Nevertheless, this store is not the first to tap this niche by combining decorative products, appliances and hardware. The twist of villager’s is that it is small store that attempts to add convenience to its value proposition. (see Appendix A)Major CompetitorLowe's Companies, Inc. (NYSE: LOW), is the world’s second largest home improvement retailer competing in a highly fragmented $300 billion industry. It serves more than 4 million do-it-yourself and commercial business customers weekly through more than 653 stores in 40 states. At the beginning of 2000, retailed space total approximately 57 million square feet. The 54-year-old based out of Wilkesboro, North Carolina went public in 1961, currently employs more than 80,000. Lowe’s offers comprehensive services both for the do-it-yourselfer and the commercial business customer. Each store has a full lawn and garden/nursery department, a building materials and lumber department, as well as completely stocked departments in electrical, plumbing, hardware, tools and paint.A large home dcor/home fashion department features appliances, carpeting, rugs and flooring; and a full kitchen design department with kitchens on display and may styles of cabinets in stock. Lowe’s carries leading national brands such as DeWalt, Armstrong, American Standard, Maytag, Olympic, Owens Corning and Sylvania. Lowe’s has been implementing an aggressive store expansion strategy that has transformed Lowe’s from a chain of small stores into a chain of destination home improvement warehouse. In the later years of the 198Os, Lowe's began increasing the size of its stores. Prior to that time the stores were approximately 20,000 square foot. In 1994 it built its first 100,000 square foot store, and currently has a 121,000 square foot prototype store with a lawn garden center comprising of approximately 35,000 additional square feet. To accommodate the expansion, the company be...
