Toys R Us Essay
Toys R us is a specialty retailer of toys and juveline products. The company produces products like dolls, children's toys, vehicles, electronic products as well as children's apparel across the world. Furthermore, toys R us has 1,721 stores all over the world, the total employment is 64,000, with a total revenue growth of -5.0%. (eMarketer, 2018)
The SWOT analysis could be used to analyze the strengths, weaknesses, opportunities, and threats of toys R us. Strengths of toys R us include having over a thousand stores across the world, in addition, toys R us owns babies R us which also has over a hundred stores. The company's turnover in 2005 was over $11 billion (marketing teacher, 2000 – 2018 ) this could be because it has a good bargaining …show more content…
Toys R us relies on making a profit from Christmas, this doesn't make the company stand out from other retailers.
Because of toys R us’s collaboration with Amazon and its babies R us category, this could make a good opportunity for strong alliances, toys R us could benefit from Amazon as its better at the online part of the business, this could also be used as a good opportunity for marketing, and toys R us could use its buying …show more content…
Understanding the key factors that influence the macro- environment of the company provides a chance to take advantage of the opportunities they present as well as the significant threats they cause.
In the political environment, there's the impact of Brexit, trade agreements will be renewed because of the UK leaving Europe, because of this the import businesses will fasten, causing a price increase of toys. Because there's already printed prices in catalogs toys R us won't be able to raise their prices quickly. However, even if the prices were raised the consumers will opt for the cheaper toys causing a decrease in volume.
In the social environment, there's the decline in target center, an example of one target center that affects the company is digitization, children these days spend more of their time on the internet using social media and playing games on the internet, and they spend less time playing with toys.
In the legal environment, there are safety measures, because children are mainly the ones that use toys. The national authority has a big role in making sure toys are safe. The newest principles help in advancing the instructions for marketing the toys
The SWOT analysis could be used to analyze the strengths, weaknesses, opportunities, and threats of toys R us. Strengths of toys R us include having over a thousand stores across the world, in addition, toys R us owns babies R us which also has over a hundred stores. The company's turnover in 2005 was over $11 billion (marketing teacher, 2000 – 2018 ) this could be because it has a good bargaining …show more content…
Toys R us relies on making a profit from Christmas, this doesn't make the company stand out from other retailers.
Because of toys R us’s collaboration with Amazon and its babies R us category, this could make a good opportunity for strong alliances, toys R us could benefit from Amazon as its better at the online part of the business, this could also be used as a good opportunity for marketing, and toys R us could use its buying …show more content…
Understanding the key factors that influence the macro- environment of the company provides a chance to take advantage of the opportunities they present as well as the significant threats they cause.
In the political environment, there's the impact of Brexit, trade agreements will be renewed because of the UK leaving Europe, because of this the import businesses will fasten, causing a price increase of toys. Because there's already printed prices in catalogs toys R us won't be able to raise their prices quickly. However, even if the prices were raised the consumers will opt for the cheaper toys causing a decrease in volume.
In the social environment, there's the decline in target center, an example of one target center that affects the company is digitization, children these days spend more of their time on the internet using social media and playing games on the internet, and they spend less time playing with toys.
In the legal environment, there are safety measures, because children are mainly the ones that use toys. The national authority has a big role in making sure toys are safe. The newest principles help in advancing the instructions for marketing the toys