1.What do you think will be the effectiveness of Burton returning Zales Jewelers to its regular business strategy? In your answer, define or categorize that strategy.
I think that Burton returning the Zales Jewelers to its regular business strategy will bring back the company from the decline it was facing with Forte as CEO. The business strategy Forte had in mind was cutting the customers Zales had tremendously. For years Zales has always been seen a specific brand with focus on diamond rings and jewelry and their customers go to them because of that. Bringing back Zales to its regular business strategy will help in terms of the operational effectiveness. They will be able to sell their products value. Burton will use a business-level strategy which will focus on product differentiation, focus and cost leadership. This strategy will help the company get back from the Forte’s disaster of a strategy.
The product differentiation will offer products to customers that cannot be found in any of their competitor’s stores. Having unique diamond jewelry and being able to afford it will attract new and old Zales customers. Focus strategy focuses on a specific buyer market. Knowing your brand and who your intended focus will be on is important for a company. When I hear Zales I get images of diamonds, engagement rings, and jewelry. Focusing on these points will help the business strategy. Lastly, cost leadership is providing a product at a low cost which will give the company a gain in market share.
Zales cuts prices on holidays which bring in more business and helps in terms of their suppliers. I think that bringing back Zales to how it use to be, to the diamond store everyone knows it to be will drive sales up. Once the business strategy is properly thought out where they know what key areas to focus on they will have no problems in terms of appeal to customers.
2.What should Burton do about the ethical and legal problems facing Zales?
Burton should take care of the ethical and legal problems facingI think that Burton should use the functional-level strategy where you find and retain the best people. Legal problems can lead a company down the wrong road and potentially injure them financially. Ethical behavior within a company is very important. It could be the difference between a company being successful and getting sued. As for Burton I think that she should first focus on finding a highly competent person that will behave ethically. Also she should implement new and stricter policies, procedures and rules everyone (even high level executives) should follow. The policies will
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