JCPenney Pays a Price for Its Pricing Strategy
Excerpt
The appointment of JCPenney’s new CEO on June 14, 2011 heralded the dawn of a new era. The subsequent game-changing decision by JCPenney (JCP) to offer a "best price" strategy was meant to shake things up. It’s done just that, but at what cost?
A visit to a New York City JCPenney store in early June revealed a sterile shopping environment, devoid of discount signage as well as customers. It was apparent that JCP’s ‘Fair and Square” pricing strategy was not working. Many customers, looking for a deal, were disappointed to find nothing on sale but only what JCP calls a “best price.”