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David Jones SWOT Essay

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David Jones Ltd (DJS), one of Australia’s oldest and most recognised department stores was founded in Sydney in 1838 and is a retailer of diversified products ranging from clothes to daily home products. This report’s purpose is to provide the David Jones’ Board and Senior Management advice through the assessment of SWOT, resources, capabilities and strategies with a Balanced Scorecard and Strategy Map as the measurement of the strategies. Part A-1: David Jones Strategic Analysis – SWOT STRENGTHS • Brand Name, Product and Brand Portfolio DJS was the first department store in Australia and its black-on-white hounds tooth was judged one of the Australia’s top ten favourite trademarks in 20061. DJS maintains a wide variety of products and …show more content…

• Business expansion The physical store is an “experiential centre” where customers are able to interact with the brand and although e-retail provides choice, convenience and access, face to face customer service still reigns supreme (business insider article) the physical store plays an important role in the retail industry allowing consumers to touch, feel and take a product home fast. By increasing physical presence, and improving systems and processes, companies will be able to enhance the customer experience. THREATS • Customer income and preference influence Real household disposable income has reflected a downward trend from 2009 to 2013 and household saving did not decrease during 2012, which reduced the level of cash flow meaning store sales will be affected by a decreased level of income remaining for shopping after spending on daily necessities. In addition to this, switching costs remain low for customer changing their preferences because of the diversity of options like Myer, K-Mart or the brand retailer like ZARA and Gucci. • Counterfeit goods market As globalisation brings in new and various products, counterfeit goods also spread quickly. This has a negative influence on local retailers and trademark owners by taking away part of their local market share, taking advantage of the designs of a brand’s

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