UPDATE 2-Sears Canada shares down on Target's entry plans, weak results

Comments (1)
RetailGuru wrote:

Mr. McDonald is approaching the two year mark of his three year plan with no improvement in sales performance in a period when there was an additional week of sales to be had and also all Zellers stores were shut down versus the year prior.

How can there be any improvement if Mr. McDonald keeps firing everyone who was brought in to help turn things around.

One (of the many) problems with Sears is that they brought in bright, talented staff who had lots of success with other apparel or home decor retailers, but in 6-9 months on the job Mr. McDonald has fired every one of them or they left on their own recognizing that the transformation strategy outlined by Mr. McDonald is grossly flawed. In their place, Mr. McDonald has brought in his cronies from his former grocery employer who know nothing about apparel or home decor retailing, or better yet he has brought back crusty Sears retirees who were part of the original erosion and downfall of Sears – way to go Calvin.
We can get into all of the other problems at Sears, including Mr. McDonald’s flawed strategy, his self promoting without any substance, the rancid corporate culture, the lack of processes and infra-structure, the lack of best in class talent, etc. But we don’t have enough time to get into it all.

Bottom line is they lost focus and are not relevant anymore.

Is Mr. McDonald to blame, no, but he hasn’t helped matters. Should such a young and unexperienced 1st time CEO who has never turned around a poor performing company be expected to pull off this type of miracle with Sears? It would be unreasonable to expect him to pull it off. But don’t feel sorry for Mr. McDonald, his move to Sears wasn’t about helping Sears, it was about serving his own personal interests as he was passed over for the No. 1 spot at his former employer. Even after he fires or lays off thousands of employees, he will still take home his $1 million+ salary and be protected by a very attractive golden parachute.

Feb 28, 2013 7:53pm EST  --  Report as abuse
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