Literature ReviewRetailers currently are in a tight competition looking for every customer dollar in the market. The current economic conditions in the world have made it harder for customers to spend their money especially on secondary wants. Therefore, most of the retail enterprises have closed down due to less experience in the market (Cuthbertson, 2012, p. 138). According to Dunne et al (2010), financial performance of every enterprise is normally customer driven. “The larger the number of customers, the stronger the capital structure of the business. ” As a result, a number of retail businesses in UK have worked hard to meet customers’ demand in the market by setting out their unique visual strategies that strengthen customer connections.
As pointed byAs far as every other business concentrates on customer products satisfaction, it should also clinch on social responsibility as one of the strategic capabilities in the global society (Croxford et al, 2005, p. 54). Workers in the institution access freedom of association therefore they can join any of the unions so that their interest are protected by these unions. Apparently, institution’s policies that allow freedom of association of workers do not hinder parallel development at any point.
However, this freedom allows recognition of workers in the company by the national statues and practices in different countries. Highlighting on operational activities, Debenhams are exceptional in terms of product range, there is a decent progress in market share especially with menswear and kids wear, the business has created about 800 opportunities in United Kingdom and there is a progression in multi-channel operations worldwide (Annual Report and Accounts, 2012). The business has a unique multi-brand and multi-category product offers that it makes it to have a competitive advantage over the other competitors in the market.
This is one of the strategic capabilities that have enhanced radical expansion of operations within the business department stores and franchise stores as well. Also in 2010, the company launched iPhone application that would allow customers to access products and do their shopping online. IntroductionDebenhams is a business enterprise in Britain that operates in a layout of departmental store. The main stores are situated in United Kingdom, Ireland and Denmark while other franchise stores are located in various countries in which it operates.
The business was founded in the year 1778 but its impact in the market was seen in 1985 when the enterprise obtained Browns of Chester, not long before when it was listed in the London Stock Exchange Market. From that time, the business continued to enlarge its operations not only within Europe but also across the globe. Currently, the business delivers its products to 66 countries globally. At a glance, Debenhams is the leading department store group with 167 stores in United Kingdom, Denmark and Ireland, 68 worldwide franchise stores in 23 nations with 29, 000 employees.
The Cross Transaction Value in the year 2010 was £2.56 billion (9.6%) recording revenue of £2.12 billion (10.7%) and profit before tax of £151 million (20.6%). At the end of 2010 financial year, the earning per share was 7.5% (Accounts Report, 2010). Though an increase in the market value in the year 2010 was associated with price function rather than market growth, it had a significant change in the capital structure.