f critical, painful, and need self-evaluations. As a result, many goals and priorities were made.1.INVENTORY: As a result of warehousing goods and returning them to the shelves, the stores were over-inventoried. Necessary changes were made to create a more clear and manageable store environment with fresh merchandise.2.UNPRODUCTIVE STORES: From renovation, to a change in assortment, to the closing of the negative cash flow stores, each store was taken into consideration for appropriate action to create a productive change.3.CREDIT: Through marketing opportunities, a large growth potential in Credit was concluded. The in-house credit is a big advantage in order to increase the use of Bay credit over bank credit cards.4.SYSTEMS: A change in direction and an immediate improvement of systems was needed. An overhaul of inventory systems began to refine merchandising and ensure high demand goods were on the shelves for customers.5.INCREASED COMPETITION/CUSTOMER SERVICE: The development of company strengths and differences was needed to deal with increased competition. As customers are very important in retailing, a centralization of focus on customer services was a great change(HBC Annual Report 1998, Pg #3 – The above information is form one resource.) COMPANY PROFILETHE BAYThe Bay is Canada’s fashion department store with 100 locations east to west. The stores are positioned in the mid-range urban and suburban markets, with a strong franchise in the downtown core of major cities. Soft goods retail concentrating on fashion merchandise and soft home categories is the Bay’s main business aspect. Customers are presented quality merchandise at popular prices with a combination of traditional department store guarantees and services. The Bay promotes its own credit cards and accepts major bank cards. Merchandise selection, arrangement and sales promotion are centralized. Costs are reduced and operating efficiency is ...
