DEVELOPING AND MANAGING PRODUCTS

This Chapter was mainly about how to analyze your market and processes made to bring in a new product. New products are new to a market, they include existing products which have been improved or revised. Macy's is all about increasing their sales. By applying quality control mechanisms to products sold, maintaining services for products sold, etc. The recession has caused huge losses for the retail companies faced with intense competition and environmental changes; so they revised current business structures and strategies to integrate the changes with appropriate information systems and company culture to increase sales and reduce costs. Macy's has been such a success that the company is rolling out the effort across all of its stores. During the recession, companies have less tolerance for sloppiness so they need to be more effectively align of their offerings and efforts to the specific needs of their target customers. Since the needs of customers vary across regions, it makes sense to merchandise in different ways in different regions. An example of Macy's strategies was that in The Menlo Park, New Jersey, Macys trade area experienced a demographic shift, with Asian Americans now representing 35% of the customers base, up from 16%. The district team identified the demographic shift and responded with necessary merchandise changes with refined data. The company continues to focus on local customers needs and will be able to further serve thoes customers needs through directed digital media.