What strategies would be appropriate, desirable and feasible for utilizing these resources effectively? In the event, there
Question:
What strategies would be appropriate, desirable and feasible for utilizing these resources effectively?
In the event, there was some international expansion but no major acquisitions. Paradoxically, once there were no major crises to deal with, some complacency set in. Next sales fell back during 1998, the first reduction during the 1990s.
There had been operational misjudgements –
resulting in inadequate stocks of the bestselling lines of women’s and children’s wear.
By switching its range emphasis to provide a stronger appeal to ‘higher fashion’ customers, Next had partially taken its eye of its core customers.
The problems were compounded by complacency over issues at the store level.
After the run of success Next management had turned its attention more to improving its warehousing and logistics.
Jones commented: ‘We do not have a divine right to be successful.’
The real danger was that some customers might have been lost permanently to rival highstreet retailers.
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