For many
people, the mention of Jack Stupp does not ring a bell. But if I say “Consumers
Distributing ", then it might remind you some memories . Jack Stupp and
Sydney Druckman opened their first store in Toronto in 1957. At its peak, the company
had more than 250 stores in Canada and
250 stores in USA. After many ups and downs and changes of ownership, the
company filed bankruptcy in 1996.
Amazon, a
Fortune 500 company based in Seattle (market capitalization of USD $ 171
billion), founded by Jeff Bezos in 1994, now offers the widest selection of
products in the world.
On second
thought, the business model of Consumers Distributing and Amazon is strangely
the same... except for one aspect: the Web. While Consumers Distributing was trying
somehow to find ways to renew itself, a visionary thought of the Web to create
one of the biggest consumer products companies in the world.
Does the
name of Ronald Sargent ring a bell to you? He is the CEO of Staples. He
announced this week (March 6, 2014) the closure of 225 stores by the end of
2015 (a total of 1,846 stores in North America) . Only last year, Staples had
closed 42 stores. The reason: in-store sales are down 7% while online sales
increased by 10%. Some analysts suggest that Staples should close 500 stores.
To be continued...
I recall
the stories of these companies to reflect this :
- Some leaders
have failed to find ways (often "out of the box" ) to maintain the
continuity of their business.
- A
visionary created from scratch a virtual company and continues to invest
heavily in optimizing its offer (more products) and operations (think of the drones
for delivery) .
- A CEO who
does not hesitate to take steps - transforming his business - to meet the
expectations of consumers and especially to continue to create wealth for shareholders.
And you?
Are you in
control of the economic and competitive health of your business? Are you reactionary
or proactive? Do you have a clear and precise strategy on how to invest in the
future and create wealth for your shareholders?
Aucun commentaire:
Publier un commentaire