The paper "How a Giant Retail Chain Toys R Us Creates Its Market Value" is a perfect example of a term paper on marketing. Retailers play an important role in the distribution channel since they are mostly the ones who come into a direct relationship with the ultimate customers and convert the potential customers into real customers. Creating market value is of prime importance in any business operating in today’ s world. Customer experience adds to the marketing value of an organization and its products and services offered. Organizations constantly keep trying to add values in their products and services offered to boost up sales, create the brand image, generate higher profits and most importantly deliver customer satisfaction and best value to their products (Johnson, 2001).
It is to be noted that retailers and health companies are often regarded as the best in the business environment to deliver value in their products and services offered. Organizations give special preferences and design marketing strategies accordingly to create the market value of their products. Marketing value can be measured both in quantitative and qualitative aspects.
On the qualitative side, it is perceived gain that an organization achieves by customer satisfaction and which helps in building the brand equity of the organization considering various social, economic, cultural and environmental factors. The quantitative aspect of marketing value is actual gain achieved by the organization in terms of profits and higher markups and other financial numbers. Here, in this assignment we shall study a complete detail considering various factors of how a giant retail chain “ Toys R Us” creates its market value and deal with different environmental problems taking into account its internal expansion strategies, locational factors affecting the business and different dimensions of culture affecting the business in both local and international environmental situations. About the Company Toys R Us as the name suggests deals in various kinds of toys from wooden toys to educational toys, staple toys to electronic toys, etc.
Toys R Us was founded in the year 1948 with its headquarters in Wayne, New Jersey, United States. Toys R Us had emerged as the world’ s largest toy specialty retailing chain with a huge earning of above $500 million and revenue in excess of $8billion. Toys R Us has been successfully launching different brands under its names such as Kids R Us, Babies R Us, Toys R Us International, FAO Schwarz, and Toys R Us Express.
It operated as Children’ s Supermarts until the year 1957 and then was named as Toys R Us in 1957 (Johnson, 2001). The organization operates above 875 stores of Toys R Us and Babies R Us in the United States alone and above 625 international stores covering around 35 countries around the globe with above 140 licensed stores.
The organization deals in products related to toys, kids clothing and baby products and achieved success in all the three segments of its products both locally and internationally (Jennifer, 2000).