CEO Perspectives For Overcoming The Challenges In The Toys Retail Business The execution of strategic plans for earnings growth while sustaining authority position in their markets through innovation, must be done continuously by companies that have made significant progress in business transformation. CEO’s who possess a solid experience in driving growth, operational performance and profitability in global businesses, while simultaneously elevating brands and seizing opportunities in very competitive markets are highly sought for by these companies. Charismatic, passionate visionaries who are deeply committed to talent development, and who can drive a team culture focused on achieving measurable results define these leaders. They must be adept at strategy crafting to position their business for sustainable long-term growth, leveraging their company’s international size in instituting a global approach to engaging in the business. These men must be able to cascade the strategy to the entirety of their organizations, get employee “buy-in” to the strategy, encourage and steer their organization’s talent to develop and successfully execute tactical plans to create and capture value. The world’s leading retailer for toys and baby products intends to keep its position for the long-term. Continued success for this corporation is keyed to employees and vendors being able to work together for the creation of memorable customer shopping experiences, which ultimately propels future growth of the company. The company has made significant progress in transforming the toys retail niche market in recent years and must keep up the growth pace and sustain its global brand positioning.
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David R. Brandon was appointed as Chairman and CEO of TRU, the company cited above; the company relying on him to lead the company to greater heights of profitability and global brand renown. TRU’s Board of Directors have all the confidence he can improve on the successes of his predecessors.
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Online rivals, however, compete with the world’s largest retail chain devoted to toys. TRU also faces significant pressure induced by traditional “brick-and-mortar” retailers. Brandon is strengthening TRU’s e-commerce portfolio to better cope with these companies so that big toy brand inventories (e.g., Starwars) are at manageable levels. The adverse impact of consumers spending on “experiences” instead of giving away material gifts should be countered by Brandon’s strategy to avoid the low results another retailer incurred due to this phenomenon. He must lead the company beyond price-matching practices to entice shoppers into their stores. He also says the company should be sensitive to two things: what the customers want, and being available to shoppers more than the competition. The TRU CEO says if there are more competition open, he would not want TRU’s doors closed to service customers when they want to buy.