Posts tagged with Margins

J.C. Penney relents, brings back sales

When former Apple SVP of Retail Operations, Ron Johnson, took over as the CEO of American retail giant J.C. Penney, he had hoped to do for his new employer what he had done for Apple, where he led the development of the Apple Store and its Genius Bar.

Unfortunately for Johnson, the revolutionary tactic of ditching discounts and offering consumers straightforward low prices every single day of the year, turned out to be more disastrous than revolutionary.

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Are group buying companies money pits?

There are a lot of skeptics when it comes to whether merchants should use group buying sites like Groupon.

For good reason too: there are enough horror stories to demonstrate that heavy discounting and lots of customers can be a really, really bad combination.

But the viability of group buying sites themselves is increasingly called into question. Groupon, the 800 pound gorilla of the space, went public last year, giving everyone a glimpse into is finances. Finances which showed lots of revenue but heavy losses.

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